So I won't get sued, the following is purely a hypothetical that I made up. Any resemblance to any actual company, is purely coincidental.
Say you work for a multi-billion (trillion?) company that is a pioneer in banking, insurance, pharma, etc. fields. You're an ordinary employee (not management or anything special). The company has a very generous retirement package: pension equates to 80% of your best 5 years, provided you have worked 30 years for them and have a minimum age of 55 when you retire.
So, a typical person who started working for them when they were 25, could retire at 55 and have a private pension of 80% of their best five years working for them. That was the story of Martha (also a fictional name). Her best five years had an average of $100K US. Based on her habits, the company's actuarial scientists estimated she would live another 30 years, until she turned 85. That means, the company would have to pay her approx. $2.4 million ($80K/annual pension x 30 years).
So, one year before her 30th anniversary with the company, they fired her. No reason. The state from which the company operates requires at a minimum that companies compensate in terms of severance pay, a long-standing employee who was let go for no reason, at a minimum 1 week for every year of service.
To avoid a lawsuit and bad publicity rep, the company paid Martha 1 month for each of the 29 years she worked for them, which equated into 2.4 years x 100K pay or $240K severance package (as opposed to the $2.4 million she was entitled to had she been allowed to retire).
After her lawyers' fee (yes, you will need them as the company will not cooperate willingly) and other taxes, etc., Martha's take home amount was approx. $150K. To say she would have a hard time finding meaningful employment at the age of 54 is an understatement.
So, for those of you working for a large multi-national corporation with great benefits, check out exactly how many employees are actually able to retire and take advantage of the great benefits, once they reach a certain age. If too many are let go right before they can retire, make sure you have an exit plan.