Settlement agreement templates & examples for the UK

Settlement Agreement Examples & Templates

Here is a selection of settlement agreement templates (sometimes also known as compromise agreements) which are all fully up to date and compliant with the Equality Act and other relevant legislation. Remember that each case is different, so each settlement agreement will tend to be different too. The examples which we have provided below  reflect different types of deal which can be agreed between the employee and the employer.

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Settlement agreement template: standard version 1

This is a simple settlement agreement which most people will be absolutely fine with. It covers many standard terms.

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Settlement agreement template: standard version 2

This is very similar the Version 1 standard settlement agreement template, but just a different version, so you can pick and choose elements from each if you so wish.

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Settlement agreement template: inc. pension payment

This settlement agreement includes a payment into the employee’s pension fund. Its great for ex gratia payments over £30,000 (which are normally taxable) because payments into pension funds are also tax free. It's really for employees nearing retirement age because younger employees won’t be able to access the pension money for a long time!

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Settlement agreement template: inc. shares and company car

This settlement agreement would suit a senior executive employee or anyone who has shares which are going to vest and which they want to negotiate as part of their leaving package. And for good measure the employer in this example has agreed to chuck in the company car too. We only had to twist their arm a little bit for this, as they had behaved very badly!

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