Add Comment Question: Can an employer force you to take severance pay? I’m on LTD and it looks like it will just go back to the LTD insurance company and although I’ll be taxed on it, the LTD company will want to take the pretax income. Answer: My name is David Vaughan and I'm an employment lawyer with Samfiru Tumarkin. If you're on LTD and your employment is terminated, it's possible that the severance pay will reduce your LTD benefits. Given this reality, I recommend you contact our firm to discuss the matter in more detail and determine how we can assist you negotiate a severance package that minimizes the impact on your ongoing LTD benefits. Your Comment * Your Email * Your Name * Your City Note, your name, city and email is not displayed on the website. It is used to notify you that we have approved your comment.