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 prejudice rule where such conversations can only be kept out of the tribunal if there has been an attempt to resolve an existing dispute. There may be no such existing dispute in the cases envisaged by Vince Cable.

Standard settlement agreement forms will also be published.

The Business Secretary has also confirmed that the government does not intend to adopt the compensated no fault dismissals proposals which were canvassed in the Beecroft Report.

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