Compromise Agreement Solicitors & Lawyers » Termination Date

Employment Law – Enhanced Redundancy Entitlement can be subject to a Compromise Agreement

admin — Tue, 05 Jul 2011 14:37:41 +0000

In the case of Garratt v Mirror Group Newspapers Ltd [2011], the claimant claimed an enhanced redundancy payment pursuant to a collective agreement signed between his employer and the British Association of Journalists (a union of which he was a member). The entitlement to the enhanced redundancy payment of 2 weeks’ pay for each full year worked by the claimant was incorporated into his contract of employment by virtue of the said collective agreement.

The condition imposed by the respondent was that the claimant had to enter into a compromise agreement which would, amongst other things, extinguish all rights the claimant had or may have against the employer (to the extent permitted by law). The claimant refused to sign a compromise agreement, due to some outstanding issues with the respondent on the part of the claimant. The respondent therefore paid the claimant the statutory redundancy entitlement (which was over £30,000.00 less than he would have received under the enhanced package), and the claimant asserted that his entitlement to the enhanced redundancy was contractual and not subject to him signing a compromise agreement (which was not a contractual condition but rather based on the employer’s custom and practice). The claimant brought a claim for breach of contract on the basis that the respondent had breached the term of the collective agreement that now formed part of his contract of employment, as he was not required to sign a compromise agreement. Decision The court held that it was reasonable to imply that the enhanced redundancy entitlement would be payable subject to the employee signing a compromise agreement. The claimant appealed to the Court of Appeal.

It was held that the court was correct in arriving at the decision that the entitlement to the enhanced redundancy payment would be subject to signature of a compromise agreement by the appellant. In deciding not to sign the compromise agreement, the appellant had to decide whether the claims he would be waiving were potentially more valuable than the offer under the compromise agreement and seek one or the other – he could not have the benefit of both.

Compromise Agreement – Post Termination Provisions – Redundancy

admin — Tue, 21 Jun 2011 23:23:46 +0000

We are advising a number of employees on post termination provisions in their contracts of employment and compromise agreements. You must ensure as an employee that you are not setting up in competition with your employer or soliciting any of your employer’s clients. You must take advice on post termination provisions in your compromise agreements.

Redundancy Pay, Employment Law Compromise Agreement

admin — Sun, 22 May 2011 18:47:49 +0000

Employees facing redundancy are finding that a number of employers are simply offering statutory redundancy pay. Some employers are just offering the notice period to employees as their redundancy pay.

Lawyer Employment, Employee Rights, Voluntary Redundancy, Solicitors

admin — Fri, 04 Mar 2011 22:24:24 +0000

If you are an employee you should be aware of a warranty that may be included in your compromise agreement. The warranty would state that the employee confirms that the employee has not accepted an offer of employment. An employe is at risk of being in breach of the employee’s compromise agreement, if the empployee accepts an offer of employment prior to the termination of the employee’s existing employment.

Employment Law – Compromise Agreement

admin — Fri, 18 Feb 2011 20:22:44 +0000

Under employment law, any sums owed to an employer by an employee upon termination of an employee’s contract of employment, will normally be deducted from any severance payment being paid to the employee (unless agreed otherwise in advance). This should always be taken into account in a compromise agreement.

Employment Law, Compromise Agreement, voluntary redundancy, Confidentality

admin — Tue, 15 Feb 2011 22:33:35 +0000

If you are an employee and looking for employment law advice, then you should note that confidentiality is a crucial part of your compromise agreement. If you are yet to receive your draft compromise agreement, it is important that you do not disclose any confidential information about your employer in any pre-compromise agreement discussions with any third party, to ensure that you are not technically in breach of the confidentiality provisions that may be in your contract of employment. Once you sign your compromise agreement, the terms of the compromise agreemnt becomes binding.

Employee Rights, Termination of Employment, Redundancy, Compromise Agreement

admin — Fri, 11 Feb 2011 23:47:56 +0000

Depending on the circumstances surrounding the termination of an employee’s employment, a request by the employee to have the reason for termination included in or omitted from any subsequent compromise agreement (and reference, where applicable) is an important one, as this could impact future employment prospects.

Compromise Agreement, Employment Tribunal, Unfair Dismissal

admin — Tue, 08 Feb 2011 14:16:52 +0000

Where an employee and employer are involved in protracted negotiations over the terms of a compromise agreement, the employee should always bear in mind the time limits for bringing any prospective claim in an employment tribunal. If this date passes, this is likely to have an adverse effect on the employee’s negotiation position, if this was a relevant factor in the negotiations.

Compromise Agreement, Private Medical Cover, Redundancy, Unfair dismissal

admin — Sun, 06 Feb 2011 10:04:38 +0000

We are finding that when some employees are faced with redundancy, there are employers that are willing to allow these employees’ private medical cover to continue for a short period after the employees’ termination dates. This is not an entitlement and is always subject to the discretion of the employers. It clearly would depend on the circumstances in every case.

If you require legal advice on a compromise agreement, please contact RT Coopers at enquiries@rtcooperssolicitors.com

Employment Solicitors, Employee Rights, Compromise Agreement, Redundancy payment

admin — Wed, 01 Dec 2010 11:48:37 +0000

An employee should seek legal advice on an offer proposed by an employer if being made redundant. We are seeing that sometimes when an employee has another job offer, the employee is keen to leave his or her employment and does not seek legal advice on the offer. Once the compromise agreement is signed, it becomes a binding agreement.

If you require legal advice on a compromise agreement, please contact RT Coopers at enquiries@rtcooperssolicitors.com or visit one of the following pages on employment law:

© RT COOPERS, 2010. This Briefing Note does not provide a comprehensive or complete statement of the law relating to the issues discussed nor does it constitute legal advice. It is intended only to highlight general issues. Specialist legal advice should always be sought in relation to particular circumstances