Settlement Agreement Help

random360

Hi,

I'm seeking advice regarding a Settlement Agreement offer.

I've been experiencing ongoing issues at work for several months, the most recent being a disciplinary matter. I’ve been asked whether I would consider accepting a settlement agreement instead of proceeding with disciplinary action. While the issue raised isn’t serious enough to warrant dismissal, the working relationship has clearly deteriorated.

There have been threats that my department may be closed, and I’ve been told there would be no alternative role available to me—even though there are other departments where I have relevant experience.

I was also given a formal job description for the first time nearly two years after starting the role. During discussions about whether I was comfortable with it, I was informed they wanted to place me on a performance improvement plan.

This situation has caused considerable stress and has negatively impacted my mental health. I’m currently awaiting a response from my doctor.

I’ve worked at the company for six years.
My notice period is six weeks, based on statutory entitlement.
My salary is just under £30,000.
The offer on the table matches statutory redundancy only—no additional compensation.

I’d really appreciate any counter-advice, as I don’t feel this offer reflects the circumstances fairly.

gwynlas

It sounds as though they could go down the formal redundancy role if you do not agree.

They are also in the position to manage you out.

You could ask them to enhance their offer but if they disagree what would you do?

itsthelittlethings

Yes I agree. That is great wording. Go back and ask them if they would consider “enhancing their offer”.

Grumpy_chap

random360 said:

Hi,

I'm seeking advice regarding a Settlement Agreement offer.

I've been experiencing ongoing issues at work for several months, the most recent being a disciplinary matter. I’ve been asked whether I would consider accepting a settlement agreement instead of proceeding with disciplinary action. While the issue raised isn’t serious enough to warrant dismissal, the working relationship has clearly deteriorated.

There have been threats that my department may be closed, and I’ve been told there would be no alternative role available to me—even though there are other departments where I have relevant experience.

I was also given a formal job description for the first time nearly two years after starting the role. During discussions about whether I was comfortable with it, I was informed they wanted to place me on a performance improvement plan.

This situation has caused considerable stress and has negatively impacted my mental health. I’m currently awaiting a response from my doctor.

I’ve worked at the company for six years.
My notice period is six weeks, based on statutory entitlement.
My salary is just under £30,000.
The offer on the table matches statutory redundancy only—no additional compensation.

I’d really appreciate any counter-advice, as I don’t feel this offer reflects the circumstances fairly.

What do you want?
 - to stay at the company?
 - to move on with the best package you can?

If moving on is the option to progress, then you get 6 weeks pay plus any accrued holiday pay.  All taxable.
Statutory redundancy, not taxable.
How much extra would you want to go now and quietly?

The alternative is to stay which will cost the business more over the time it takes them to manage you out.  You know that.  They know that.  It is probably best not to say that but it can help with your negotiating a better payout.

Are you in a Union?

random360

I am not in a union.

I cannot stay with the company as stated if I do they will try and find a way to push me out as this has been happening for months.

I do as it happens have it in writting from meeting minuites from the company stating if they do not make enough in the next few months the department will close and if it does there will be no position available for me.

Therefore showing if redundancy happens they would not even consider me in any other role which is against the redundancy procedure as I have experience in other departments.

I have been advised by acas if taking a settlement amount it should be negotiable.

I do not know how much they are willing to pay, so don't know how high I should even consider.

But stat redundancy is a kick in the teeth.

lincroft1710

random360 said:

But stat redundancy is a kick in the teeth.

What exactly do you mean by this?

The act of being made redundant or the amount of money you would get if the employer just paid basic redundancy. If the latter then be aware that a redundancy payment is not compensation for length of service, but a payment to tide you over until you find a new job.

random360

I meant in regards to the offer i have been given which was equal to statutory redundancy feels low after dealing with this for months i have been put on anti depressants and been de-premoted as they had been trying to push me out.

lincroft1710

You can only get a better offer than statutory redundancy if you can persuade your employer it is in their interests to let you go now with enhanced redundancy terms rather than keep you on until compulsory redundancy is the only option

penners324

Pilon as well? 6 weeks + holiday and 6 weeks untaxed.

Id say take it

Uriziel

The reason why they offer you the minimum is because they have to do what is best for their company and you are able to ask for more if you can justify it especially if you mention the cost of living increase.

What you write about it not being serious enough to warrant dismissal is plain wrong. A company can sack you for literally any tiny form of misconduct and it is completely legal so get that out of your head and stop pretending you are on the board of directors deciding what is serious and what isn't.

Your salary is low which means you can be easily replaced not only by your company but also by other potential employer's who will get a reference from your current employer telling them that you're a bad cookie if they go ahead with the disciplinary action which will end up in any job offers being pulled so try to care a little more about keeping your record clear. This is something that can keep you unemployed for a long period and once you are unemployed for long periods it in turn will again deter employers.

Go ahead with this and just politely ask for more. If you have had any impact on revenue or achievements you can list them.