§ 34-4-9. Severance Pay.

The following is provided in recognition that the City Council has considered and rejected linkage between severance pay and employee sick leave and hereby establishes a Severance Program based upon years of service and performance.

Eligibility for a severance payment shall extend to employees in wage schedules A, B, C, or S, at the time of actual retirement, and who retire from the City having completed at least ten (10) years of creditable service within the N.H. Retirement System. The amount to be paid shall be determined by the following formula:

Severance Pay Formula

Deduct the number of sick leave days used during an employee's last two (2) years of employment from the number "30" and apply the balance to the payment formula below. The base for calculations during 1989 shall be one hundred dollars ($100.00). This base shall be indexed to the annual across-the-board wage increases.

Years of Service	Payment Formula
10—14	0.25 × Current Base × number of days
15—19	0.50 × Current Base × number of days
20—24	0.75 × Current Base × number of days
25 and over	Current Base × number of days

 

In no case shall the amount paid per day exceed the employee's standard daily rate. Consecutive sick leave days used involving more than three (3) days shall be computed as single events for purposes of calculating this benefit.

(2-13-84; 4-13-89)