Can You Negotiate Your Severance Package?

One of the most common questions we hear from employees who’ve just been terminated is:

“Can I negotiate the severance amount they offered me?”

The short answer is yes — in most cases, you can and should try to negotiate your severance package. Being terminated or laid off is stressful enough, and the uncertainty of negotiations is not for everyone, but most of the time, employers will be willing to pay more than what is offered, especially if there are suspicious factors leading up to the termination.

What Severance Really Means

Severance pay isn’t required by law in California (or most states), but many employers offer it as part of a separation agreement. It’s typically exchanged for something of value to the employer — most often, your waiver of legal claims. That means before signing, it’s worth understanding exactly what rights you’re giving up and whether the amount offered fairly compensates you.

Can My Employer Withdraw the Offer if I try to Negotiate?

Technically, yes — an employer can withdraw or reduce a severance offer if you try to negotiate. However, in practice, that rarely happens. Most employers expect that employees will at least ask questions or seek clarification before signing. Many employers will anticipate some level of negotiation.

Professional, reasonable negotiation is a normal part of the process — especially for employees in managerial or professional roles. The vast majority of the time, if the employer is not willing to pay more, the original offer stays on the table.

Why Negotiation Makes Sense

Employers often start with a standard offer, not necessarily the best one. Negotiation may be appropriate if:

• You have potential legal claims (for example, discrimination, retaliation, or whistleblower issues prior to termination).
• You belong to a protected class and suspect the termination may have been unlawful.
• You had a long tenure, senior position, or specialized skills.
• The severance amount doesn’t reflect your contributions or company policy.
• The agreement includes overly broad non-disparagement, confidentiality, or non-compete clauses.

In these situations, hiring an employment attorney to negotiate for you can make a substantial difference in the amount you receive. Counsel can help identify whether your rights were violated, protect your leverage, and often secure a stronger financial and legal outcome — all while keeping the tone professional and constructive.

Timing Is Key

It’s important to act quickly. Many severance agreements come with short deadlines (sometimes just a few days). However, taking the time to review and negotiate — rather than signing immediately — can make a meaningful difference in both compensation and future rights.

If you’ve recently been let go and handed a severance agreement, don’t assume the number on the page is final. While employers technically can pull back an offer, they normally don’t — and thoughtful negotiation, especially with the help of experienced counsel, can pay off.

If you are interested in learning more, don’t hesitate to reach out to me directly to discuss. The first consultation is always free.  Reach out to me directly at Emilia@antonyanmiranda.com.