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You're holding a severance offer, and one question dominates your thoughts: "If I ask for more, will they just take it all away?"
This fear paralyzes thousands of Utah employees every year. They sign inadequate agreements, accept restrictive terms, and leave money on the table—all because they're terrified of losing everything by negotiating.
Here's the truth: Employers almost never rescind severance offers simply because you negotiate professionally. In fact, in over a decade of representing Utah employees, I've never seen it happen.
But that fear? It's real. And understanding why employers won't pull your offer—and what they actually do when you negotiate—can mean the difference between accepting whatever you're given and securing the protection you deserve.
The anxiety about offer rescission isn't irrational. When you're being terminated, the power dynamic feels hopelessly one-sided.
You've just lost your job. You're worried about your mortgage, healthcare, and finding your next position. The last thing you want is to anger the one entity offering you financial support during this transition.
Severance feels like your employer is doing you a favor. Pushing back on that "generosity" seems ungrateful—maybe even dangerous. You feel like negotiating severance will damage your reputation.
Many employers present severance offers with language suggesting finality. "This is our standard package" or "We're not able to negotiate these terms" reinforces the impression that any challenge will result in complete withdrawal.
You've heard about someone, somewhere, who asked for more and ended up with nothing. These stories spread quickly and stick in your memory.
These fears are understandable. But they don't reflect how severance negotiations actually work in Utah.
Once an employer makes a severance offer in exchange for something valuable from you—typically your signature on a legal release—they've made a contract offer.
In Utah, that offer creates legal obligations.
When an employer presents a severance agreement requiring you to:
They're not just handing you money. They're proposing a transaction where you provide something of value (your legal rights and agreements to restrictions) in exchange for compensation.
While employers theoretically could withdraw an offer if you completely reject it, if worded correctly, simply asking questions or proposing modifications is not rejection. You're engaging in negotiation—which is exactly what employers anticipate.
More importantly, arbitrary withdrawal of a severance offer once made can create its own legal issues for employers, including:
Employers understand this. Their legal counsel understands this. That's why rescission for negotiating in good faith essentially never happens.
Rather than rescinding offers, here's what actually happens when Utah employees negotiate severance professionally:
In the majority of cases, professional negotiation results in better terms for the employee. This might include:
Sometimes employers hold firm on their initial terms. They explain that they've offered their maximum amount or that certain provisions are non-negotiable for business reasons.
But notice: they're not withdrawing the offer. They're simply declining to improve it. You still have the original terms available to accept.
Occasionally, an employer might remove certain minor benefits from the package in exchange for improvements you've requested. This is trade-off negotiation, not rescission.
For example, they might agree to remove a non-compete if you accept a slightly lower monetary payment. This is still negotiation—you're choosing between two offered packages.
In professional severance negotiations, employers virtually never respond to good-faith negotiation attempts by pulling the entire offer and leaving you with nothing.
Why? Because it makes no business sense.
Employers have strong incentives to maintain and finalize severance agreements, even when employees negotiate:
The primary purpose of most severance agreements is obtaining your signature on a release of legal claims. Without that release, you remain free to file EEOC charges, bring discrimination claims, pursue wage violations, claim breach of an employment contract, or raise other issues.
Employers offer severance specifically to buy that protection. Walking away from a negotiating employee means losing that protection entirely.
Sophisticated employers and their legal counsel understand that professional employees often review severance offers with attorneys and request modifications. They build flexibility into initial offers precisely because they anticipate negotiation.
Pulling an offer because an employee negotiates would be like a car dealer refusing to sell because a customer asked for a better price. It's not how business works.
If an employer's response to reasonable negotiation is offer withdrawal, that response itself might strengthen any legal claims you have. It could demonstrate:
Smart employers and their counsel avoid creating these additional risks.
Once an employer has invested time and resources in preparing a severance agreement, conducting the termination, and presenting an offer, they're motivated to finalize the arrangement. Starting over, or worse, defending against claims without a release, costs significantly more than negotiating better terms.
While complete rescission for negotiating doesn't happen, there are narrow scenarios where employers might modify their approach:
If you flatly reject the offer with no counter-proposal or attempts to negotiate ("No, I won't sign this under any circumstances"), an employer might withdraw it. But that's not negotiation—that's rejection.
If you make wildly inappropriate demands, issue threats, or behave unprofessionally, an employer might decide you're not negotiating in good faith. Examples include:
This is why professional representation matters—attorneys keep negotiations business-focused and professional.
