Travelers 2014 Annual Report Download - page 299

Any cash payments made under Section III of this Severance Benefit Schedule B are intended to be exempt from Code § 409A under the
separation pay provisions of Treasury Regulation Section 1.409A
- 1(b)(9)(iii). Accordingly, notwithstanding any contrary provision in this
Severance Benefit Schedule B, the aggregate payments made to any Employee pursuant to Section III will not exceed two times (2x) the
lesser of (i) the Employee
’ s annualized compensation for the calendar year immediately preceding the calendar year of his or her
Termination of Employment, or (ii) the maximum amount that may be taken into account under a qualified plan under Code § 401(a)(17) for
the year of his or her Termination of Employment. For clarity, notwithstanding any provision of this Severance Benefit Schedule B to the
contrary, an Employee who has a Severance Benefit payable pursuant to Section III shall not be entitled to any amount in excess of the
lesser of (i) or (ii) that would otherwise have been payable to the Employee under the terms of Section III.
IV. Possible Reduction in Severance Benefits and Adjustment in Separation Date
The Severance Benefits described above are subject to all the terms and conditions of the Plan and may be reduced or eliminated under
various circumstances outlined in Articles III and IV of the Plan, including but not limited to when the Employee, after being informed of
his/her Termination of Employment, engages in insubordinate conduct, is disruptive in the workplace, engages in conduct that otherwise
damages the morale of his/her work unit or the office as a whole, produces a significantly or consistently inferior work product, abandons
his/her job by taking repeated unapproved absences, accepts employment with another employer, voluntarily resigns employment, or
otherwise engages in conduct that causes the Employee to become ineligible under the Plan. The Employer has the right to accelerate the
Employee
’ s date of Termination of Employment, and to reduce or eliminate the severance benefits as provided in Article III or IV of the
Plan, even if the Employee has already executed his/her Confidential Separation Agreement.
V. Relocation
An Employee who has relocated to his/her current work site at the request of the Employer or as part of an initial offer of employment and
who, within twenty
- four (24) months of such relocation, or, in the case of an initial offer of employment, within twenty - four (24) months of
such offer of employment, has a Termination of Employment due to a RIF, will receive relocation benefits corresponding to the then
current
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employee relocation plan of the Employer that is closest to the plan originally provided to Employee if: (i) the Employee relocates within
three (3) months of the date of Termination of Employment; and (ii) in such relocation, the Employee moves to a primary residence in one
of the forty
- eight (48) contiguous states within the United States of America. The cost, direction and limits of this relocation benefit will
be determined under the applicable relocation plan; provided that, in no event will the relocation benefit be available for expenses incurred
beyond the end of the second calendar year following the calendar year of the Employee
’ s Termination of Employment (and in no event
will reimbursement occur later than the end of the third calendar year following the calendar year of the Employee
’ s Termination of
Employment). An Employee will be considered to have relocated on the date on which he/she has actually physically relocated to a new
location. As a condition of receiving relocation under this Schedule B, the Employer may require the Employee to provide proof of a rental
or lease agreement or of an offer of purchase for property in the new location.
VI. Outplacement Services
An Employee who has a Termination of Employment due to a RIF will receive, at the Employer
’ s expense, professional outplacement
services. The cost, duration and content of these services shall be determined by the Employer and may be modified from time to time
without notice to the general Employee population; provided that, in no event will outplacement services extend beyond the end of the
second calendar year following the calendar year of the Employee
’ s Termination of Employment (and in no event will reimbursement occur
later than the end of the third calendar year following the calendar year of the Employee
’ s Termination of Employment).
The Employee will not be required to sign a Confidential Separation Agreement as a condition to receiving such outplacement services.
An Employee who has a Voluntary Termination after receiving Written Notice of Termination, but before the Termination of Employment
date specified in the Written Notice of Termination, will receive no additional outplacement services.
Any cash payments made under this Severance Benefit Schedule B that are deferred compensation subject to Code § 409A(a) are intended to
satisfy the requirements of paragraphs (2), (3) and (4) of Code § 409A(a). With respect to any installment payment, each installment is intended to
be treated as a separate payment for purposes of analysis under Code § 409A.
No other benefits are available under this Schedule B on account of an Employee
’ s Termination of Employment.
All capitalized terms used in this Schedule B, not otherwise defined in this Schedule B, have the meanings given to them in the Plan.
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Section 3: EX-10.30 (EX-10.30)