National High-End Retailer

Transaction

Retail slump. Management sought to reduce severance costs while providing meaningful benefits to employees. Store closures and national force reductions lead to terminations of employees from within multiple job tiers throughout all company departments.

Outcome

Client adopted a Supplemental Unemployment Benefit Plan for both full- and part-time employees. Payments were disbursed on normal pay cycle basis. Workers filed for State Unemployment benefits, and all benefit payments ceased upon reemployment. 709 terminations within the first 19 weeks of program implementation provided the client $1.17M in savings, an amount equal to 33% of the company’s pre-program costs.