I have a friend that works there and elected to stay. His reasoning was that he has been there 9 years, so if they did fire him soon, he would get more than 3 m

I have a friend that works there and elected to stay. His reasoning was that he has been there 9 years, so if they did fire him soon, he would get more than 3 months severance (he thinks it would be 1 month for every year, so 9 months). I don't know if that is true (written into a contract?), but I also didn't have the heart to tell him that if a company goes bankrupt, they probably don't pay out severance.