Bank of America Corp is telling fired employees that they cannot accept job offers from competitors for three months unless they give up either deferred compensation or their right to sue the bank, according to documents reviewed by employment lawyers.
Employees who get the pink slip at the nation's largest bank are told that under a federal law they will be paid for a notice period, allowing them time to find a new job.
But if they go to work for a competitor during that period, they must either sign a waiver effectively giving up their right to sue for discrimination, or give up uncollected deferred compensation, according to a lawyer who has represented these clients, a former employee and lawyers who have reviewed documents obtained by Reuters.
"What Bank of America is doing is warping the statute to their advantage," said David Wechsler, a lawyer at Wechsler & Cohen in New York who has represented Bank of America employees in this situation.
"I find this unusually offensive," he said.