If your employer has given you a compromise agreement this usually means that the company is seeking to terminate your employment. In exchange for waiving your statutory and contractual employment rights, and the right to bring a claim in the employment tribunal, your employer will normally be making a compensation payment to you under the terms of the agreement. This type of agreement is attractive to your employer as it prevents you from bringing any Employment Tribunal claims against them. This type of agreement is likely to be attractive to you as you will be receiving a tax-free (up to £30,000) payment.
It is an essential requirement of compromise agreements that the employee receives independent legal advice in respect of the terms and effect of the agreement. The employer will usually contribute, if not cover, your legal fees in respect of seeking this advice.
As long as we don’t act for your employer, we can advise you on the terms and effect of a compromise agreement. We don’t just rubber-stamp. We aim to carefully review the terms, your contract, and understand your circumstances so that we can ensure the agreement is drafted in the most beneficial way possible for you.