This is a worrying time for many employees and employers, and many may find themselves having to make difficult decisions. There are many government schemes available to help employers stay afloat through the coronavirus outbreak and support employees, however inevitably during this time of uncertainty, there may be an increase in redundancies.
Some employees may find themselves faced with an end to their employment and may be given a settlement agreement.
A Settlement Agreement (or Compromise Agreement as they were previously known) is a legally binding arrangement between two parties; the employer and an employee. The agreement sets out the terms and conditions that have been agreed by the employer and an employee to end an employment relationship or resolve a workplace issue.
One of the main benefits of using a Settlement Agreement is that through a process of negotiation it allows an employer and employee to end a workplace relationship or resolve a dispute in a legally binding, professional manner without the need for a costly tribunal.Read more about settlement agreements
If you are presented with a settlement agreement you will need an independent solicitor to review the terms of it. Our team of experienced employment lawyers can help you with this and your employer will pay our costs. We can ensure you are protected and that the terms of the agreement are fair and valid.
If you are an employer considering using a settlement agreement, it is advisable to seek legal advice to ensure the agreement is valid and that you follow a fair process.