A retirement agreement is type of contract which is part of an employee’s work agreement with its employer that focuses on the benefits, terms and conditions of a retirement strategy. Every employee wants to have financial security at the end of his career and for that he needs to save and invest wisely. An organization offers different options for retirement like pensions or lump sum allowances which will help an individual when he has retired from service. A retirement agreement lays down those terms which must be followed by both parties in order to create a sound retirement plan.
Some organizations also offer early retirement agreements to its employees by which the latter gets an amount of money depending on their projected salary of the number of years left in service. This is usually done when the company is looking to lay off employees or there are more employees than actually necessary, especially with the advent of technology.
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Sample Retirement Agreement
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