Acas has finally published new guidance to accompany the introduction of its new Code of Practice on Settlement Agreements which came into force on 29 July 2013. The new guidance, Settlement Agreements: a guide, and further information about the Code of Practice, is designed to help employers and employees understand when to use settlement agreements and how they can be negotiated. The guidance includes checklists for employers and employees, a model agreement, template “offer” letters, and some examples of how settlement agreements might be used. It also includes examples of what could constitute improper behaviour by either an employer or employee when discussing and using settlement agreements, which include harassment, bullying and intimidation, physical assault or the threat of physical assault and other criminal behavior, all forms of victimisation, discrimination and putting undue pressure on a party. Where an employment tribunal finds that there has been some ‘improper behaviour’, the tribunal has the discretion to decide whether it is just to admit evidence of those settlement negotiations.
This provides summary information and comment on the subject areas covered. Where employment tribunal and appellate court cases are reported, the information does not set out all of the facts, the legal arguments presented and the judgments made in every aspect of the case. Employment law is subject to constant change either by statute or by interpretation by the courts. While every care has been taken in compiling this information, we cannot be held responsible for any errors or omissions. Specialist legal advice must be taken on any legal issues that may arise before embarking upon any formal course of action.
