Want to talk to an expert employment law solicitor?

You'll receive a callback from a specialist within an hour

Chris Hadrill, the partner in the employment team at Redmans, analyses the “ACAS Guide on Settlement Agreements”: what is it, and what effect does it have?

What is the ACAS Guide on Settlement Agreements?

The ACAS Guide on Settlement Agreements is, to put it bluntly, a guide to settlement agreements published by ACAS. It contains guidance for employers and employees on the purpose and form of settlement agreements, as well as the admissibility of discussions relating to the offer of a settlement agreement (or the offer of settlement terms). It also contains a helpful explanation of who can enter into a settlement agreement, why an employer and an employee may wish to enter into a settlement agreement, and what the risks and benefits of completing a settlement agreement are.

What effect does the ACAS Guide on Settlement Agreements have?

The ACAS Guide on Settlement Agreements is intended to be a guide to “good employment practice”, rather than stipulating legal requirements for settlement agreements. For example, the ACAS Guide specifies that an employee should be allowed up to ten days in which to consider the offer of a settlement agreement as a matter of good practice; in reality, there is no legal requirement for employers to provide an employee with a reasonable amount of time in which to consider the terms of the agreement (although it is normally recommended that a reasonable period of time is given to the employee for various reasons).

If an employer is seeking to pressure you into signing a settlement agreement without giving you a reasonable period of time in which to consider the terms of the agreement then you should flag up to your employer what the ACAS Guide recommends in terms of timelines, and seek an extension of time in which to consider the terms.

How can the ACAS Guide on Settlement Agreements be helpful?

The ACAS Guide on Settlement Agreements can be extremely helpful – it is an easily-digestible guide to what an employee or an employer may want to consider when agreeing settlement terms (whether this is in relation to the termination of the employment relationship or not). It also contains some helpful templates for letters that an employee and/or an employer may wish to use when entering into and negotiating settlement agreements.

However, although the ACAS Guide on Settlement Agreements can be helpful, it is always advisable to obtain independent legal advice from a legal adviser (such as, for example, a specialist employment solicitor) – obtaining such advice will allow you to understand exactly what you’re signing, how the agreement can be improved, and what steps are necessary to finalize the settlement agreement (should you wish to sign it). Your employer will normally pay for this legal advice, and you’ll therefore normally have access to specialist legal advice on your settlement agreement with no direct cost to you.

The ACAS Guide on Settlement Agreements can be found here.

About

Redmans Employment Team deal with employment matters for both employers and employees, including drafting employment contracts and policies, advising employers and employees on compromise agreements, handling day-to-day HR issues, advising on restructures, and handling Employment Tribunal cases for both employers and employees Call 020 3397 3603 to speak to one of the members of our employment team or email us on enquiries@redmans.co.uk. Redmans have offices in Richmond, Chiswick, Hammersmith, Fulham, Kingston, Wimbledon, Ealing, Kings Cross and Marylebone (meetings strictly by appointment only).

Want to talk to an expert employment law solicitor?

You'll receive a callback from a specialist within an hour

Share →

Our awards

Request a callback

    Your first name (required)

    Your last name (required)

    Your email (required)

    Your telephone number (required)

    Brief details of your enquiry

    Contact us

    Please feel free to discuss your own position and concerns. Contact your nearest office on:

    T: 020 3397 3603
    E: enquiries@redmans.co.uk
    W: www.redmans.co.uk

    Testimonials

    4.76 Average

    235 Reviews

    Paul O

    Chris & Rana guided me through a redundancy discussion. Prompt & patient assistance with the documents & meetings. Clear advice & fast responses regarding negotiations. Would definitely recommend & would use again without hesitation.

    Posted 1 month ago

    Anonymous

    Outstanding, efficient service. Thank you so much!

    Posted 1 month ago

    Jaswant S

    Very very happy with the good service I got Thank you so much for your help

    Posted 1 month ago

    Anonymous

    Mel and Chris were fantastic and supportive throughout! 1000% recommend.

    Posted 1 month ago

    Emma D

    Good responsive service

    Posted 1 month ago

    Mike T

    Good efficient service.

    Posted 1 month ago

    Brenda G

    Very professional and helpful

    Posted 1 month ago

    Charles A

    Chris Hadrill was recommended to me when I found myself in need of a solicitor at very short notice. He contacted me almost immediately to arrange a call. Chris handled my case in a professional and timely manner and kept me notified throughout. Chris inspired confidence and made me feel I was being cared for. If ever I'm in need of legal representation, I would not hesitate to contact Chris. And will gladly recommend him to family and friends.

    Posted 1 month ago

    Rosalind R

    I was very happy with the service that I received from Redmans Solicitors. They were able to advise me accordingly with regards to my employment matter and stay within the agreed costing.

    Posted 1 month ago

    Karl B

    Caroline and Chris were so helpful and friendly. Couldn't of asked for a better service.

    Posted 1 month ago

    Dimitrios P

    Excellent, professional service, in time and within the expected value.

    Posted 1 month ago

    Barbara K

    Everything quickly and fairly. Very professional. Thank you.

    Posted 1 month ago

    Sabrina J

    I received a efficient professional service during the whole process of liasing between myself and my former employer to getting all forms signed and receiving my redundancy payment in full in the summer of this year.

    Posted 1 month ago

    Anonymous

    I received legal advice on a redundancy settlement agreement from Redmans Solicitors and was very impressed by the quality of their service. Chris Hadrill is highly experienced in settlement matters and was especially understanding of the particulars of my case, going out of his way to ensure that it was resolved quickly and with the utmost professionalism. I have no hesitation in recommending Redmans to anyone in need of employment advice and settlement resolution.

    Posted 1 month ago

    Anonymous

    Excellent service, with full explanations of everything needed. Both Chris and Mel answered all emails very promptly and were personable and efficient.

    Posted 1 month ago

    Anonymous

    I would like to thank Chris Hadrill, in particular who handled my case, for all his hard work, expertise and dedication. He listened with empathy and offered suitable advice, which made me feel valued and confident through a difficult time. I would highly recommend Chris and the team at Redmans Solicitors. Thank you.

    Posted 1 month ago

    Yann G

    Yann Guezennec / Chris Hadrill - Thanks for the detailed, informed and professional advice for my settlement. When comprise is the rule I felt we could have been maybe a bit more aggressive from the start. However an acceptable outcome considering the situation. Thank you

    Posted 1 month ago

    Valentina D

    Great service from Mel, she was very good at explaining every part of the settlement agreement and very efficient dealing with the HR team. Very professional team, I would definitely use them again in future if the opportunity came up.

    Posted 1 month ago

    Olaf S

    I was very happy with the service that I have received. Thank You Regards

    Posted 1 month ago

    Rebecca A

    I had a wonderful solicitor called Caroline who was so helpful and gave me all the information I need and explained everything in detail so I was crystal clear. Would highly recommend if you are in need of a solicitor!

    Posted 1 month ago

    Gareth J

    Very efficient, helpful and pragmatic support from Caroline. Happy to work with my requirements / suggestions but also made some very good points which helped to achieve a higher settlement amount. Would highly recommend Caroline and Chris.

    Posted 1 month ago