Common use of Employee Severance Policy Clause in Contracts

Employee Severance Policy. (A) Subject to CMTY’s usual personnel and qualification policies, CMTY will endeavor to continue the employment of all current non-management employees of PRFS in positions that will contribute to the successful performance of the combined organization. More specifically, CMTY will, after consultation with PRFS, prior to or soon after the Closing Date, inform each PRFS employee of the likelihood of such employee having continued employment with CMTY, Community Banks or any other CMTY Subsidiary following the Closing, and will permit any PRFS employee to apply for any employment position posted as available with CMTY, Community Banks or any other CMTY Subsidiary. If CMTY elects to eliminate a position or does not offer the employee a position of substantially similar job descriptions or responsibilities at substantially the same salary level in a work location within twenty-five (25) miles of the employee’s then current work location with PRFS (referred to herein as “Comparable Employment”), CMTY will make severance payments to the displaced employee as set forth in this Section 5.07(c)(i). (B) Subject to the following minimum benefits, CMTY will grant an eligible full-time employee, who was exempt as of the date of this Agreement, two weeks of severance pay (at his then current pay rate) for each year of service with PRFS or any PRFS Subsidiary prior to the employment termination date. The minimum benefit for exempt employees shall be two (2) weeks’ salary, and the maximum severance benefit will be fifty-two (52) weeks’ salary for PRFS exempt employees. CMTY will grant an eligible full-time employee, who was not exempt as of the date of this Agreement, one week of severance pay (at his then current pay rate) for each year of service with PRFS or any PRFS Subsidiary prior to the employment termination date. The minimum benefit for non-exempt employees shall be one (1) week’s salary, and the maximum severance benefit will be twenty-six (26) weeks’ salary for PRFS non-exempt employees. (C) All employees of PRFS or of any PRFS Subsidiary as of the Closing Date to whom CMTY does not offer Comparable Employment (as defined in Section 5.07(c)(i)(A)) with CMTY (each, an “Eligible PRFS Employee”) will be eligible for severance benefits set forth in this Section 5.07(c)(i), except that no employee of PRFS or of any PRFS Subsidiary who shall receive any payment or benefit pursuant to any “change in control” agreement or similar plan or right shall be an Eligible PRFS Employee. (D) Each Eligible PRFS Employee will remain eligible for such benefits if his or her employment is terminated, other than for “cause,” within twelve months after the Effective Date. (E) CMTY shall make outplacement services and job counseling services available to each PRFS employee who becomes eligible to receive severance benefits hereunder, and who was an exempt employee as of the date of this Agreement, on a basis to be mutually agreed upon by PRFS and CMTY prior to the Effective Date. (F) For purposes of this Section 5.07(c)(i), “cause” means the employer’s good faith reasonable belief that the employee (1) committed fraud, theft or embezzlement; (2) falsified corporate records; (3) disseminated confidential information concerning customers, CMTY, any CMTY Subsidiary or any of its or their employees in violation of any applicable confidentiality agreement or policy; (4) had documented unsatisfactory job performance; or (5) violated CMTY’s Code of Conduct.

Employee Severance Policy. (A) Subject to CMTY’s usual personnel and qualification policies, CMTY will endeavor to continue the employment of all current non-management employees of PRFS in positions that will contribute to the successful performance of the combined organization. More specifically, CMTY will, after After consultation with PRFSBFC, prior to or soon after the Closing Date, inform each PRFS BFC employee of the likelihood of such employee having continued employment with CMTY, Community Banks or any other CMTY Subsidiary following the Closing, and will permit any PRFS BFC employee to apply for any employment position posted as available with CMTY, Community Banks or any other CMTY Subsidiary. If CMTY elects to eliminate a position or does not offer the employee a position of substantially similar job descriptions or responsibilities at substantially the same salary level in a work location within twenty-five (25) miles of the employee’s then current work location with PRFS BFC (referred to herein as “Comparable Employment”), CMTY will make severance payments to the displaced employee as set forth in this Section 5.07(c)(i). (B) Subject to the following minimum benefits, CMTY will grant an eligible full-time employee, who was exempt as of the date of this Agreement, Eligible BFC Employee two (2) weeks of severance pay (at his then current pay rate) for each year of service with PRFS BFC or any PRFS BFC Subsidiary prior to the employment termination date. The , provided however, that the minimum benefit for exempt employees shall be two four (24) weeks’ salary, and the maximum severance benefit will be fifty-two (52) weeks’ salary for PRFS exempt employees. CMTY will grant an eligible full-time employee, who was not exempt as of the date of this Agreement, one week of severance pay (at his then current pay rate) for each year of service with PRFS or any PRFS Subsidiary prior to the employment termination date. The minimum benefit for non-exempt employees shall be one (1) week’s salary, and the maximum severance benefit will be twenty-six (26) weeks’ salary for PRFS non-exempt BFC employees. (C) All employees of PRFS BFC or of any