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Settlement Agreements for furloughed / redundant employees

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With all the uncertainty caused by COVID-19 and increasing unemployment rates, being told that your employment is ending will undoubtedly be a distressing and worrying time.

Some employers are offering Settlement Agreements (a legally binding agreeing setting out terms on which your employment will end which, if agreed, will waive certain employment rights) as a matter of course, while others are taking a risk-based approach.

Whatever the reason for being offered a Settlement Agreement, employees or workers must take legal advice on the terms and effect of entering into the Settlement Agreement to make it legally binding. This also ensures that you feel supported and that it is not all ‘one-sided’.

The terms you accept will be key as they may impact your ability to find alternative employment, or your financial stability whilst you decide on your next career move. Therefore, choosing the right solicitor to assist you is very important. At BakerLaw, we will advise on whether, in our experience, it is best to push for a better deal and when it is best to settle. We are experienced in negotiating the terms of Settlement Agreements, whether financial or otherwise, to secure the best settlement for you.

A contribution towards your legal fees will normally be offered by your employer. We will advise on costs and provide transparency throughout whilst working within your budget. Often employees pay nothing towards their legal costs, as we negotiate terms on your behalf which results in an increased settlement, reducing worry and anxiety for clients.

If you would like advice on the terms and effect of your Settlement Agreement or you would like to instruct an expert to negotiate a settlement on your behalf, please contact a member of our Employment Team on 01252 730765.

Please note that this information is for guidance only and should not be regarded as a substitute for taking full legal advice on specific facts and circumstances.