Saturday, September 24, 2005

The Stuart Reid Story is back in the headlines today. The Salt Lake Tribune's Kristen Moulten filed this one yesterday; and John Wright's story made the Standard-Examiner's front page this morning. The story has also been discussed before here.

And from these various sources we're able to assemble the essential fact scenario, which seems to be something like this:

Stuart Reid was hired by Mayor Godfrey after a failed Salt Lake City Mayoral bid. He'd earlier served as Salt Lake's economic development director, the same position he filled when he joined Ogden city in early 2000. According to reports, Mr. Reid had agreed to work in his new position for three years, but actually stayed on for 5-1/2, presumably at Mayor Godfrey's urging. Although there seems to exist nothing in writing, both Mr. Reid and Mayor Godfrey insist that they had at some point agreed verbally, as part of Mr. Reid's employment agreement, that Mr. Reid would be entitled to a "severence bonus" upon his eventual "retirement." When that fateful moment did arrive, and Mr. Reid did indeed walk out of the the City Hall door with that sverence dough in his back pocket, to the tune f forty-four thousand dollars.

Alleged verbal agreement for severance bonus
Agreed to work for 3 years; stayed 5-1/2
Termination was voluntary
No charge of malfeasance
Matt begged Reid to stay
Reid claims job offer @ 3x the pay
Giving the private sector a try

Ordinance:

OGDEN CITY CODE 2-6-9: CLASSIFICATION AND PAY PLANS:
2-6-9: CLASSIFICATION AND PAY PLANS:

F.Department Directors: Mayor's office staff and city council office staff are entitled to severance pay in the event their employment with Ogden City is terminated. Severance pay shall be in an amount equivalent to one month's pay for each year of employment in the qualifying position, not to exceed six (6) months. The monthly payment amount shall be based on the employee's monthly salary on termination date. Payment is to be made in a lump sum on termination date. This payment will be in addition to the usual benefits received on termination.

Severance pay will not be made to otherwise eligible employees who:

1. Have been terminated or requested to resign under bona fide charges of nonfeasance, misfeasance or malfeasance in office; or

2. At the time of separation of employment have been convicted, indicted, charged or are under criminal investigation concerning a public offense involving a felony or moral turpitude; or

3. Voluntarily terminate employment with the city.

A requested resignation shall not be considered a voluntary resignation and will entitle the eligible employee to severance pay benefits so long as the employee is not rehired for the same position with the city within six (6) months of termination date. Additionally, an employee whose resignation is requested and is then rehired at a lower salary may, at his or her option, resign and be eligible for severance pay.

If prior to the effective date hereof, employment agreements exist with different severance terms, then the eligible employee will be entitled to the benefit of the more advantageous terms.

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