Compromise Agreement or Settlement Agreement?
Your employer may have mentioned a compromise agreement to you, if you can only find information on settlement agreements, this is because settlement agreements and compromise agreements are the same thing. Compromise agreement is an old name for a settlement agreement, which is still occasionally used.
My employer has asked me to sign a compromise agreement
If you sign a compromise agreement or settlement 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, in order to give you legal advice
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
- The compromise 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 legal advice cost me?
We don't charge you for advice or negotiations we undertake on a compromise agreement for you. It is usual for your employer to pay a fixed fee for you to get advice, s all our costs will be paid by your employer. We will invoice them direct once the matter has concluded.
For more information visit our Employment Lawyer for Settlement agreements page.
Employment Law Advice For Employees
Need advice? Call us today & speak to a specialist lawyer
Our employment lawyers can advise you today. Free initial advice call