severance
noun [ U ]
HR, LAW uk/ˈsevərəns/ usthe official ending of an agreement, especially between an employer and employee:
He is entitled to $40,000 in severance pay.
The union negotiated severance agreements for all staff made redundant.
severance benefits/compensation/payments
payment received by an employee when their employment is ended by the management:
Workers with less than 6 months employment did not receive any severance.