SEVERANCE QUESTIONS

anonymous

Guest
Does anyone know, if you have unvested RSU's do you loose them if you are cut? Or do they automatically vest?
Also, has anyone heard anything on when we will get our calls? Or know anything on the termination date.
 




Does anyone know, if you have unvested RSU's do you loose them if you are cut? Or do they automatically vest?
Also, has anyone heard anything on when we will get our calls? Or know anything on the termination date.

I don’t think anyone KNOWS… but I have heard rumors of the 14th. On one of the calls they said the middle of January. I think it’s reasonable to assume it will be that week. Termination day will be 60 days after that.
 




I don’t think anyone KNOWS… but I have heard rumors of the 14th. On one of the calls they said the middle of January. I think it’s reasonable to assume it will be that week. Termination day will be 60 days after that.

I&I supposedly got calls before Christmas. Not sure about the RSU question. Good luck to all.
 




Yes, so in having gone through layoffs before but fortunately not being affected by them, I have read multiple times that your RSUs will automatically vest once this occurs.

My best guess on date would be the 12th because recent layoffs occurred for other divisions in Dec on a Wednesday.
 




RSU s do not automatically vest. A certain amount vest based on years employed. So for example if you need a total of 4 years to fully vest but you have only worked 2 of the 4 years they will vest half of them and the other 2 years you lose and so on and so forth. At least we get something though.
 








Ok, I spoke to Fidelity. It is correct that the unvested accounts are prorated based on how close you are to the vesting date. Each grant has a grand document you can click into and it shows it there. Some grants may have different terms. So long as you make it to the termination date due to restructuring.
 








Just be glad you received your RSUs in the 2010s or later. Anyone who got the 1999 150th anniversary option (150 shares that stayed underwater for their entire vested life) up until probably 2008 never made a nickel on them.

I am still receiving health care benefits from my termination/retirement in 2019. Just got the last paycheck about 6 weeks ago. Be glad they pay it out monthly rather than lump sum, it saves you a lot in taxes. Talk to an investment advisor (more than one if you’e never had one outside of Pfizer) as to what to do with your 401k or pension dollars (if you have any). You really don’t want to screw that step up, it’s probably the most important thing you will do, along with lining up your next job if you are going to continue working.

The company did the right thing in bringing separation benefits back up to where they were initially when they started canning people in 2005. Plus the economy is certainly in better shape than it was for those poor folks who got cut around 2009/2010. My advice would be to get out of this industry if another opportunity presents itself. Perhaps if you are close to retiring and only need to work another 5-7 years you could stay in pharma. But otherwise, you’re setting yourself up for more rounds of downsizings/layoffs/mergers. Find something the government hasn’t destroyed yet, see how that works out for you.