ACAS can settle employment tribunal claims (and potential claims) through a particular type of agreement called COT3. Parties to a COT3 are not required to be represented by lawyers. With the exception of a transaction contract, a COT3 is the only other legally binding route that a worker can give up/abandon. The payment may be combined with other payments as part of a broader transaction agreement, but you should receive a written statement indicating the amount of your severance pay and how it was developed. It will be paid into your bank account or the other account that is normally used to pay you. To generate the letter, just answer a few simple questions about your redundancy and based on your answers, the postman creates a letter for you. The brief answer to this question is that, under certain circumstances, you can still negotiate an improved agreement, but think of the comments below and also see our article: Is my dismissal fair? For a transaction contract to be valid against you, it must refer to certain sections of labour law. It must also contain clauses that say you are waiving some (or all) of your labour rights. . Many of the terms used have specific meanings that are necessary to give the transaction agreement its intended effect. Redundancy advice often leads to the offer of a transaction contract.
The employer must reduce overhead costs and probably has a legitimate reason to choose certain employees who are considered layoffs. During this process, the employer may ask whether a person would consider voluntarily dismissing or whether a settlement agreement can be proposed at the end of the termination. Has your employer given you a transaction contract or have you received a transaction document and don`t know what to do next? However, if you are fired for « redundancy » and your employer hires someone to do the same job as you, it is more like an apparent omission than a actual layoff. (The exception is when that person works with much less money than you do, which is a legally acceptable reason to fire you). Most employers (and their lawyers) use standard billing agreements designed to be « unit-friendly. » If there are certain claims that are obviously more likely to be applicable in your circumstances, they are sometimes mentioned separately in the agreement. They are sometimes referred to as « special claims. »