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Can severance packages be paid in instalments instead of a lump sum? • How do courts determine if releases signed by employees are valid?
|Canadian Employment Law Today

Can severance packages be paid in instalments instead of a lump sum?

Question:

We’re a small firm that has recently terminated a number of employees. Because of the high total value of the packages, it would seriously drain the company’s financial reserves to pay it in a lump sum. Is it possible to pay in instalments?

Answer: