After being released by their employer, some employees are granted severance pay. Severance pay is granted in numerous forms such as, continued income, insurance, a bonus lump sum, electronics, or stocks. Companies have no legal requirement or obligation to provide a layoff severance pay to an employee, unless it is specified in the given employee's contract. All that is required by federal law post-employment is full payment of all earned wages. This will usually include vacation day payments, but not sick day payments. Companies make sure to provide equal severance to all employees of a given level to avoid lawsuits.