A Compromise Agreement is a formal arrangement between an employer and an employee often used when the employer wants to avoid certain claims or to terminate the employee’s existing contract.
The employer offers the employee the Compromise Agreement and this may include incentives such as financial compensation in addition to the severance package the employee was entitled to.
By signing the Agreement the employee gives up their right to bring a specified employment related claim against their employer.
When a Compromise Agreement is properly put together and negotiated between employer and employee it should offer the employee effective and adequate compensation for having their employment contract terminated. The agreement should also help an employee to avoid taking legal action on their own against their employer as this is often expensive, stressful and time consuming.
In order for a Compromise Agreement to be legally valid and enforceable, an employee is required to take independent legal advice. Please contact us if you have been presented with a Compromise Agreement to sign.
PB Employment Law is able to advise on every aspect of a Compromise Agreement. We will work with you and negotiate on your behalf to ensure that you receive the best possible legal protection. We may also, in appropriate cases, be able to assist you in obtaining the appropriate compensation package given your personal circumstances.
Our team has helped thousands of employees negotiate fair settlements with their employers. We have worked with every level of employee and many different types of employers to negotiate Compromise Agreements from very straightforward individual arrangements to extremely complex contracts involving hundreds of employees.
To find out how PB Employment Law can help you please contact us.