What are Settlement Agreements and When Should You Use Them?

What Are Settlement Agreements and When Should Employers Use Them - LighterHR

A settlement agreement is a legally binding document that allows the employer to end employment by making a payment to an employee above that to which they are contractually entitled. In return for that payment, the employee agrees not to take any further action in relation to their employment. In this post we’ll look at some of the scenarios when a settlement agreement may be worth considering.