Settlement agreements in employment—practical and tax issues
Settlement agreements in employment—practical and tax issues

The following Employment guidance note provides comprehensive and up to date legal information covering:

  • Settlement agreements in employment—practical and tax issues
  • Parties to the agreement
  • Settlement agreements in the context of a TUPE transfer
  • Waiver of claims (full and final settlement)
  • Data subject access requests (DSARs)
  • Payment for legal advice
  • Employment tribunal fees
  • Dealing with pending court and tribunal claims
  • Personal injury claims
  • Third party rights
  • more

FORTHCOMING CHANGE: From April 2020, employer National Insurance contributions (NICs) will be payable on termination payments above £30,000. This change will be implemented by the National Insurance Contributions (Termination Awards and Sporting Testimonials) Act 2019. It was originally intended for this change to take effect from 6 April 2018 but on 2 November 2017, it was announced the Bill would be delayed and it would take effect from 6 April 2019. Then in the Budget 2018 it was announced that the change would actually take effect on 6 April 2020. In October 2019 draft regulations, the Social Security (Contributions) (Amendment No X) 2020, setting out how the new Class 1A Employer NIC charge will be reported and collected in real time through PAYE were published for consultation.

For more information, see reports of: 23 November 2017, 30 October 2018, LNB News 25/04/2019 65, LNB News 01/05/2019 1, LNB News 26/07/2019 3 and LNB News 17/10/2019 86.
UPDATE: On 21 July 2019, following its consultation on ‘Confidentiality clauses: measures to prevent misuse in situations of workplace harassment or discrimination’, the government announced that it proposes to: (1) legislate so that no provision in a confidentiality clause can prevent disclosures to the police,