Sometimes both parties agree that negotiation isn't productive and decide to end discussions. The employer might communicate that their initial offer remains available for acceptance, but they're not interested in further negotiation.
This isn't rescission—it's simply the end of back-and-forth discussion. You can still accept the original offer.
If an employer discovers that you've materially misrepresented something during negotiations (for example, falsely claiming you have documented discrimination claims), they might withdraw the offer.
But honest, professional negotiation never triggers this issue.
The key to safe severance negotiation is approaching it professionally and strategically:
Don't just ask for "more." Point to specific provisions and explain why they need adjustment:
Keep all negotiation discussions:
Know what strengthens your negotiation position:
Respond to offers promptly. Don't drag negotiations out unnecessarily. If you need more time to review or consult counsel, ask for a specific extension rather than simply going silent.
Having an experienced employment attorney handle negotiations removes the emotional component and ensures you're negotiating effectively. When employers see you're represented, they understand you're serious—and they're more likely to improve their offer without contentious back-and-forth.
While employees worry about the imagined risk of rescission, they often ignore the very real risks of accepting initial offers without negotiation:
Initial severance offers frequently have room for improvement. Accepting without negotiation might mean leaving thousands—even tens of thousands—of dollars on the table.
Based on our client outcomes, Utah employees who negotiate professionally achieve financial improvements in over 60% of cases, with an average gain of more than $21,000.
Non-compete and non-solicitation provisions in initial offers are often overly broad. Without negotiation, you might accept restrictions that:
These provisions can derail your career for months or years—far more damaging than a few weeks of negotiation.
Many initial severance agreements contain one-way releases where you waive all claims against the employer, but they retain the right to pursue claims against you.
Without negotiation, you might agree to:
Beyond financial compensation, severance negotiations can secure valuable protections:
Employees who don't negotiate miss these opportunities to protect their interests comprehensively.
One of the most effective ways to negotiate severance safely is having qualified legal counsel handle communications on your behalf.
When you're represented:
Experienced employment attorneys know:
Before negotiating, a qualified attorney can evaluate:
Perhaps most importantly, having legal counsel means you can be confident that:
Certain situations make legal counsel particularly important before accepting any severance offer:
Any non-compete, non-solicitation, or customer non-solicitation provision warrants legal review. These restrictions can have career-long consequences.
If you suspect discrimination, retaliation, harassment, or wage violations played a role in your termination, don't sign anything without legal counsel. You may have significant leverage.
Agreements requiring you to release all claims of any kind, whether known or unknown, deserve careful scrutiny. You might be giving up rights you don't even realize you have.
If provisions in the severance agreement seem to conflict with your employment contract, stock option agreement, or other documents, get professional review.
If your employer wants you to sign immediately or with minimal time for review, that's a red flag. Under federal law, employees over 39 must receive at least 21 days to consider severance agreements involving ADEA waivers.
Executives, directors, and professionals in specialized fields typically negotiate more complex severance terms. Professional guidance becomes essential.
After representing hundreds of Utah employees in severance negotiations, I can tell you definitively: Employers virtually never rescind offers because employees negotiate professionally.
What does happen regularly:
What almost never happens:
The fear of rescission is real, but the risk is largely imaginary. The real risk is accepting problematic terms without negotiation—leaving money on the table and agreeing to restrictions that could haunt you for years.
If you're facing a severance decision in Utah, here's what to do:
Take time to review any offer carefully. You're legally entitled to consideration time—use it.
Gather performance reviews, communications about your termination, and any documentation that might support your position.
Consider:
Get professional evaluation of:
Whether on your own or through counsel, approach negotiations with:
At Crook Legal Group, we help Utah employees navigate severance negotiations every day. We've seen countless situations where professional negotiation led to significantly improved terms—and we've never seen an employer rescind an offer because an employee sought fair treatment.
More importantly, we've seen the relief employees feel when they realize that protecting their interests doesn't mean risking everything. You can negotiate effectively and safely.
Our severance negotiation services include:
Most importantly, we handle severance negotiations professionally—protecting your interests while maintaining appropriate relationships.
Ready to discuss your severance offer? Text or call us at (801) 695-9039 for a confidential case evaluation meeting. Let's review your agreement and determine the best path forward—one that protects your interests without the imaginary risk of rescission.
Disclaimer: This article provides general information only and does not constitute legal advice. Every severance situation is unique and depends on specific facts and circumstances. Utah employment law is complex, and this article cannot address every possible scenario. For advice about your specific situation, consult with a qualified Utah employment attorney.
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