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Settlement Agreements Lawyer London UK
By: Settlement Agreements Lawyer London
What Is A Settlement Agreement?
A settlement agreement is a legal document drafted by your employer and offered to you to terminate your employment. The agreement becomes binding when it is signed by the employer, you and your legal adviser.
Why Should You Sign A Settlement Agreement?
Because doing so will usually result in payment of an agreed sum which will be greater than you would otherwise receive. Any ex-gratia payment element can usually be paid tax-free up to £30,000. This element of the package must not relate in any way to notice pay.
When Might An Employer Produce A Settlement Agreement?
Settlement agreements are commonly used to resolve the breakdown of the employment relationship or where an employer wishes to avoid going through a formal process around performance, conduct or redundancy. These processes usually take up considerable management time which may be saved by the use of a settlement agreement.
Who Decides The Terms Of The Settlement Agreement?
Whilst the employer will propose the initial terms these must be agreed with you. It is common for employees to requests changes (through their lawyer) to the draft agreement.
How Do I Negotiate For Better Terms?
A specialist employment lawyer will be able to guide you on the best approach. Tactics are important. Your ability to get a better exit deal will depend on whether the offer is a good one in the first place, the extent to which you have potential claims and the extent to which you or someone else on your behalf (like an employee representative)
Settlement Agreements London
Page Updated Last on: Apr 03, 2021