Settlement Agreements, sometimes called Severance Agreements, are an effective way to deal with the termination of employment.
At mosshaselhurst Solicitors we have experience in using Settlement Agreements to resolve disputes between Employers and Employees. Used properly, a Settlement Agreement can provide a ‘clean break’ to both Employer and Employee. This allows both sides to move on with a Confidential Agreement without the potential expense of a protracted dispute.
How does it work?
A Settlement Agreement means that the Employee effectively passes up on his or her statutory and contractual employment rights. At the same time the Employer is able to offer a compensation payment that acts as a final settlement. Once agreed and signed, this Confidential Settlement allows both parties to move on without further redress from either side.
In order to protect both sides a Qualified Advisor must be involved in providing a Certificate that confirms that the Employee has been correctly advised on both the content of the Agreement and the effect of doing so.
mosshaselhurst Solicitors have a team that specializes in the drafting of Settlement Agreements which will ensure contractual protection as an Employer. See our free guide to Settlement Agreements which includes a more detailed explanation.