Our experienced solicitors advise employers or employees on how to resolve disputes as quickly and cost-effectively as possible.

We have extensive experience of proceedings in the Employment Tribunal and the High Court, but increasingly use alternative dispute resolution methods (e.g. mediation) where appropriate. Our work involves advising clients on how to manage and resolve problems and our experience of dispute resolution strategies ensures our clients do not always have to resort to Court.

We advise on all matters relating to:

• Unfair, wrongful and constructive dismissal
• Discrimination – e.g. Age, Disability, Race, Sex, Sexual Orientation, Part-Time Workers, Equal Pay, Victimisation, Bullying, Whistleblowing
• Breach of contract
• Unlawful deduction from wages
• Redundancy
• Maternity, parental and adoption leave
• Working time regulations
• Restrictive covenants enforcement and avoidance
• Breach of confidence
• Occupational health and injury claims
• Compromise Agreements

For further information about our services please contact Khizar Arif on 01753 851 133 or by karif@lovegrovesllp.com.

Redundancy

In order to plan and implement a redundancy, the following matters should be considered:

• Planning
• Invitation of volunteers
• Collective and individual consultation - individual consultation is necessary for all redundancies and the law requires that collective consultation is required in multiple redundancy situations.The maximum compensation that can be awarded if an employer fails to consult is 90 days pay.
• Identification of a pool for selection
• Notification of large-scale redundancies (more than 20 employees) to BERR (formerly DTI)
• Use of objective selection criteria
• Compliance with all three stages of statutory dismissal procedures
• Advance notice of individual consultation meeting
• Permitting a colleague to be present at consultation meetings
• Opportunity to appeal
• Allowing seeking of suitable alternative employment
• Redundancy payment - dismissed employees with 2 or more years’ service are entitled to a minimum redundancy payment (see BIS’s Ready Reckoner for calculating the number of weeks' pay due). There is a maximum statutory payment (£9,900 from February 2008), but many employers pay more.
• Compromise Agreements (see below)
• Relocation expenses
• Assisting redundant employees obtain training/ alternative work

Compromise Agreements

A compromise agreement is a binding contract following the termination of employment, usually providing for a payment by the employer, which may provide for a ‘payment in lieu of notice’, in exchange for which the employee agrees not to pursue any claim to an Employment Tribunal or Court.

Employers are increasingly using compromise agreements as a way of preventing potential claims to a Tribunal or Court, especially in cases of redundancy. The only way an employer can be sure that an employee will not complain to a Tribunal after redundancy is to persuade them to sign away their right to do so. This can be done in a compromise agreement and has the effect of turning the redundancy package into a ‘full and final’ settlement of claims the employee has against the employer. Compromise agreements are recognised by statute and are the only way a claim can be resolved without Tribunal proceedings having been commenced.

The agreement will state the breakdown of the payments the employee is receiving and the extent to which the sums will be paid free of tax. The basic position is that the first £30,000 is free of tax but the employee will have to give tax indemnity to the employer within the agreement.

The employee must have the agreement explained by a ‘relevant independent advisor’ who must certify that advice has been given before the agreement becomes binding. We will not charge an employee more than the amount of legal fees which the employer has agreed to contribute.

Latest News