Although it can be hard letting go of employees, it is sometimes necessary for the survival, profitability, or growth of a business that it does – in other circumstances, it may, sadly, be the inevitable result of a business’s decline. Here at George Ide LLP we can help employers reach mutually agreeable compromise agreements with their employees upon redundancy.
Redundancy compromise agreements are statutorily arranged, legally binding agreements made between employers and employees in anticipation of the termination of an employment of contract.
Although redundancy is the most typical circumstance by which an employer may ask a solicitor to draft a compromise agreement, this situation may also arise by other means such as mutual agreement, dismissal, or Employment Tribunal-related circumstances.
Ideally, a redundancy compromise agreement should provide clarification and benefit to both parties.
As such it is a requirement that compromise agreements are legally enforceable. This means that, in addition to providing the agreement itself under section 203 of the Employment Rights Act of 1996, the employer, should ensure that the employee has received independent legal advice before signing any such agreement. Furthermore, in the vast majority of cases the employer must make either a full or part contribution towards the employee’s legal expenses in receiving legal advice.
Based in West Sussex, George Ide’s employment law solicitors are able to offer legal advice to employers looking to draft a Compromise Agreement – in addition, we are also able to provide independent legal advice to employees to ensure that they are informed of the full legal and tax implications of signing a Compromise Agreement, such as the way the agreement precludes the possibility of ever being able to pursue an Employment Tribunal Claim.
Whether you are an employer or an employee, call George Ide’s employment law solicitors to discuss the issues pertinent to your situation – we will strive to bring our expertise to the benefit of your situation. To find out more about our employment law solicitors please click on the staff profiles featured on this page.