Legal Advice for Employees

If your employer has offered you a settlement agreement, you’re required by law to get independent legal advice before you can sign it. This isn’t a box-ticking exercise. It’s your one opportunity to properly understand what you’re agreeing to, check the offer reflects what you’re actually entitled to and negotiate a better outcome if it doesn’t.

Our solicitors provide clear, straightforward legal advice for employees, explaining every clause in plain English and pushing back where the terms aren’t fair.

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two people drawing up a settlement agreement contract

Employment Law Help for Employees

A settlement agreement is a legally binding contract. In exchange for a payment, you give up your right to bring almost any employment tribunal claim against your employer, including claims you may not even be aware you have. Once you sign, that’s final. This is exactly why independent advice matters so much.

Read more about us and our process or see who pays the fee for a settlement agreement solicitor. In most cases, it isn’t you.

A settlement agreement is often the final step in a much bigger situation, so our employment law help for employees covers the whole picture, not just the document in front of you. You may need our advice if you’re facing:

  • A settlement agreement offered as part of a redundancy or restructure
  • A settlement agreement offered after a grievance, disciplinary process or performance review
  • Pressure to resign or a working environment that’s made your position untenable
  • A dismissal you believe was unfair, discriminatory or linked to something you raised
  • A settlement offer that feels rushed, low or unclear about what it actually covers

Understanding What You're Being Asked to Give Up

Signing a settlement agreement typically waives your right to bring claims including unfair dismissal, discrimination, unlawful deduction of wages and breach of contract, among others. Before you sign anything, we’ll check:

  • Exactly which claims the agreement is asking you to waive and whether that’s appropriate given your situation
  • Whether the financial offer reflects the actual strength and value of your position
  • Whether your notice pay, accrued holiday, bonus and any other contractual entitlements are properly accounted for
  • Whether any post-termination restrictions from your original contract still apply and whether they’re enforceable

Claims Settlement Agreement Advice Regularly Advise On

Redundancy: Checking your package reflects your actual entitlement, not just what’s been offered, and that selection was carried out fairly

Unfair dismissal and constructive dismissal: Advising on your rights if you’ve been dismissed, or felt forced to resign, because of your employer’s conduct

Discrimination: Including age, disability, gender, pregnancy and maternity, religion or belief, and sex discrimination. This is where compensation is uncapped and can include a separate award for injury to feelings

Whistleblowing: Protecting your position if you’ve raised concerns and believe you’ve faced retaliation as a result

Disputes in the workplace: Advice on grievances and how internal processes can affect the value of your claim

Protected conversations and without prejudice discussions: Understanding what your employer can and can’t use against you later

2026 Legal Developments That May Affect Your Settlement

Increased Injury to Feelings Awards

From 6 April 2026, the Vento bands used to calculate injury to feelings awards in discrimination cases rose, with the upper band now reaching £62,900 for the most serious cases, and exceptional cases exceeding that figure. If your situation involves any element of discrimination, this can materially increase the value of a fair settlement.

The Employment Rights Act 2025

Wide-ranging reforms to dismissal and redundancy rights are being phased in, with further changes expected into 2027. Some of these strengthen the position of employees who may previously have had limited protection due to short service.

Day One Rights

Discrimination protection has always applied from your very first day of employment, including during recruitment. Reforms are closing loopholes some employers have relied on to dismiss newer employees while avoiding scrutiny, meaning your position may be stronger than you think, even in a new role.

Redundancy Selection Under Closer Scrutiny

Tribunals are increasingly requiring employers to show that redundancy selection criteria don’t disproportionately disadvantage particular groups. If you were selected for redundancy and suspect the criteria weren’t fair, this is worth raising with us.

Tax Treatment

A settlement payment (lump sum) up to £30,000 can typically be paid free of tax, provided it doesn’t include other contractual payments. Read more on whether settlement agreement payments are taxable.

Not sure what your situation is worth? Try our settlement agreement calculator for a starting point, then speak to us for a proper assessment.

Explore Our Client Reviews

Why Work with Settlement Agreement Advice

Same-day Reviews

Most settlement agreements are reviewed the day we receive them. The majority of cases are wrapped up within about a week, depending on how quickly your employer responds.

We Only Push for Negotiation When it Will Actually Help

Not every offer needs to be challenged. Sometimes the fair advice is simply to sign. Where we do think there’s a genuine opportunity to improve your position, we’ll say so and negotiate on your behalf; where there isn’t, we’ll tell you that too, rather than manufacturing a negotiation that doesn’t add value. When we do negotiate, we typically secure an increase of 25–50% on the employer’s opening offer.

Real Employment Tribunal Experience

Many settlement agreements are negotiated in the shadow of a potential tribunal claim. Because our solicitors regularly handle tribunal disputes directly, we can give you a realistic view of what your claim might actually be worth, not just a best-case estimate.

No Hidden Costs

In most cases your employer contributes towards your legal fees and we’ll never go beyond that contribution without agreeing it with you first.

Founded on Deep Specialism

Settlement Agreement Advice was founded by David Harris, who has advised on employment matters for over fourteen years. Every solicitor on our team is regulated by the Solicitors Regulation Authority and is a long-standing member of the Employment Lawyers Association and we act for clients across England and Wales.

Frequently Asked Questions

Do I have to accept the first offer I'm given?

No. A settlement agreement is a negotiation, not a final decision handed to you. Initial offers are often set deliberately low, on the basis that some employees won’t push back. We’ll advise on whether your offer reflects your position and negotiate on your behalf where there’s scope to improve it.

 

What if I don't want to sign at all?

You’re never obliged to sign a settlement agreement. If you don’t sign, your employment situation continues as it was or your employer may pursue an alternative route such as a formal disciplinary or redundancy process. We can advise on what’s likely to happen if you decide not to proceed.

Will I have to pay for the advice myself?

In most cases, no. Employers typically agree to contribute a fixed amount towards your independent legal advice as part of the settlement process, so there’s usually little to no cost to you.

Is everything in a settlement agreement tax-free?

Not automatically. A termination payment up to £30,000 can usually be paid tax-free, but this depends on how it’s structured and whether it includes any contractual payments, which remain taxable. We’ll check the tax treatment of every element of your specific offer.

What happens if I've already resigned, is it too late to get advice?

Not necessarily, particularly if your resignation was connected to your employer’s conduct. Time limits for bringing a tribunal claim are strict ,generally three months less one day from the relevant date, so it’s important to get advice as soon as possible rather than waiting.

Complete your agreement in 3 easy steps

1
Start
Start by clicking "Start process", calling us, or requesting a callback from us.
2
Get Advice
We'll give you free legal advice on what your settlement agreement means and what your options are on the same day as we receive it. Negotiation services are available where applicable.
3
Sign-Off
Once you're happy with your employer's terms, sign and return it to us. We'll speak with your employer to seek closure that same day. We'll return your completed agreement so you can get back on with your life.

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