Your understanding is 100% wrong.

oh really because the money is Guaranteed.
and local media has all suggested they don't want to keep paying him when he's not here and that the contract is one of the issue for him not being gone at this point.
If that money isn't owed to him after he leaves..... he's gone already.

I think it's you that doesn't really get that.

You're wrong again. The contract is guaranteed if he doesn't breach the terms of the contract. Coaching another NHL team is a breach of terms that will void the contract. This is boiler plate for any NHL coaching contract.

you don't know what that contract says, and there have been other coaches who got both.
Making up as you go is just too funny. Like every report on him is the same... don't want to pay him while not here.
If it was soooo easy that it just went away if he coached somewhere else, than they wouldn't give a rats ass. But they do, so there goes that theory.

It amazes me that you think the front office is looking at this right now and wouldn't move on. They know, the players know, the fan base knows....it's time to move on.
But them having to pay him is the only thing saving him right now. Otherwise, they would let him talk to other teams and get him out the door.

You're wrong (again). NHL coaching contracts are designed to designate the role the coach has. So if he were fired he would still be with the team just in a different role. Unless he takes a different org. position in which case the contract is terminated.

what a bunch of horse crap.
just talking garbage.
when they fire someone they are gone. not in a "different role"
Babcock wasn't in a "different role"
When FL left their coach at the opposing teams arena while the team took off on a plane he wasn't in a different role.

Just stop your nonsense.
You make it sound like there is no negotiation and it's what the team wants. It's not. It's what the agent can negotiate.
fact is penguins have one if not the most expensive coach in the league.
https://www.capfriendly.com/coaches

If they could shed the poor performance and the huge salary as simply as.... go play for NJ... they would.
But it's not that easy and everyone knows that.