Redundancy and Settlement Agreements
Do you have an employee who is being made redundant or who has agreed to leave your employment in exchange for a lump sum payment?
Sometimes, employment relationships may not work out… If you need advice, contact us today.
What is a settlement agreement?
A Settlement Agreement is a contract that an employer and employee sign to record the terms of the employee’s departure.
Your employee signs away their right to bring certain employment tribunal claims against you in exchange for an agreed payment from you.
For a Settlement Agreement to be valid it will need to contain certain terms and the employee must take legal advice to ensure that they understand what they are signing.
You would normally contribute towards the legal fees for this advice. You are also expected to give the employee a minimum of 10 days to consider the terms of the agreement.
Need advice? Contact us