What is a Settlement Agreement?
A Settlement Agreement is an agreement used to settle employment claims which you may have against your employer.
Normally, employment is terminated under the Agreement and a financial package is offered to you, in return for settlement of your claims.
There will usually be other clauses in the Agreement, e.g.
- your employer promises to provide an agreed reference about you
- neither party will make derogatory comments about the other and
- both parties will keep confidential the existence of the Agreement and its terms.
Independent legal advice
If you are offered a Settlement Agreement which you wish to sign, you will need to take independent legal advice on its terms.
Your employer will normally pay a contribution towards your legal costs for this advice.
If you come to us, we will advise you on whether you are getting a fair deal, bearing in mind the value of your claims and entitlements. In some instances, we may be able to achieve a better deal for you, by negotiating on the terms with your employer.
Can only the employer make an offer of a Settlement Agreement?
Usually, it is the employer who makes an offer of a Settlement Agreement. However, if you want to broach the possibility of entering into a Settlement Agreement, we can approach your employer about this, on your behalf.
What are the advantages of entering into a Settlement Agreement?
Some of the advantages of a Settlement Agreement are that:
- it is usually quicker and cheaper than making a claim in the Employment Tribunal and
- you have a predictable outcome, compared to initiating Employment Tribunal proceedings.
If you need any help, please give Julia Woodhouse a call on 01926 831231 or email her at [email protected].
The above does not provide you with advice.
- Chance for Lawyers of the Future to Gain Valuable Work Experience - February 25, 2025
- Leamington Lawyer gives New Year Reminder to Make or Update your Will - February 25, 2025
- Love and Legal Agreements are in the Air this Valentine’s Day - February 25, 2025