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Case Study: Avoiding Tribunal Claims by Agreeing Severance Terms Using a Settlement Agreement


How a solicitor in Brighton helped an employer rectify an unfair dismissal by offering a Settlement Agreement.

The situation

123 Pre-School were attempting to change their employees’ terms and conditions due to organisational and regulatory needs. This included a requirement for their nursery nurses to obtain a childcare qualification. They also required everyone to work five days per week, to meet the needs of the business.

Unfortunately, 123 had received poor advice from their legal expenses insurer and had already terminated their employees’ existing contracts, without consulting them. One employee did not wish to accept the new contract and complained that they were unfairly dismissing them as well as discriminating against them because they were older than other staff.

What Martin Searle Solicitors did

Martin Searle Solicitors stepped in to guide the employer through the process of offering the employee a Settlement Agreement in order to terminate her contract by mutual consent. The employee’s solicitor tried to secure a larger compensation payment. We were able to show that any requirement for further qualification could be objectively justified and therefore there had not been any age discrimination.

The result

A compromise was reached by the employee being offered one additional week’s pay as compensation on top of the equivalent of her Statutory Redundancy Pay entitlement and payment in lieu of notice.

The employee was satisfied as her main concern was to not have to work her notice and the employer was relieved that they did not have to deal with her outstanding grievances. The Settlement Agreement was concluded within 7 days.

This meant that the Pre-School did not have to hold a grievance hearing and a possible appeal and they were no longer at risk of a claim being made against them.

If you are an employer and require advice and assistance on employment termination and Settlement Agreements, our experienced Settlement Agreement solicitors can help. Contact us to find out more on 01273 609911, or email to find out more.

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