At Bhayani HR and Employment Law, one of the most common enquiries we receive is regarding Settlement Agreements. We provide specialist and tailored advice to both Employees and Employers on the use of Settlement Agreements, formerly known as Compromise Agreements.
A settlement agreement is a legally binding agreement which is used to bring to an end the employment relationship by the consent of both the employee and the employer. The consequences of an employee signing a settlement agreement will be that they are then prevented from bringing or pursuing a claim before an Employment Tribunal or any claim in the future against the employer. The employer will often offer a financial package and the agreement will include other terms such as a confidentiality clause, discuss return of property and may even include a reference for the employee.
Advice for an Employee on a Settlement Agreement
If you are an employee and have been given a Settlement Agreement, you will need to seek legal advice before the Settlement Agreement can be finalised. The cost of this advice will often be met by your employer. Our dedicated employment solicitors will take the time to explain to you the terms and effect of the Settlement Agreement and help you reach a decision as to whether the Settlement Agreement is the right option for you. We are trained negotiators and will strive to achieve the best outcome for you. If you would like more information, please do not hesitate to contact us or visit our Settlement Agreement FAQ page.
Advice for an Employer when offering a Settlement Agreement
If you are a business or employer, and wish to consider offering a Settlement Agreement to an employee to resolve an issue that could lead to a legal claim or to facilitate the termination of the employment relationship, our expert employment team are on hand to provide clear and tailored advice. We will draft a bespoke Settlement Agreement, provide letters and guidance as to how the Settlement Agreement should be presented to the employee and also handle any follow up enquiries or amendments. A Settlement Agreement may not always be your only option and we will always explore any alternative routes that may save you time and money. If you would like more information, please do not hesitate to contact us or visit our Settlement Agreement FAQ page.
For more information on any advice on HR and employment related issues contact us on 0114 303 2300 or email [email protected]