How much money should I get in a Settlement Agreement?
Most frequent question asked.
There is no set answer and it is not an exact science some of the factors to consider when reviewing the reasonableness of an offer are:
Your length of service (over 2 years you are a ‘protected employee’ under UK law and hence an offer can be higher to reflect this protection)
The Reason for Termination (is the reason to end your employment genuine? The less genuine the more you could expect)
Any valid claims? (if you have any potential claims that could be made then this can enhance the offer significantly)
Your notice period (are you required to work out your notice or could you have this paid in lieu)
Bonus (are you due a bonus or will you be losing out on one due to your termination – another bargaining chip)
Your contractual benefits (do you receive health or dental cover, company car or allowance, or generous pension contributions or share options – their value could be added to the mix)
Holiday entitlement (do you have any outstanding holiday, if so, this could be included)
Being made Redundant? (if you qualify, then a statutory redundancy amount is normally added)
Share options (Are you a good leaver for share option purposes, will you be losing out on shares due to your termination, could the loss be included)
Goodwill (are you leaving amicably and previously added real value to the employer, if so an offer could be higher to reflect this)
Disciplinary/Capability Process (are you the subject of an internal processes, if it is legitimate then the employer could argue you would be sanctioned or dismissed anyway, hence the offer may not be as attractive)
Grievance Process (if you have raised a legitimate grievance, this could put the employer at risk, so you could be offered more to withdraw it)
The factors above are the typical ones we consider, but not the only ones as no two case are ever the same, when determining the reasonableness of an employer’s offer.
Contact us to find out how much you should get
We advise clients throughout the UK, call us now for a free consultation and we’ll be happy to chat through the offer with you.
0203 669 2216
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