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That's not a terrible deal. Even if someone was to know outright they wanted to take the buyout they could job hunt in their off hours. Basically it gives them until March 24th to line up new employment before they are even forced to declare a decision.
$20k and a car for changing jobs, sounds like an offer I would at least have to consider if I was in their shoes. Even if you pick up a car for the full $25k, after taxes for the cash buyout and the car you would still walk away with $7k or so in cash and you got a new car.
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