Severance pay is money that an employee receives when they leave a job for reasons other than being fired. It is usually given to help them during the period of transition or to compensate them for their service to the company. Full definition
For example, an eligible employee may receive a week of severance pay for every year of successfully completed employment. (hkm.com)
Employees can be (and most often are) entitled to more than the statutory severance pay, just like they are often entitled to more than minimum wage. (toronto-employmentlawyer.com)
Even if it looks like your contract states what you will get for severance pay, it may not be valid, and you could be entitled to much more. (fortelaw.ca)