It is often the case an employer will suggest a settlement agreement, previously called a compromise agreement prior to 29 July 2013, to be signed by an employee whose employment is due to end, for example, as a result of redundancy.
The important consideration for an employee signing a settlement agreement is to remember the overall purpose is to terminate the contract of employment and waive an employee’s right to make a claim in an employment tribunal or court. Settlement agreements are voluntary and can be suggested by the employee or employer. When considering such an agreement, it is important to consider all the terms to be included and this is why it is important you should seek independent legal advice and ensure it is signed by the appropriate person. It is also useful to note employers will often pay for this.
Contact our employment specialists for advice on the terms of a settlement agreement.
Alison Jacobs is one of our Solicitors in Leicester, who are all experts in their fields and dedicated to quality client care. If you would like to find out more about our solicitors in Leicester please contact us.
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