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REQUEST FOR COUNCIL ACTION <br /> 1/12/98 <br /> ITEM NO.. j-2 <br /> Department ® . <br /> d_ Ordinances and Resolutions <br /> Item Description: Ordinance revising chapter 104 of the City Code relating to <br /> severance pay. <br /> BACKGROUND <br /> The City currently provides severance pay which equals 50 percent of the employee's <br /> accumulated sick leave to a maximum payment amount of 30 days. Employees are <br /> eligible for severance pay if they have at least 10 years of service and leave City <br /> employment as a result of retirement, layoff, or death. The proposed ordinance change <br /> would increase the maximum potential payment amount to 40 days. This change would <br /> allow the City's non-union employees to receive the same benefit proposed for collective <br /> bargaining groups. <br /> FINANCIAL IMPLICATIONS <br /> Estimated additional cost is $1,600 per year. Actual cost depends on the number of <br /> qualifying events, individual salaries, and individual sick leave usage. <br /> STAFF RECOM ENDATIOI <br /> It is recommended the council adopt the attached ordinance. <br /> COUNCIL-ACTION REQUESTED <br /> Motion adopting ordinance revising the severance section of Chapter 104 of the City Code. <br />