Advice Column: Help from The Senior Advisors May 2024

”Seniors Moments”  is a new advice column where the innocent and the guilty shall remain nameless.  Send your real or imagined, funny or tragic, but always educational problems to the Seniors team, composed of anonymous ICMA Senior Advisors (who shall also remain nameless to protect their reputations ).

Dear Seniors, 

I am asking questions I hope I don’t need answers for. Things are getting a bit unsettled at work. I have a contract with severance provisions. If I got terminated, how does that work? Do I get paid all at once or like a regular employee for the term of the agreement? How does the VRS provision work? What should I know about getting another job? What questions should I be asking that I am not?

Sincerely, 

Every meeting feels like a performance review 

Dear Every Meeting Feels Like a Performance Review,

These are, I am sure, difficult and disconcerting times.  You state that you have a contract and that contract will likely determine the answer to a number o f your questions.  Moving forward, here is what the Seniors advise.

First of all, trust your instincts.  If you are getting that feeling, you are likely correct.  It is an extremely unsettling and stressful place to be.  If your governing body is not going to change anytime soon (that is, if there are no elections in the immediate future), you may want to ask yourself how long you want or are able to cope with the stress you are likely experiencing.  If the answer is “not much longer”, then you may want to initiate a job search now.  The old adage that it is easier to get a job when you already have one is true mostly, though most governing bodies nowadays understand that local government managers are sometimes the baby that gets thrown out with the bath water!

One option may be to speak to your Board Chair or Mayor to ask if there are things you need to be doing differently to make sure your governing body is satisfied with your performance.  This approach may be a sort of sideways approach to finding out if your fears are justified.

Even if you do not want to start a job search right now because you’d really prefer to stay where you are, I would still suggest that you pull up your resume, dust it off, and update it for the current position. It is easier to do this when you didn’t just get fired and you are not dealing with that emotional upheaval for you and your family. You might also start looking at what positions are available right now just to see what is out there. A good question to consider is whether you wish another CAO position or if you would be just as happy as a Deputy or Assistant CAO. 

What happens if you do get fired depends on your contract.  Your severance may get paid as one lump sum or it may get paid as regular paychecks for the months of severance in your contract.  If what they offer is not what you prefer, you can always ask for an alternative.  Generally, less taxes will be withheld if your severance is paid out over several months. If the contract is silent, the payout period may be a point of negotiation with the governing body for the locality to make the payout over the severance period, also with the possibility of including benefits during that time. 

Specifically, regarding health insurance, if this benefit is not continued past the termination date by the locality, you have right to exercise coverage under the federal COBRA provisions.  These regulations allow person to continue as a participant on the employer’s health plan for a specified number of months AT YOUR COST.  Some localities may add an administrative fee on top of that cost.

Regarding VRS, there is a special provision for managers that have 20 or more years of service credit at the time of termination.  Here is the information from the VRS website:

If you hold one of the following positions, are involuntarily separated from employment for reasons other than cause and are credited with 20 or more years of service credit at the time of termination, you may be eligible to retire with an unreduced benefit as early as age 50 if you are in Plan 1 or as early as age 60 if you are in Plan 2 or the Hybrid Retirement Plan. Your employer must certify your eligibility on the Certification of Exception from General Early Retirement Provisions (VRS-8). If you return to covered employment, you will be subject to the normal provisions for unreduced or reduced retirement under your plan, unless you are in a position that qualifies for this special waiver: 

·                Agency head appointed by the governor, a state board, commission or council 

·                School superintendent 

·                County, city or town manager or attorney 

·                Constitutional officer (if your position is abolished) 

Because the rules are different depending on plan, your age, and position, I’d suggest that you call and ask them, rather than rely on advice from others.  The VRS retirement rules for a CAO are different than for local government employees, so I would not necessarily expect your locality’s Human Resources professional to be familiar with them.

How quickly you can land another job will depend on a number of factors, one of which is your marketability.  The more visible you have been professionally (involvement in VLGMA, VACO, and VML, for example), the more recognizable you likely are to other professionals and to governing body members.  It is also impacted by the sheer number of positions that are available at the time you start searching as well as whether or not you wish to stay in Virginia. If you have a partner, how easily your partner can relocate and start another job is another factor, as well as your willingness to pull any children you may have out of school mid-year and relocate.  Governing bodies can be very understanding about not moving while children finish a school year.  

Starting a new position in a new locality is almost always a financial hit.  Relocation expenses (even if at least partially covered by your new contract), selling a house, buying a house, travel expenses, changes in family income, and a variety of factors can all be big financial hits on you and your family.  

Because of the way local governments typically search (assuming you are the CAO), it takes a while.  They typically go through some kind of process to hire a search firm, then the search firm must meet with the governing body to determine how they want to approach the search, the search itself has a time period when applications are due, and there are often several stages in the interview process before the governing body makes a final decision.  Then, there is contract negotiation and approval of the final contract (which must take place in open session). All-in-all, you can easily be out of work for 3-6 months on the short side, even if you get hired by another locality fairly quickly.

If you have a personal attorney, you may want to have the attorney review your contract and provide advice. If you are fired, some governing bodies are open to negotiation with you and some are not. Do not be afraid to ask for things that would help you – all they can say is no.  (E.g., if they want to fire you as soon as possible, but you think you need some time, they may be open to giving you several months still working or to let you have some flexibility in your hours until your last day so that you can interview.)

On a personal level, if you do get fired, it may knock you for a loop.  Try not to be disheartened.  If your actions or performance did contribute to that outcome, own up to that fact and then adjust and learn from the experience. If the governing body does not give you a reason and you know of no reason for them to fire you, just move forward.  It is harder to interview for a new position if you let this experience kill your confidence in yourself and your abilities.

Finally, the members of VLGMA can be extremely supportive and comforting should you find yourself in the situation of being fired.  Find someone you trust and feel comfortable with so that you can talk openly about the situation.  If you are a member of ICMA, the organization offers Members in Transition (MIT) support of various kinds that you can explore.  And of course, we Seniors are located throughout the state and are available with a welcoming ear.  Reach out to one of us or to others in the profession that you trust.

Good luck.  It’s not a fun place to be.  

The Seniors

The full list of Senior Advisors with contact information is available here.