Monday, January 09, 2012

Ogden City Code Section 2-6-9 (F)

F. Severance Pay:

1. Eligible Employees: Unless otherwise prohibited in this subsection, the chief administrative officer, department directors, deputy and assistant city attorneys unless principally assigned to prosecution activities, and all appointed nonmerit, full time employees in the mayor's office and city council's office ("eligible employees") are entitled to severance pay as provided herein, in the event their employment with the city is involuntarily terminated.

2. Amount: Severance pay shall be in an amount equivalent to one month's pay for each consecutive year of employment with the city, not to exceed six (6) months. The monthly payment amount shall be based on the employee's monthly salary on the date of termination. Payment is to be made in a lump sum within thirty (30) days of the effective date of the termination. This payment will be in addition to any other benefits to be received on termination, as authorized under the pay plan. Notwithstanding the above, the amount of severance pay may exceed the amount authorized herein for the chief administrative officer, the executive director of the city council, or a department director, if authorized under a contract of employment entered into after December 20, 2005, if:

a. Such contract is in writing and on file in the city recorder's office and was entered into prior to the date of appointment; and

b. Such contract was publicly disclosed to the city council as part of the appointment approval process.

3. Prohibition: Severance pay shall not be paid to an otherwise eligible employee who:

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

b. Has been terminated or requested to resign upon being convicted, indicted, charged or is under criminal investigation concerning a public offense involving a felony or offense of moral turpitude; or

c. Voluntarily resigns or terminates employment with the city under circumstances not defined herein as an "involuntary termination"; or

d. Fails to sign a full written release of all claims against the city related to such termination, as approved by the city attorney.

4. Rehiring Restrictions: No employee receiving severance pay may be rehired with the city within one year of the effective date of termination, whether as an employee, contractor, or as a principal of an independent contractor providing employment or other professional services. "Principal" shall include any officer, director, partner or owner holding thirty percent (30%) or more of the entity acting as the independent contractor. This prohibition may be waived if severance pay is repaid upon a rehire within the period of limitation.

5. Definitions: The following terms as used in this section shall have the designated meanings:

INVOLUNTARY TERMINATION: a. Termination of employment contrary to the will or desire of the employee;

b. Resignation of employment by employee upon the request or suggestion of the mayor or other officer or body with termination authority; or

c. Resignation of employment upon a demotion or a reduction in pay not generally applicable to other similar nonmerit employees.

SEVERANCE PAY: A sum of money that an employee is eligible to receive upon involuntary termination of employment, based on the length of employment or, if so provided by contract or other agreement, an unfinished term of employment. It shall not refer to salary or wages applicable during the term of employment, compensation for unused leave authorized under the pay plan, early retirement incentives, back wages, or other damage payments not in the form of severance pay.

6. Employment Agreement With Different Severance Terms: If an employment agreement with different severance terms was entered into prior to December 20, 2005, then the eligible employee will be entitled to the benefit of the more advantageous terms.

7. Restriction Not Intention: It is not the intention of this section to restrict the granting of severance pay to other employees of the city, not defined as an eligible employee herein, as part of a settlement agreement related to either an involuntary termination or a settlement of claims related to employment, but in no event shall severance pay under such agreement exceed the amount that would otherwise be allowed under subsection F2 of this section, if the employee were an eligible employee.

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