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BONUS #1 ยท EXECUTIVE SEVERANCE TERM SHEET: RSU ACCELERATION, COBRA SUBSIDIES & NON-COMPETE WAIVER CLAUSES

How to Negotiate the 5 High-Dollar Non-Salary Levers That HR Can Approve Without C-Suite Budget Freeze

Negotiation Lever Why HR Easily Approves It Exact Contract Redline Clause Typical Cash Value
Employer-Paid COBRA (6โ€“12 Mos)Comes out of benefits pool rather than department payroll budgetCompany shall pay 100% of COBRA premiums directly or as grossed-up lump sum$4,800 โ€“ $14,400 Tax-Free
Next-Cliff RSU / Option VestingNon-cash equity expense already booked by financeAccelerate vesting of equity awards scheduled to vest within 90โ€“180 days of termination$8,000 โ€“ $65,000+ Equity
Pro-Rata Annual Target BonusRecognizes work already performed during fiscal yearPay pro-rata target bonus at 100% achievement factor without active-employment cutoff$5,000 โ€“ $35,000 Cash
Non-Compete Waiver & Mutual NDACourts disfavor enforcing non-competes against laid-off workersCompany hereby waives Section [Non-Compete]; Non-Disparagement shall be mutualUnlocks immediate competitor hiring
Actionable Execution Protocol: When HR says 'Our severance formula of 1โ€“2 weeks per year of service is fixed by policy,' pivot immediately to non-formula budget buckets: ask for a 'One-Time Transition & COBRA Healthcare Stipend' + 'Pro-Rata Bonus Recognition' + 'Garden Leave (staying on payroll for 30โ€“60 days until your next RSU vesting cliff).' HR directors have discretionary authority to approve transition stipends even when base severance formulas are locked.