Would anyone have any past experience with how to approach my employer to obtain a buyout.
I work for a major oil and gas company and was on STD for 6 months followed by 1 year of STD through Sun Life which is about to end. The information that I have from Sun Life is that they will now start trying to find me a new position that is suitable with my qualifications.
My Doctor is in full support of my leave from work because of the enormous stress that the company has placed on the position and role that I have been involved in. Basically he is stating to the Insurance Company that I shouldn’t work anymore and that I should “Retire”, My understanding of his “Retire” wording is that I should be done with my employer and the LTD.
Who is ultimately responsible to pay me out, the insurance company or my employer and can they be forced into ending my employment and paying me out. I physically and mentally can not continue in my existing role due to burnout. I know that I will need legal advice but for now I am looking for some past experiences from users of this site.
People hardly ever ask for buyouts.
Doing so gives the insurance company the upper hand.
There are some people that have retired early but I don’t know if they got anything from the insurance company.
Is that written in your policy?
A lot of policies don’t seem to have clauses that the insurance company finds people work.
Could you work for another company or do a less stressful kind of work or is the doctor saying any kind of work is bad for you?
A lot of policies are paid by the insurance company but some companies pay for it but it is administered by the insurance company.
I think you want to be careful about associating your disability to a specific workplace issue. The insurer may argue that you can do similar work but at a less toxic company.
You are talking about two separate issues. One is severance from your employer and the other is a buyout from your insurance company.
Your company is under no obligation to provide a severance. I spoke with my employer and hinted at the idea of a severance as it may be easier for both me and the employer to offer a severance than accommodate an employee that has not been at work for a while. The employer hinted back that it would be possible. I never pursued the issue any further. You also have to think about the implications of terminating employment on your group benefits and pension if those are issues.
Asking the insurer for a buyout raises red flags as they may think you are trying to get a buyout and you are ready to go back to work (even if it is not the case). This is not from experience just from what I’ve read.
I hope this gives you a few things to think about.
I agree as far as seeking legal advise which I am going to do. After reading more on the site I realize that asking for a buyout and staying on LTD is the best route for a number of reasons.
So let me rephrase my question. The buyouts that been paid out by the insurance companies are considerably less then what a severance package would be from an employer. With that being said, if the insurance company can’t they find a new position within my present organization and/or have to look outside to other options wouldn’t that be considered an end to my employment with my present employer and therefore eligible for a severance package.
LTD provides the funding to stay afloat but the idea of having an insurance company decisions looming over my head for years to come, never knowing what they will demand of me or force me to do is extremely stressful. It’s like being held as a hostage for lack of a better term. Hence you have to come to a decision regarding that stress and if it is worth it or if being paid a lump sum to move on with your life is more advantageous to a happier and healthier life.
Thanks Jammer…I did reply on a post from RF with more of a description of what I was looking for. Basically how can you ask for a severance package from your employer while on LTD.
I can’t provide more specifics about what I do because it is a very specific vocation and the stresses of performing it are a constant regardless of where you would work.
What my Doctor has recognized after years of going slowly downhill is that it is better for my health to end my career rather then to try and go back and survive more years of the oil and gas industry. Unfortunately I can’t just leave without a salary of some sort coming in.
The insurance company may take your severance (it depends on your policy).
As RaptosFan said:
Asking to leave work may be considered by the insurance company as “retiring”.
Some policies end at retirement (some don’t).
I would be careful.
I know people have ended LTD (to remove stress from the insurance company) and taken early retirement (I suspect all those people worked for the government).
Don’t do anything yet and don’t say anything either! I’m going to assume you work in Alberta which would legislate you under Alberta employment laws…the laws are very clear you are entitled to severance from your employer. But now that depends on what developed with the insurance company since your post. If you are on LTD right now and your doctor says don’t work, leave it with the Insurance company to spend their own time coming up with kicking you out or whatever, the point is they cannot drop you without just cause which is under employment laws. Your job is protected even when on disability, not everyone is disabled for life and they can be on std and Ltd for years until ready to go back into the work force. You are on a job protected leave under the Hunan rights code the insurer and employer cannot discriminate on the basis of disability to the point of undue hardship which if the private insurer you paid premiums to so you have access to LTD is the payer, undue hardship does not apply to them. Either way say nothing. You also might want the try getting CPP and and private pension benefits you paid into under disability too.
No…only when the employer terminates the employment contract are you entitled to severance. The employer cant force you to quit or fire you without just cause which in this case being on LTD for a disability is NOT just cause. But yes in Alberta under the Employment Standards Code termination notice and severance are covered in the code.