This is the second blog in our series ‘simplifying settlement agreements’ where we tackle these agreements clause by clause and give you the essential information in a nutshell. Our associate solicitor Claire Henderson explains the key aspects of announcements clauses and what to look out for.

Can a settlement agreement include an announcement about my departure?

Frequently when employees come to us for advice about settlement agreements, there are important concerns about their reputation, the messaging surrounding their departure and trying to maintain some control over that narrative. An agreed announcement is a useful tool in providing reassurance and clarity as to what both parties can say about the employee’s departure without mentioning the existence of a settlement agreement (particularly useful if there is a confidentiality clause preventing either party from disclosing the existence of the settlement agreement and the circumstances of the employee’s departure.

How will the announcement be made?

Like an agreed form of reference, the wording of the announcement will generally be set out in a schedule to the settlement agreement along with a clause in the settlement agreement specifying the timing of the announcement (the start of the notice period, garden leave, the last day of employment or on signature of the settlement agreement) and to whom the announcement will be made e.g. internally to all colleagues or only to certain categories of staff, and/or externally to customers or suppliers. There will usually also be a provision that neither party will say anything that is inconsistent with the agreed announcement.

If the circumstances allow, a constructive announcement is an attractive option for both parties. It costs nothing and offers certainty and a practical solution to what will be said about the employee’s departure. This can often encourage parties to resolve any outstanding issues and conclude the terms of the agreement.

Want to know more?

If you have been offered a settlement agreement by your employer, we would be happy to guide you through the process. Our team of employment solicitors is highly experienced in advising and negotiating on settlement agreements, providing specific expert advice tailored to your particular circumstances. Contact us at info@ergolaw.co.uk or on 0131 618 7007 to ensure that you are well informed and achieve the best possible deal in your circumstances.

You can also find out more about settlement agreements here or take a look at our other blogs in the simplifying settlement agreement series.

Author: Claire Henderson