Employment - Compromise Agreements

We anticipate that our client's will be aiming to manage dismissals most effectively in accordance with its documented procedures, to protect from unnecessary down-time as well as reducing the risk of a dispute in the Tribunals. We have wide experience in this area. We also anticipate these agreements may be used as a confidential means of resolving sensitive issues that often need to be addressed.

We have wide experience and knowledge of the issues relating to the termination of  employment. Our experience includes:

• advice on liability

• advice on the structure of termination payments

• taxation advice

• review and preparation of post-termination covenants to protect the business, and

• addressing issues such as confidentiality and intellectual property.

Recent instructions include:

• Negotiating terms of a Compromise Agreement for a building services supplier with a former director/employee for £5,000 less than the amount previously offered by the client.

• Advising a well known international technology services company on a claim brought by a former employee for wrongful dismissal, unfair dismissal and sex discrimination. Claims were settled by way of a Compromise Agreement for less than half the amount the client had been prepared to pay.

• Advising a Scottish newspaper publishing and printing company on collective redundancy obligations arising from the introduction of new technology in its business. The advice included the preparation and implementation of Compromise Agreements.

• Advising a UK manufacturer of silicon wafers on the reorganisation of its workforce following a downturn in business. The advice related to redundancy procedures and selection criteria, preparation and implementation of Compromise Agreements.