Texas HB762 limits severance pay for political subdivision employees and contractors to 20 weeks of compensation, excluding paid time off and.

Texas HB762 amends the Local Government Code to add a new section limiting severance pay for political subdivision employees and independent contractors. Severance pay, defined as dismissal or separation income beyond usual earnings or compensation, cannot exceed 20 weeks of compensation at the termination rate, excluding paid time off and accrued vacation leave. Severance pay is also prohibited if the employee or contractor is terminated for misconduct, which includes criminal conduct. Political subdivisions must post severance agreements on their websites.

Texas HB762 limits severance pay for political subdivision employees and contractors to 20 weeks of compensation, excluding paid time off and.

Texas HB762 amends the Local Government Code to add a new section limiting severance pay for political subdivision employees and independent contractors. Severance pay, defined as dismissal or separation income beyond usual earnings or compensation, cannot exceed 20 weeks of compensation at the termination rate, excluding paid time off and accrued vacation leave. Severance pay is also prohibited if the employee or contractor is terminated for misconduct, which includes criminal conduct. Political subdivisions must post severance agreements on their websites.