What is an Employee Settlement Agreement?
A Settlement Agreement is a document which clearly sets out the terms of an agreement reached to settle potential employment claims. They are commonly entered into where an employee is leaving their employment with an employer. Usually the employer will pay some form of compensation to the employee in return for them agreeing to waive any potential claims that they may have under Employment Legislation.
Why do I need a Solicitor?
In order for a settlement agreement to validly waive the employment rights of an individual it must be a written document and the individual must have received advice from a relevant independent adviser (a solicitor or member of a trade union authorised to issue such advice). The adviser must issue a certificate confirming that they have given the relevant advice and that they are authorised to do so.
Why Batt Broadbent?
We will provide specific advice tailored to your situation. We will ensure that the agreement is legal and that you are fully aware of your rights before signing the agreement.
We will advise you on the amount of compensation and whether this is fair and we will take the time to explore your situation to ensure that you understand your rights and whether or not you could be entitled to more compensation and if so whether you will be able to negotiate this with your employer. Negotiation may involve requesting an increase in the amount of compensation you receive, discussion regarding benefits such as pension rights, and the potential amendment of any restrictive terms within your contract or the agreement which may prejudice you in future employment. We may assist you with negotiation or we can explain to you how best to negotiate direct with your employer.
How much does it cost?
Commonly the employer will pay for the cost of the independent advice and the cost of this can be negotiable dependent on the circumstances. Once we are aware of the circumstances we will be able to provide you with a fixed estimate of the cost of providing the relevant advice but we usually cap the cost of the advice at the amount the employer is willing to pay. If you wish to negotiate the terms of the agreement after receiving advice this is something we can also assist with and we can provide an estimate of the cost of doing so during our meeting.