PRFS BFC Subsidiary who are employed by BFC or any BFC Subsidiary as of the date of this Agreement and who continued to be employed as of the Closing Date Date, and to whom CMTY does not offer Comparable Employment (as defined in Section 5.07(c)(i)(A)) with CMTY or a CMTY Subsidiary (each, an “Eligible PRFS BFC Employee”) will be eligible for severance benefits set forth in this Section 5.07(c)(i), except that no employee of PRFS BFC or of any PRFS BFC Subsidiary who shall receive any payment or benefit pursuant to any “change in control” agreement or similar plan or right shall be an Eligible PRFS BFC Employee. (D) Each Eligible PRFS BFC Employee will remain eligible for such benefits if his or her employment is terminated, other than for “cause,” within twelve nine (9) months after the Effective Date. (E) CMTY shall make general outplacement services and job counseling services available to each PRFS employee who becomes eligible to receive severance benefits hereunder, and Eligible BFC Employee who was an exempt a management employee of BFC as of the date of this AgreementAgreement and to any individual who was employed by BFC as of the date of this Agreement and who receives any payment or benefit pursuant to any “change in control” agreement or similar plan or right in connection with the Merger, on a basis to be mutually agreed upon by PRFS BFC and CMTY prior to the Effective Date. (F) For purposes of this Section 5.07(c)(i), “cause” means the employer’s good faith reasonable belief that the employee (1) committed fraud, theft or embezzlement; (2) falsified corporate records; (3) disseminated confidential information concerning customers, CMTY, any CMTY Subsidiary or any of its or their employees in violation of any applicable confidentiality agreement or policy; (4) had documented continuing unsatisfactory job performance; or (5) violated CMTY’s Code of Conduct.

Employee Severance Policy. (A) Subject to CMTY’s usual personnel and qualification policies, CMTY will endeavor to continue the employment of all current non-management employees of PRFS in positions that will contribute to the successful performance of the combined organization. More specifically, CMTY will, after After consultation with PRFSEast Prospect, prior to or soon after the Closing Date, inform each PRFS East Prospect employee of the likelihood of such employee having continued employment with CMTY, Community Banks or any other CMTY Subsidiary following the Closing, and will permit any PRFS East Prospect employee to apply for any employment position posted as available with CMTY, Community Banks or any other CMTY Subsidiary. If CMTY elects to eliminate a position or does not offer the employee a position of substantially similar job descriptions or responsibilities at substantially the same salary level in a work location within twenty-five fifteen (2515) miles of the employee’s then current work location with PRFS East Prospect, Pennsylvania (referred to herein as “Comparable Employment”), CMTY will make severance payments to the displaced employee as set forth in this Section 5.07(c)(i)) and will make reasonable efforts to place each displaced employee in open positions with CMTY, Community or another CMTY Subsidiary. (B) Subject to the following minimum benefits, CMTY will grant an eligible full-time employee, who was exempt as of the date of this Agreement, two weeks of severance pay (at his his/her then current pay rate) for each year of service with PRFS or any PRFS Subsidiary East Prospect prior to the employment termination date. The minimum benefit for exempt employees shall be two (2) weeks’ salary, and the maximum severance benefit will be fifty-two (52) weeks’ salary for PRFS East Prospect exempt employees. CMTY will grant an eligible full-time employee, who was not exempt as of the date of this Agreement, one week of severance pay (at his his/her then current pay rate) for each year of service with PRFS or any PRFS Subsidiary East Prospect prior to the employment termination date. The minimum benefit for non-exempt employees shall be one (1) week’s salary, and the maximum severance benefit will be twentyfifty-six two (2652) weeks’ salary for PRFS East Prospect non-exempt employees. (C) All employees of PRFS or of any PRFS Subsidiary East Prospect as of the Closing Date to whom CMTY does not offer Comparable Employment (as defined in Section 5.07(c)(i)(A)) with CMTY (each, an “Eligible PRFS East Prospect Employee”) will be eligible for severance benefits set forth in this Section 5.07(c)(i), except that no employee of PRFS or of any PRFS Subsidiary who shall receive any payment or benefit pursuant to any “change in control” agreement or similar plan or right shall be an Eligible PRFS Employee. (D) Each Eligible PRFS East Prospect Employee will remain eligible for such benefits if his or her employment is terminated, other than for “cause,” within twelve months after the Effective Date. (E) CMTY shall make outplacement services and job counseling services available to each PRFS employee who becomes eligible to receive severance benefits hereunder, and who was an exempt employee as of the date of this Agreement, on a basis to be mutually agreed upon by PRFS and CMTY prior to the Effective Date. (F) For purposes of this Section 5.07(c)(i), “cause” means the employer’s good faith reasonable belief that the employee (1) committed fraud, theft or embezzlement; (2) falsified corporate records; (3) disseminated confidential information concerning customers, CMTY, any CMTY Subsidiary or any of its or their employees in violation of any applicable confidentiality agreement or policy; (4) had documented unsatisfactory job performance; or (5) violated CMTY’s Code of Conduct.

