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Case Study: advising on a settlement agreement

Summary and aim:

To negotiate an increase to the settlement sums offered to our client by her employer.

Our client:

Senior manager of a retail company.

Summary of the situation and the challenge:

Our client had been with the company for several years and had enjoyed a good relationship with her manager, exceeded her performance targets and enjoyed her job.  Her manager then left and her new manager appeared to take a dislike to her. She started to receive negative feedback from her new manager and was unfairly blamed whenever anything went wrong within her team. She asked for support but her new manager failed to turn up to any of their one-to-one meetings.  Without any warning, she was called into a meeting and informed that her employment “was not working out”. She was offered a settlement agreement. Alternatively, the company would proceed with a performance review procedure.  She was understandably shocked and distressed at the news.

Steps

    • We provided reassurance and support to her in this situation.
    • We talked her through her options so that she was well informed in making a decision.  We explained what might happen if she stayed and the consequences of doing so. She decided that did not wish to continue working for the company but also did not think the sum offered was reasonable.

 

  • We approached the company on her behalf and set out the details of the unreasonable treatment by her new manager, the absence of a fair reason to dismiss her and the lack of evidence of poor performance. We accordingly asked for an increase to her settlement sum.

 

Outcome

 

  • After some negotiation, the company increased the settlement sum to a level which more properly compensated our client.
  • We were also able to secure a greater contribution to her legal fees which meant that our client did not have to cover our fee. We also obtained a positive reference for her.

 

 

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