From 29 July 2013, employers and employees will be able to
engage in confidential, "off the record" discussions and
negotiations about parting ways on the basis of mutually agreeable
terms. In effect, this allows an employer to have a
conversation with an employee with the aim of terminating the
employment under a settlement agreement (the new term for
compromise agreements) without the employee being able to rely on
details of the conversation as evidence in an unfair dismissal
claim
The new regime has certain limitations; Confidentiality applies
only in respect of ordinary unfair dismissal proceedings. It does
not apply where an employee brings proceedings for automatically
unfair dismissal (for example, whistleblowing), or a discrimination
or breach of contract claim. At this stage it is not known
how tribunals will approach claims involving ordinary unfair
dismissal together with one or more other claims. Another
limitation is that if either party engages in improper behaviour,
evidence of pre-termination negotiations will be inadmissible only
if the tribunal considers it just.
Read our latest full
blog on this subject for more details.
How can employers use this?
It is vital to get it right at the outset to ensure that any
'conversations' had remain confidential.
Please call or email me if you'd like more information - Nicole.Humphreys@acumenbusinesslaw.co.uk
or 01273 447069 (Direct line).