Employee Severance Policy. (A) Subject to CMTY’s usual personnel and qualification policies, CMTY will endeavor to continue the employment of all current non-management employees of PRFS in positions that will contribute to the successful performance of the combined organization. More specifically, CMTY will, after After consultation with PRFSBFC, prior to or soon after the Closing Date, inform each PRFS BFC employee of the likelihood of such employee having continued employment with CMTY, Community Banks or any other CMTY Subsidiary following the Closing, and will permit any PRFS BFC employee to apply for any employment position posted as available with CMTY, Community Banks or any other CMTY Subsidiary. If CMTY elects to eliminate a position or does not offer the employee a position of substantially similar job descriptions or responsibilities at substantially the same salary level in a work location within twenty-five (25) miles of the employee’s 's then current work location with PRFS BFC (referred to herein as “"Comparable Employment”"), CMTY will make severance payments to the displaced employee as set forth in this Section 5.07(c)(i). (B) Subject to the following minimum benefits, CMTY will grant an eligible full-time employee, who was exempt as of the date of this Agreement, Eligible BFC Employee two (2) weeks of severance pay (at his then current pay rate) for each year of service with PRFS BFC or any PRFS BFC Subsidiary prior to the employment termination date. The , provided however, that the minimum benefit for exempt employees shall be two four (24) weeks’ salary, and the maximum severance benefit will be fifty-two (52) weeks’ salary for PRFS exempt employees. CMTY will grant an eligible full-time employee, who was not exempt as of the date of this Agreement, one week of severance pay (at his then current pay rate) for each year of service with PRFS or any PRFS Subsidiary prior to the employment termination date. The minimum benefit for non-exempt employees shall be one (1) week’s ' salary, and the maximum severance benefit will be twenty-six (26) weeks’ ' salary for PRFS non-exempt BFC employees. (C) All employees of PRFS BFC or of any PRFS BFC Subsidiary who are employed by BFC or any BFC Subsidiary as of the date of this Agreement and who continued to be employed as of the Closing Date Date, and to whom CMTY does not offer Comparable Employment (as defined in Section 5.07(c)(i)(A)) with CMTY or a CMTY Subsidiary (each, an “"Eligible PRFS BFC Employee”") will be eligible for severance benefits set forth in this Section 5.07(c)(i), except that no employee of PRFS BFC or of any PRFS BFC Subsidiary who shall receive any payment or benefit pursuant to any “"change in control” " agreement or similar plan or right shall be an Eligible PRFS BFC Employee. (D) Each Eligible PRFS BFC Employee will remain eligible for such benefits if his or her employment is terminated, other than for “"cause,” " within twelve nine (9) months after the Effective Date. (E) CMTY shall make general outplacement services and job counseling services available to each PRFS employee who becomes eligible to receive severance benefits hereunder, and Eligible BFC Employee who was an exempt a management employee of BFC as of the date of this AgreementAgreement and to any individual who was employed by BFC as of the date of this Agreement and who receives any payment or benefit pursuant to any "change in control" agreement or similar plan or right in connection with the Merger, on a basis to be mutually agreed upon by PRFS BFC and CMTY prior to the Effective Date. (F) For purposes of this Section 5.07(c)(i), “"cause” " means the employer’s 's good faith reasonable belief that the employee (1) committed fraud, theft or embezzlement; (2) falsified corporate records; (3) disseminated confidential information concerning customers, CMTY, any CMTY Subsidiary or any of its or their employees in violation of any applicable confidentiality agreement or policy; (4) had documented continuing unsatisfactory job performance; or (5) violated CMTY’s 's Code of Conduct.