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I just have a general question. I work in Michigan and my employer…

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I just have a general...
I just have a general question. I work in Michigan and my employer is closing down, I have 10 1/2 years of service with the company. A new owner took over the just over 6 yeatrs ago. The general manager told us in a company meeting that we would get 1 week of pay for every year of service up to 6 yrs. So in essence, many of my co-workers were expecting 6 weeks of pay, including myself. The last week of service, in which is this week, they pulled us into an office and only stated that we were getting 2weeks of pay based on if you at least have one year of service. Is this legal? I read in an online free legal information that the company would be liable for telling us orally, in a handbook, or even in a written contract. But I guess it's a state to state thing? Can they do this?
Submitted: 8 years ago.Category: Employment Law
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6/9/2010
Employment Lawyer: JBaxLaw, Employment Lawyer replied 8 years ago
JBaxLaw
JBaxLaw, Employment Lawyer
Category: Employment Law
Satisfied Customers: 11,396
Experience: Government and private sector employment law experience
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Certain verbal statements are enforceable as verbal agreements. An employer's policy would be enforceable if you continued to work in reliance on the statement that you would receive a certain amount of severance pay. You can push this issue and file a wage claim. Go to:

http://www.dleg.state.mi.us/email_parser/before_filing_wage_claim.htm

You may file a civil suit as an alternative. The employer may argue that the statement was not made as an offer and did not induce you to keep working. If the severance pay is purely gratuitous, then the employer can not be forced to pay. There must have been an agreement of a sort involved and it appears that this pay was intended as an offer to remain with the company until the company closed.

Thank you

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