Tax treatment of settlement payments

In this case, the Tax Tribunal found that a payment made in a settlement agreement where discrimination was alleged in relation to a redundancy exercise was taxable, subject to the £30,000 exemption. This even though injury to feelings compensation for… Read on

New ACAS code of practice on settlement agreements

ACAS is currently consulting on a new Code of Practice designed to give guidance on discussions around the possible termination of an employee’s employment. There are a wide variety of situations where an employer (or an employee) might suggest that… Read on

Dismissal conversations to be kept from court

Business Secretary, Vince Cable, has just confirmed that legislation will be introduced to enable employers to offer termination packages to employees without fear that this will be used against them in a tribunal claim. This would extend the current without… Read on

What is a compromise agreement?

A Compromise Agreement is the old name for Settlement Agreements. A Compromise Agreement (or Settlement Agreement) is a special type of agreement through which an employee can settle claims against an employer. An employee cannot contract out of their legal… Read on

What is mediation?

Mediation is a process through which parties in dispute work with an independent, neutral third person who works with them to identify the issues and assist them in reaching a resolution. Mediation is a confidential process. It is voluntary, so… Read on

What is a settlement agreement?

A settlement agreement is a special type of agreement through which an employee can settle claims against an employer. An employee cannot contract out of their legal rights to bring employment claims to a tribunal unless this is done… Read on