Settlement Agreement - terms within

[Dire1]

Hello, I am in the process of agreeing a settlement with an employer. I need advice on the following:

1. I have asked for a breakdown of the lump sum payment, they have refused so far.

2. They have stipulated that any taxes or such by HMRC on the lump sum is my responsibility.  Can this be their responsibility?

3. There is an agreed reference letter. My employer however has not agreed on what their response will be to tick box reference requests. This leaves me open to a bad tick box reference. What is my wriggle room on this.

 

I am now tempted to request for all information, they have on me - GDPR.

 

I am okay with the lump sum , however I want my employer to do / provide the above.

 

Thank you.

[honeybee13]

Hi.

 

Have they offered you legal advice?

 

HB

[Dire1]

I am getting legal advice through my union.

[Dire1]

So far, the pitfalls have been highlighted by the legal adviser, but there's been no advice on what I can do.

[Dire1]

6 hours ago, Dire1 said:

So far, the pitfalls have been highlighted by the legal adviser, but there's been no advice on what I can do.

I've now been referred to a specialist employment lawyer. Thank you. 

[ericsbrother]

Lump sums are usually tax free for severance if under £30k so yes, your responsibility to ake sure you dont fall foul of HMRC shoud you decide to take a pension lump sum at the same time for example. Your normal pay and any paymet in lieu of notice wont be tax free though so you will need to chack what the offer includes

 

With the reference letter I would suggest that you get someone to drfat something and then offer it to them as mutually acceptableand that way of they agree to this but then slag you off later you have comeback. Tick box references are usually so anodyne there is nothing to say ohter then what is true so if you were off sick then they put the dates but wont say what was wrong, if you were formally disciplined in the recent past that will go down as well, the settlement cant hide the past truth as the next employer could sue them for telling lies on their form..

[Dire1]

Thank you for the advice.

 

The settlement is under £30k. I didnt have a notice period to serve, but understand it is a contractual matter.

I have noted the settlement is PILN, at gross rates which is fine. Do I call HMRC?

 

The reference is an issue though as if one is agreed, is there not a legal obligation on the employers part to maintain the same tone otherwise what's the point? How can this be captured within the agreement?

 

Certainly factual information is what it is e.g. no disciplinary actions, so no different on any format.

 

What I have seen in practice though is the informal phone call to get information, guess I just have to get on with things and keep that out of my head.

 

[ericsbrother]

You will get a pay statement and will have to fill out a tax return if the employer doesnt file their usual real time records so dont worry about things  for now.

 

You cant stop them saying what they want in informal phone calls but if they do say things that arent true thenm you have recourse to law to get an apology adn compensation for the damage done by the untrue statements.

i think you are overanalysing this though unless you have been bitten before. chances are once they have settled and waved goodbye they will be breathing a sigh of relief that thsi is all over regardless of what led to this position, they know it is the end so wont want to be causing more trouble for themselves.