Adani Enterp. 2537.45↑61.85(2.50%)
Adani Ports 724.50↑6.25(0.87%)
Apollo Hospitals 4568.15↑31.70(0.70%)
Asian Paints 3123.55↑22.05(0.71%)
Axis Bank 921.05↑3.35(0.37%)
B P C L 363.30↓0.00(0.00%)
Bajaj Auto 4644.00↑126.40(2.80%)
Bajaj Finance 6841.15↑55.20(0.81%)
Bajaj Finserv 1427.35↑0.90(0.06%)
Bharti Airtel 822.70↑21.30(2.66%)
Britannia Inds. 4563.30↑43.50(0.96%)
Cipla 945.45↑7.45(0.79%)
Coal India 240.05↓-0.95(-0.39%)
Divi's Lab. 3435.65↑52.50(1.55%)
Dr Reddy's Labs 4503.95↓-15.30(-0.34%)
Eicher Motors 3651.50↑40.60(1.12%)
Grasim Inds 1701.35↑1.00(0.06%)
H D F C 2647.40↓-24.35(-0.91%)
HCL Technologies 1116.00↑4.05(0.36%)
HDFC Bank 1609.60↓-6.20(-0.38%)
HDFC Life Insur. 572.05↑6.05(1.07%)
Hero Motocorp 2732.80↓-5.90(-0.22%)
Hind. Unilever 2597.25↓-17.70(-0.68%)
Hindalco Inds. 404.25↓-2.65(-0.65%)
ICICI Bank 939.85↓-0.80(-0.09%)
IndusInd Bank 1263.40↓-8.35(-0.66%)
Infosys 1304.35↑5.70(0.44%)
ITC 441.15↑7.65(1.76%)
JSW Steel 696.65↑0.65(0.09%)
Kotak Mah. Bank 1929.95↑19.60(1.03%)
Larsen & Toubro 2204.70↑19.55(0.89%)
M & M 1277.80↑2.10(0.16%)
Maruti Suzuki 9281.85↑11.10(0.12%)
Nestle India 21474.90↑94.30(0.44%)
NTPC 174.50↓-0.45(-0.26%)
O N G C 166.00↓-0.25(-0.15%)
Power Grid Corpn 237.95↑2.15(0.91%)
Reliance Industr 2439.95↓-0.30(-0.01%)
SBI Life Insuran 1177.35↑2.00(0.17%)
St Bk of India 581.25↓-1.45(-0.25%)
Sun Pharma.Inds. 945.00↓-7.15(-0.75%)
Tata Consumer 780.30↑9.15(1.19%)
Tata Motors 514.85↓-5.35(-1.03%)
Tata Steel 104.85↓-0.35(-0.33%)
TCS 3293.50↓-9.85(-0.30%)
Tech Mahindra 1098.10↓-0.65(-0.06%)
Titan Company 2707.95↑0.70(0.03%)
UltraTech Cem. 7621.75↓-32.05(-0.42%)
UPL 675.80↓-6.45(-0.95%)
Wipro 394.10↓-5.60(-1.40%)

Invest severance package in debt funds, use SWP to create cash flows

Part of this money should also go into creating an emergency corpus equal to 12 months of expenses

layoffs, job loss, lay-offs, unemployment

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5 min read Last Updated : May 25 2023 | 11:26 PM IST

Layoffs are making headlines every few days, both in India and abroad. Around 2 lakh workers have been laid off worldwide in the tech sector alone, according to a media report. Several Indian tech companies and start-ups have also cut jobs in 2023. More may follow. Employees who receive a severance package must deploy it judiciously.

Severance package: Size depends on contract

Some corporates offer their employees a compensation at the time of separation. Sandeep Bajaj, managing partner, PSL Advocates & Solicitors, says, “It is not a matter of right but a matter of practice and is contractually determined.” Its size depends on the length of employment and the terms of the employment contract.