What to Know About Severance and Age Discrimination

Over 40 and Pushed Out of a Job? 

You’ve spent years building a solid reputation. You’ve led teams, trained others, and made your company better. Then, just like that, you’re called in, handed a packet, and told it’s time to move on. 

They say it’s nothing personal. It’s just “restructuring.” But it sure feels personal.

Maybe younger employees were suddenly getting more face time with leadership. Maybe your responsibilities were slowly pulled away. And now they want you to sign off on a severance deal and go quietly? Not so fast.

If you’re over 40, you’ve got more than experience. You’ve got legal protection. And if you’re feeling uneasy about how your departure was handled, you’re not being paranoid. You’re paying attention. 

Horn Wright, LLP, helps people just like you stand up for their rights and get the fair treatment they’ve earned. We’re not just employment attorneys. We’re business transaction lawyers who understand that these decisions affect your career, your finances, and your peace of mind.

That Severance Agreement? You Might Have More Power Than You Think

Two laws can make or break your situation: the Age Discrimination in Employment Act (ADEA) and the Older Workers Benefit Protection Act (OWBPA).

If your employer wants you to waive your right to sue for age discrimination, they can’t just toss a document your way and expect a signature. They’ve got to meet very specific legal standards. If they don’t? That waiver might not stick.

Here’s what a valid agreement has to include:

• Clear, Straightforward Language. The agreement needs to be written in plain English. If it’s packed with legal jargon or vague language, that’s a red flag. You should understand what you're agreeing to.
• Mention of Your ADEA Rights. The agreement must directly reference your rights under the ADEA. If it doesn’t, the whole thing could be unenforceable.
• A Prompt to Talk to a Lawyer. Your employer must advise you, in writing, to consult with an attorney. If they brushed past that or made you feel like it’s unnecessary, that’s a problem.
• Time to Consider. You’re entitled to time to review, reflect, and ask questions. Rushing you isn’t just aggressive. It could make the waiver invalid.

Slow It Down. You’ve Got Time and You Should Use It

You don’t need to decide overnight. In fact, the law says you shouldn’t. If they’re pushing, step back.

• 21 Days to Review. In individual layoffs, you legally get three weeks to review everything. Use that time. Ask questions. Get legal advice.
• 45 Days for Group Layoffs. If you're part of a wider layoff, you get 45 days to decide. That’s meant to give you time to review layoff data and see if patterns raise concerns.
• 7-Day Revocation Period. Even after signing, you’ve got 7 days to change your mind. If you feel pressured or second-guess yourself, you can still walk it back.

If You’re in a Mass Layoff, Here’s What You’re Owed

Being let go with a group doesn’t mean you’re just another number. The law gives you extra protections.

Your employer must provide:

• A List of Job Titles and Ages. You’re entitled to a breakdown showing who was laid off and who wasn’t plus their ages. It’s how you can spot trends and potential age bias.
• How They Chose Who to Let Go. They need to explain what criteria were used - seniority, performance, department needs. If it’s vague or inconsistent, it’s fair to question it.
• The Scope of the Layoff. Employers must define which part of the company was impacted. Without that, you can’t truly evaluate whether the decision-making was fair.

If they don’t provide all of that? The waiver could be thrown out. We often collaborate with mergers and acquisitions lawyers to dig deeper when layoffs are tied to buyouts or restructuring. 

Where Companies Blow It And How You Can Benefit

You’d be surprised how often companies mess this up. Whether by accident or design, here’s what we see most:

• Missing ADEA Language. Agreements that skip a clear reference to the ADEA often don’t hold up. It’s a common and costly mistake for employers.
• Unrealistic Deadlines.  “Sign by tomorrow or it’s off the table” isn’t just shady. It’s illegal for workers over 40. You have time. Use it.
• Poor Disclosure in Group Layoffs. If the list of who’s staying and going is incomplete or confusing, that’s not just unhelpful. It could make the waiver invalid.
• Retaliation for Asking Questions. If they cut off your access, yank your references, or try to scare you into silence, it’s more than unprofessional. It’s illegal.

We work closely with commercial contract attorneys in New York to spot these missteps and turn them into negotiating power.

Got a Feeling Age Was a Factor? Here’s What You Can Do

Sometimes it’s subtle. Other times, it’s not. Either way, if you suspect age played a role in your termination, don’t ignore that instinct.

1. Take the Time You’re Given. Don’t rush. Review the agreement, do your homework, and talk to someone who knows the law.
2. Call in a Pro. We can analyze the deal, look at who else was affected, and see if there’s a pattern. Age discrimination isn’t always loud but it’s still illegal.
3. Push Back on the Offer. If there’s even a hint of bias or a legal misstep, we’ll help you negotiate for:
   1. A bigger severance check
   2. Extra months of health insurance
   3. A neutral reference
   4. Terms that give you breathing room
4. Consider Filing a Claim. Taking legal action doesn’t always mean court. Sometimes it just means standing up and saying, “This isn’t right.”

If you’re a partner, executive, or business owner dealing with equity or succession, we can bring in our team handling business sale and purchase agreements to make sure nothing gets missed.

You Deserve More Than a Pat on the Back and a Goodbye

As one of the most trusted law firms in the country, we don’t treat clients like case numbers. We treat you like a person because that’s what you are. You’ve got a life, a family, a future, and you deserve to protect all of it.

We’ve helped professionals across New York from healthcare to hospitality, tech to finance, take back control after being pushed out. And we don’t just focus on the legal fine print. We focus on how this moment fits into your bigger picture.

You’ve worked too hard to be shown the door without a fair shake. Let our team of business transaction lawyers at Horn Wright, LLP, bring sharp strategy and real compassion to your case.

Contact our office today to get started. Your initial consultation is always free.