HOUSTON -- The New York judge overseeing Enron Corp.'s bankruptcy approved a plan Tuesday to distribute about $1,100 in severance money to each of the approximately 4,500 workers laid off when the company filed for bankruptcy in December.

"That's what we wanted because people need it," said Deborah DeFforge, co-chairwoman of the Severed Enron Employees Coalition, a group of more than 600 laid-off workers.

Last week U.S. Bankruptcy Judge Arthur Gonzalez approved creation of a $5 million fund set up by Enron to be distributed to former employees based on hardship.

Enron hasn't said when severance checks will be distributed.

"We will move with all deliberate speed and get it done," company spokesman Eric Thode said.

Peterson said attorneys had discussed setting up a charitable fund to distribute the money, but decided the requirements for applications or screenings based on need could delay distribution.

Two other funds have provided assistance to former workers to pay mortgages and utility bills since the layoffs.