Broadcom has announced plans for workforce reductions in 2025 as part of their strategic realignment toward artificial intelligence and custom chip development. With approximately 2,100 employees expected to be affected in the initial phase, understanding the potential severance benefits becomes essential for those who might be impacted. We've compiled this guide based on historical severance patterns at Broadcom and current industry standards to help you navigate this transition. If you're interested in maximizing your severance package, consider sharing your offer details on fired.fyi to access our comprehensive database of comparative severance information.

Broadcom's 2025 Layoff Strategy: Current Information

CEO Hock Tan recently shared an internal memo outlining the company's intention to "streamline operations to focus on our core competencies." While specific details about affected departments are still emerging, the restructuring will impact multiple regions and divisions throughout 2025.

Historical Overview of Broadcom's Severance Packages

Standard Severance Framework

Broadcom has maintained a consistent approach to severance, combining financial support with continued healthcare coverage. Here's what that has typically included:

Financial Support Structure

• Base severance calculation: Two weeks of base pay per year of service, with a maximum of 40 weeks
• Minimum severance guarantee: Eight weeks of base pay for individual contributors, regardless of tenure
• Additional compensation: Some packages have included two extra months of base pay

Healthcare Continuation

• Medical coverage: COBRA premium coverage matching the duration of the severance period
• Comprehensive benefits: Additional health-related benefits maintained during the severance timeframe

Executive Level Benefits (Established 2010)

Broadcom created a specific severance framework for vice president level and above positions in 2010.

Qualification Requirements

The plan applies to full-time U.S. employees at the following levels:

• Vice President
• Senior Vice President
• Executive Vice President

Comprehensive Benefits Package

• Base salary continuation:
  • Vice President: 6 months
  • Senior Vice President: 9 months
  • Executive Vice President: 12 months
• Performance bonus consideration: Prorated lump sum based on role and tenure
• Equity compensation: Cash equivalent for unvested stock options and equity awards
• Extended healthcare: COBRA coverage with company-paid premiums

Notable Variations and Considerations

Employee experiences have shown some variations in package implementation:

• Payment timeline fluctuations: Some instances of delayed severance disbursement
• Healthcare coverage duration: Varying periods reported, from three months to one year
• Post-acquisition adjustments: Following the Symantec acquisition, packages included two months base pay plus two weeks per service year, with matching COBRA coverage

Key Implementation Factors

• Package variability based on role, tenure, and termination circumstances
• Compliance with WARN Act requirements for mass layoff notifications
• Standard separation agreement requirements, including non-disclosure and non-compete provisions

Industry Comparison: How Broadcom's Severance Measures Up

Semiconductor Industry Severance Standards

Intel's Approach

Intel offers notably generous severance terms:

• Eight weeks of salary per year worked (capped at two years)
• Early retirement eligibility when age plus tenure equals 75 years

NVIDIA's Framework

While complete details aren't public, NVIDIA's reported severance includes:

• Service-based lump sum payments
• Continued health insurance for a defined period
• Individual adjustments based on specific circumstances

Anticipated 2025 Severance Framework

Expected Core Components

Based on historical patterns and recent company documentation, the 2025 packages are likely to maintain:

Financial Elements

• Standard calculation: Two weeks per service year (40-week maximum)
• Minimum guarantee: Eight weeks base pay for individual contributors
• Possible supplemental pay: Additional two months of base salary in some cases

Healthcare Support

• Initial coverage: Three months of medical insurance continuation
• Extended benefits: COBRA premium coverage matching severance duration

Executive Tier Benefits

The established executive severance framework is expected to continue with:

Eligibility Standards

• Applies to full-time U.S. employees at VP level and above

Comprehensive Package Elements

• Tiered base salary continuation:
  • VP level: 6 months
  • SVP level: 9 months
  • EVP level: 12 months
• Performance bonus consideration
• Equity compensation arrangements
• Extended healthcare coverage

Looking Forward

While we await Broadcom's official announcement of the 2025 severance terms, you can take proactive steps to prepare. Contributing your past severance details to our database helps build a more comprehensive resource for everyone facing similar transitions. The power of collective information sharing has repeatedly helped employees secure more equitable severance terms.

Our data consistently shows that informed employees are better positioned to negotiate favorable exits. When you receive your package, remember that sharing your offer details not only helps you understand your position but also strengthens the negotiating power of others in similar situations.

Remember that while this guide provides a framework for understanding your options, consulting with an employment attorney can provide valuable clarity about your specific situation.

Stay resilient during this transition - your skills and experience remain valuable assets in today's dynamic tech landscape.