Leaving your job, especially under less-than-ideal circumstances, can be daunting. A settlement agreement offers a chance to secure a clean break and financial compensation. However, achieving the best possible outcome requires strategic negotiation and a clear understanding of your rights. As my role as a settlement agreement solicitor I advise and represent employees in the resolution of claims and disputes with their employer. In my latest blog I cover the key areas to maximising your settlement agreement.

Maximising Your Settlement Agreement

Beyond the Basic Reference

Most settlement agreements include a standard, factual reference. While this is essential, aiming for a more positive and detailed reference can significantly benefit your future career prospects. Don't just settle for dates of employment and job titles.

Negotiate Specific Wording‍

‍Propose wording that highlights your key achievements, skills, and positive contributions. Focus on quantifiable results and positive attributes.

Agree on a Script

If a verbal reference isn't feasible, agree on a script that your former employer will use when contacted by potential employers.

Maximising Financial Compensation: Understanding Your Worth

Financial compensation is a crucial aspect of any settlement agreement. To negotiate a higher payout, you need to understand your worth and the potential claims you could make.

Calculate Potential Claims

^‍Consider if you have potential claims for unfair dismissal, discrimination, breach of contract, and outstanding holiday pay. Even if your claims are not strong enough to support an Employment Tribunal action , making your employer aware of your complaints will help your negotiating position.

Gather Evidence

‍Document any evidence that supports your claims, such as emails, performance reviews, witness statements and audio recordings.

Benchmark Against Similar Cases

‍Research settlement amounts in similar cases to understand the typical range of compensation.

Don't Accept the First Offer

‍The initial offer is rarely the best. Be prepared to negotiate and counter-offer.

Tactics for Effective Negotiation

Negotiating a settlement agreement requires a strategic approach. Here are some key tactics to consider:

Seek Legal Advice

‍As an experienced settlement agreement solicitor I can advise you on your rights, assess the fairness of your employer’s offer, and represent your interests during negotiations.

Maintain Professionalism

‍Even in challenging circumstances, maintain a professional and respectful demeanour. As stressful as it will be try and avoid emotional outbursts or inflammatory language. You may hate your employer but always negotiate in a controlled and focused manner.

Know Your Leverage

‍Understand your strengths and weaknesses. Identify areas where you have leverage, such as strong evidence or potential reputational damage to the employer.

Use Time as a Tool

‍Don't feel pressured to accept an offer immediately. Take your time to carefully consider the terms and negotiate for a better deal.

Document Everything

‍Keep detailed records of all communications, meetings, and offers. This documentation can be invaluable if disputes arise.

Consider a Non-Disclosure Agreement (NDA)

‍Be very aware of the implications of NDA's. These can be used to silence you, and prevent you from speaking about the circumstances of your departure. Always take legal advice legal advice on any NDA before signing.

Focus on the Whole Package

‍Don't just focus on the financial aspect. Consider the entire package, including your job reference, the impact on any confidentiality clauses, and any other benefits such as moving on as a good leaver.

Remember, a settlement agreement is a negotiation

‍By understanding your rights, gathering evidence, and employing effective negotiation tactics, you can achieve a favourable outcome that protects your interests and allows you to move forward with confidence.

I founded Settlement Agreement Expert with the purpose and objective of providing employees faced with signing a settlement agreement with a quick, simple and no-cost independent legal review and advisory service. For advice on your settlement agreement get in touch today, call 0330 043 8845, email clive@solicitor.help, or request a call back.