Amendment to Employment Agreement between Voxx International Corporation and Patrick M. Lavelle (September 2022)

Contract Categories: Human Resources › Employment Agreements
Summary

This amendment, effective September 1, 2022, modifies the employment agreement between Voxx International Corporation and Patrick M. Lavelle. Due to economic conditions, Mr. Lavelle's base salary is reduced from $1,000,000 to $800,000 until the company decides it is financially prudent to restore the original amount. If Mr. Lavelle is terminated without cause or resigns for good reason, severance and benefits will be calculated based on his original salary. All other terms of the original employment agreement remain unchanged.

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EX-10.1 2 voxx-ex10_1.htm EX-10.1 EX-10.1

EXHIBIT 10.1

 

AMENDMENT made effective as of September 1, 2022 to Employment Agreement (the “Employment Agreement”) dated July 8, 2019 between Voxx International Corporation, 180 Marcus Blvd., Hauppauge, New York 11788 (the “Company”) and Patrick M. Lavelle, an individual residing at 131 Celebration Blvd., Celebration, FL 34747 (the “Executive”)

WHEREAS, due the present global economic conditions (the “Recession”), the Company has instituted a multitude of cost savings actions, including, without limitation, employee furloughs and salary reductions; and

WHEREAS, the Executive fully understands and appreciates the magnitude of the Recession and its detrimental effect on the Company’s business; and

WHEREAS, notwithstanding the existence of the Employment Agreement, the Executive is willing to voluntarily participate in the salary reduction program.

NOW, THEREFORE, IT IS AGREED BY THE PARTIES AS FOLLOWS:

1.
Effective as of September 1, 2022, Section 3.1 of the Employment Agreement is hereby amended to reduce the Executive’s Base Salary from $1,000,000 (hereinafter, the “Original Base Salary”) to $800,000 (hereinafter, the “Reduced Base Salary”). All capitalized terms contained herein are defined in the Employment Agreement.
2.
The Reduced Base Salary shall remain in place until such time as the Chief Executive Officer of the Company in consultation with the Company’s Board of Directors determines that it is financially prudent and in the best interest of the Company to restore the Reduced Base Salary to the Original Base Salary.
3.
In the event that Accrued Obligations or Post-Employment Benefits are due and owing to the Executive by the Company for Termination Without Cause or Executive’s Resignation for Good Reason, such Accrued Obligations or Post-Employment Benefits shall be calculated as if the Original Base Salary was in effect at the time of such Termination or Resignation, as the case may be.
4.
Except as modified herein, the Parties ratify and confirm the Employment Agreement as written.

 

 

IN WITNESS WHEREOF, the Parties have executed and delivered this Amendment as of the date first written above.

EMPLOYER:

VOXX INTERNATIONAL CORPORATION

 

By: /s/ Loriann Shelton

Printed: Loriann Shelton

Title: Sr. Vice President/COO

 

EXECUTIVE:

 

/s/ Patrick M. Lavelle

Patrick M. Lavelle