Havering Solicitors

HAVERING COMPROMISE AGREEMENT FAQS – GUIDE FROM HAVERING EMPLOYMENT LAW SOLICITORS

Why have I been given a compromise agreement ?

If you have been made redundant, are too sick to continue working or do not wish to return to work following statutory maternity or paternity leave, you may be offered a compromise agreement.  Legal disputes are costly for employers because even if the employee loses, the employee will not be ordered to pay legal costs.  If you accept a compromise agreement, you will be given a sum of money (for redundancy, it will be larger than statutory minimums).  Generally, you will not be required to work during your notice, you will be paid for the time you would have worked and will be allowed to seek new work immediately.  In return, you will waive your legal right to take your previous employer to a tribunal for unfair dismissal and other claims.

What will I typically get from a compromise agreement?

Whilst the content of your agreement will generally vary according to your particular circumstances, you can expect to receive two to four months of your salary, holiday pay for any holiday you have not taken and wages for your notice period (which you will generally not be required to work).  Payments are tax free up to £30,000.

Do I have to get legal advice?

It is a legal requirement that you get legal advice.  If you do not get ‘independent’ legal advice, the agreement will be invalid.

What is ‘independent’ legal advice?

Independent legal advice is advice given by a solicitor who is not connected with your employer in any way or by a trade union official.

Will I have to pay to see a solicitor?

In most cases no as employers will generally agree to pay your legal costs so you can receive advice on the agreement.

What claims or rights cannot be wavered as part of a compromise agreement?

Employers are not allowed to make you waive your right to claim for personal injury or asbestosis, as symptoms can take years to show.  Employers cannot force you waive your pension rights either.

Can I ask my employer for a compromise agreement?

It is not common for employees to ask employers for compromise agreements, although if you decide you would like to try, you should seek advice from a solicitor and approach your employer through formal legal channels.  Bear in mind that it could be possible that your approach will destroy the working relationship you share with the employer, which may be relevant if the employer suddenly changes their mind and decides not to dismiss you.

Please now visit the Havering compromise agreement lawyers page.