Rep Leach Files Legislation to Limit the Size of Excessive Severance Packages for Public EmployeesMarch 15, 2021
Last Thursday, Representative Jeff Leach proudly filed House Bill 3775, which would protect taxpayers’ hard-earned wages by capping public employee severance packages, known as “golden parachutes”, at 20 weeks of their prior salary. Additionally, the bill mandates the elimination of severance pay when public officials, as well as those who have contracts with political subdivisions, are terminated due to misconduct.
“It is high time that local government officials stop padding their own pockets at the expense of the Texas taxpayer. Terminated public employees, especially those entangled in scandal, should not receive excessively hefty severance packages while taxpayers struggle. Bottom-line: hardworking Texans deserve better,” said Representative Leach.
Under current law, there are no limits on the amount of severance pay that public employees can receive, and nothing bars individuals terminated for misconduct from still receiving severance pay. Consequently, such officials have received exorbitant severance packages after being terminated, all funded by public dollars.
HB 3775 would also increase local government transparency by requiring political subdivisions to publish all severance agreements for employees on their websites. Other states, including Illinois and Florida, have adopted similar legislation, and many have called for Texas to follow suit.
Representative Leach added, “I look forward to working with my colleagues in the Texas House to help pass this common-sense legislation. We will continue to collaborate and work towards real, substantive solutions for Texas taxpayers.”