Compromise Agreement


What are compromise agreements

Compromise agreements are commonly used to settle a range of issues following the termination of an employee’s employment.  They are commonly used where:

  • · An employee has been made redundant
  • · An employee does not want to return to work after taking maternity/paternity leave
  • · An employee leaves the company due to underlying/unresolved grievances
  • · An employee is medically unfit to continue working

In addition, provisions for the payment of a sum of money and other benefits will be included.  In exchange for accepting a compromise agreement, the employee waives his right to pursue any claims he has through an employment tribunal.

For a compromise agreement to be valid, the employee must seek independent legal advice.  This requirement is in place to prevent employees being taken advantage of, as the balance of power is often in favour of the employer.  As an added bonus, the agreement will usually includes provisions to cover your legal costs.

What we can do to help

We have years of experience in negotiating the best possible financial packages for our clients who have been offered compromise agreements.  In our experience, the underlying issue often does not materially impact on the amount you can get, putting us in a great position to negotiate the best possible deal for you.

In addition to advising you on the compromise agreement itself, we will make sure that your are fully informed of all the legal avenues open to you.  For example, it could be the case that your employer has made your working environment difficult such that you have had to leave.  This is known as constructive unfair dismissal.  If your employer is not willing to accept such claims, we will advise you on the option of taking the issue to an employment tribunal and the consequences of doing so.

Get in touch

To find out what our compromise agreement specialists can do to help, get in touch to arrange your free initial consultation.

Tips and Documents

There are no documents attached to this page