Lehman Cuts Off Severance For Ex-Employees

Law360, New York (October 7, 2008, 12:00 AM EDT) -- Bankrupt Lehman Brothers Holdings Inc. has reportedly decided to stop payment on the severance packages promised to workers who were let go as the investment giant began to crumble.

A letter has been sent to certain employees notifying them of Lehman's decision to cut off more money after Oct. 3, Bloomberg News reported on Monday.

“Lehman Brothers is unfortunately no longer able to provide the salary continuation or other payments described in your separation agreement,” the letter said, according to Bloomberg. “As a result you will...
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