compromise agreements for employees
Compromise and Settlement Agreements
Settlement agreements are the new name for compromise agreements.
My employer has given me a Compromise Agreement to sign, what should I do?
If You sign a compromise agreement you will sign away your right to bring claims against your employer.
To protect yourself, contact us first, we can advise you as to whether the terms your employer has offered you are reasonable and if you could be compromised by signing away your employment rights. If the terms are not in your best interests we can negotiate with your employer on your behalf.
We can advise you either by telephone or in person. We will need to see your Compromise Agreement and your contract of employment, if you have one.
What is the benefit of a Compromise Agreement for me?
If your employer has asked you to sign a Compromise Agreement, the potential benefits for you are that:
• Your employer may offer you an enhanced tax free payment for signing the Compromise Agreement;
• The agreement creates a clean break for you and allows you to move on and find alternative employment, saving you time and money on a Tribunal claim; and
• The Agreement ensures your employer provides an agreed reference for future employers so you know what they have written and can approve the reference in advance.
How much will it cost me?
We do not charge you for our advice or any negotiations we undertake on your behalf. All our costs will be paid by your employer, who we invoice direct once the matter has concluded.
It is usual for an employer to pay a fixed fee to us as set out in the Compromise Agreement.