ORANGE : Severance Package Offered 40 Workers

The City Council voted unanimously Tuesday to offer to pay the salaries of more than 40 employees through July 1, when they are scheduled to be laid off.

If the group of targeted employees accepts the offer, the city will also provide them with health insurance through Sept. 1 and career counseling. The cost of the severance package is estimated at $28,000, said Orv Placial, personnel director.

The workers would be eligible for the benefits even if they resign before July 1.

Employees who elect to remain on staff through July 1 will receive no severance benefits.

Council members said they are making the offer to ease the transitions of the laid-off employees and improve worker morale.

The offer is similar to one the city made earlier this month to seven top management employees, also slated to be laid off July 1.

The management employees, however, were offered health insurance through the end of the year.

The City Council voted in April to eliminate 50 city jobs by July 1 to help close an $11.2-million shortfall for fiscal 1993-94.