The basis of a settlement or redundancy agreement is simple – your employer offers you financial compensation or some other incentive for you to enter into a settlement agreement, also known as a redundancy agreement or compromise agreement. By you signing this agreement the employer has peace of mind that you will not bring an employment-related claim against the company.
Negotiation is key when dealing with a settlement or redundancy agreement. If the negotiation is done well you could end up with a better package. Not every employer is willing to negotiate further however it is always worth trying to enhance your package through professional solicitors who are expert negotiators.
You will require expert legal advice and if negotiated properly, a settlement agreement can be the best way forward as what you are getting is set in stone and you avoid having to make a claim at an employment tribunal which may end up being costly and time-consuming.