Salisbury Law firm – Specialist Employment Lawyers 
If your employer has offered you a settlement agreement, it is important to obtain independent legal advice before signing it. Settlement agreements are legally binding documents which usually involve an employee agreeing not to bring employment claims against their employer in exchange for compensation or other agreed terms. At Bonallack & Bishop, our employment solicitors provide clear, practical advice to employees who have been offered employment settlement agreements.
We advise clients in Salisbury, across Wiltshire and throughout England and Wales.
Looking for specialist Settlement Agreement Solicitors? Call our experienced employment lawyers on Salisbury 01722 422300 for FREE initial phone advice – with no strings attached
What Is a Settlement Agreement?
This document, previously referred to as a compromise agreement, is a formal legal agreement between an employer and employee.
It commonly deals with:
- The termination of employment
- Compensation payments
- Notice pay
- Holiday pay
- Confidentiality obligations
- References
- Restrictive covenants
- Waiver of employment claims
Once signed, the agreement is usually final and legally binding.
That is why getting the right legal advice before signing is extremely important.
Why Do You Need a Solicitor?
For a settlement agreement to be legally valid, the employee must receive independent legal advice from a qualified solicitor or other authorised adviser.
Your solicitor’s role is to:
- Explain the agreement clearly
- Advise you about your legal position
- Identify any potential concerns
- Discuss whether the terms are reasonable
- Explain what rights you may be giving up
- Ensure the agreement is legally effective
Many employers contribute towards the legal costs of obtaining this advice.
Your Settlement Agreement – Clear and Practical Advice
Most employees dealing with settlement agreements are going through a stressful and uncertain period.
You may be dealing with:
- Redundancy
- Workplace disputes
- Performance concerns
- Disciplinary procedures
- Long-term sickness absence
- Relationship breakdown with management
Our employment solicitors aim to provide straightforward and practical advice in plain English so that you can make informed decisions confidently.
Reviewing the Terms of your Settlement Agreement
Not all of these kind of legal documents are the same.
Important issues may include:
- The level of compensation offered
- Tax treatment of payments
- Bonuses and commission
- Pension arrangements
- References
- Confidentiality clauses
- Restrictive covenants
- Return of company property
- Announcement wording
We will review the proposed terms carefully and explain any areas of concern.
Negotiating Improved Terms
In some cases, it may be appropriate to negotiate changes to the agreement. This could include negotiating:
- Higher compensation payments
- Improved references
- Amendments to restrictive covenants
- Clarification of confidentiality wording
- Agreed announcements to colleagues or clients
- Payment of bonus or commission
- Contribution towards legal fees
Where appropriate, our solicitors can negotiate directly with your employer or their solicitors on your behalf.
Settlement Agreements and Redundancy
Settlement agreements are commonly used during redundancy situations.
Even where redundancy appears genuine, it is still important to understand:
- What payments are being offered
- Whether redundancy pay is correct
- Whether notice entitlements are included
- Whether any additional claims may exist
Our solicitors regularly advise employees in Salisbury and Wiltshire on redundancy-related settlement agreements.
Senior Employees and Complex Agreements
Senior employees, directors and professionals may face additional issues within settlement agreements.
This can include matters involving:
- Share options
- Deferred bonuses
- Partnership arrangements
- Confidential business information
- Restrictive covenants
- Regulatory obligations
- Reputation management
Our employment team can advise on more complex agreements and negotiations where required.
Local Salisbury Employment Solicitors
Although we are a long established local Salisbury based law firm, we find that for settlement agreements, most of our clients normally prefer to deal with this by phone or video meetings – not least because this allows us to give a really prompt turnaround time in dealing with your settlement where deadlines are tight.
Confidentiality and References
These kind of legal documents frequently include confidentiality clauses.
These may restrict what both parties can say about:
- The employment relationship
- The reasons for departure
- The terms of the agreement
References are also an important issue for many employees. Where possible, it is often sensible to agree the wording of a reference within the settlement agreement itself to avoid uncertainty later.
Tax and Compensation Payments
Settlement agreements often involve different types of payments which may be treated differently for tax purposes.
These can include:
- Salary payments
- Holiday pay
- Notice pay
- Ex gratia compensation payments
- Bonuses and commission
Understanding how payments are structured can be important when assessing the overall value of the agreement.
Fast and Efficient Settlement Agreement Advice
Many employees want these kind of arrangements dealt with quickly so that they can move forward.
Where appropriate, we may be able to provide:
- Rapid review of the agreement
- Same-day or next-day appointments
- Remote signing arrangements
- Direct communication with the employer’s solicitors
In many cases, legal fees are fully covered by the employer’s contribution.
Speak to Our Salisbury Settlement Agreement Solicitors
If you have been offered an employment settlement agreement, our experienced employment law team is here to help.
Bonallack & Bishop’s Salisbury settlement agreement solicitors advise employees across Salisbury, Wiltshire and surrounding areas.
Call or email us now to arrange your appointment.
