, productivity would plummet and the operating costs associated with the plant would remain high. If the plant does not take some type of remedial action it is possible that the plant will be forced to close, with a much higher job loss than the 200 currently contemplated.
M&L has identified several courses of action which could be adopted. These include offering severance packages which could total as much as $75,000 per employee; under the severance plan, employees would receive one month's salary for each year of service with the company. This would be a one-time payout that would end the company's obligation to the laid off employees.
Another alternative is that the company provide early retirement for workers. This early retirement plan (ERIP) would apply to approximately 146 workers and
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