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Compromise Agreements

30 replies

trickyproblemo · 26/01/2012 09:38

I am in a difficult situation at work. After months of problems, I followed the Grievance procedures due to various ongoing and unresolved issues.

The grievances were brushed under the carpet.

My Union have said they will try to negotiate a Compromise Agreement.

Has anyone got any idea of what would be usual in these situations? My grievance relates to disability discrimination due to failure to provide reasonable adjustments plus victimisation and bullying from management.

We have lots of evidence to support my claim.

Is it reasonable to ask for several months pay in lieu of notice?

TIA

OP posts:
olgaga · 26/01/2012 10:39

A Compromise Agreement is basically an agreement to leave on agreed terms, ie a financial settlement and usually an agreed reference from your employer, and an undertaking from you not to take further proceedings against them (eg an Employment Tribunal). I take it you haven't actually resigned yet?

It sounds as though your union has decided you're not going to get any further with your grievance, and your case is borderline in terms of success at an Employment Tribunal - which is not an unusual situation. So if you have said to them you can't face carrying on in your employment, the only option is to try to negotiate a dignified exit for you, using the threat of an employment tribunal to put pressure on the employer to give you a decent settlement.

This is quite common. If you can't work there any more because there has been a breakdown in trust and confidence, but your case doesn't quite reach the threshold for constructive dismissal and disability discrimination, a Compromise Agreement is a good alternative to the trouble and expense of bringing (and for your employer, defending) a Tribunal claim.

A formal Compromise Agreement will need to be approved by a solicitor, which the union will have access to on your behalf.

theygotawaywithitsadly · 26/01/2012 11:20

If you feel really aggrieved it's sometimes horrible to have to walk away with one, but sometimes it's the only way possible. The firm will decide what they think is a reasonable settlement financially, you can ask your solicitor (paid for up to around £500 by the company)and union I guess to go higher if you feel it's not enough. To me it feltlike the complany were 'getting away' with the shitty way I had been treated but they had money, I didn't :( Had I been able to afford it I would have gone public and crucified them but the C A means you will never be allowed to say anything about how you left ever again!! (hence the name change !)

trickyproblemo · 26/01/2012 12:47

Thanks for responses.

I haven't resigned yet. My union said i have a very strong case - they blatantly did not follow legal requirements or the Code of Practice. If I have a greater than 51% chance of winning at Tribunal is it better to complete the tribunal forms, rather than accept a CA?

My union does not seem to want to refer me to their inhouse solicitors although they keep saying I have been dreadfully treated and have a good case.

I would also quite like my day in court as I don't want to feel as though they have got away with it.

It really is the principle, as well as any possible award.

OP posts:
theygotawaywithitsadly · 26/01/2012 13:26

I agree. If you feel you have a good case of winning an IT and can afford to wait for months till it comes up Grin I would do it. It sounds as if you were totally in the right legally which is a very importanmt point. Good luck!

prh47bridge · 26/01/2012 13:27

You need to get advice from a solicitor who specialises in employment law. I would expect your employer to pay for this if they offer a compromise agreement as it is not enforceable unless you have received proper independent legal advice. Once your employer has made an offer your solicitor will be able to advise you on whether or not to accept it.

MOSagain · 26/01/2012 13:33

As prh47 has said, your employers have to pay for you to see a solicitor (although they may cap the amount) if you go down the Compromise Agreement route.

theygotawaywithitsadly · 26/01/2012 13:41

I mentioned that the company would pay - up to a point - in my reply.

olgaga · 26/01/2012 16:38

If you are being advised by a union rep they will provide you with a solicitor to check over the agreement. Most unions now have solicitors to do their Tribunal work as the law (particularly on discrimination) has become so complex.

Having a strong case doesn't necessarily mean it's a winnable case.

You will get an idea of how strong your case is by your employer's response. If they refuse to make you an offer, or make you a derisory offer, it means they think they can take you on and win and possibly seek a costs order.

If they make you a good offer, it means they have made a judgement that you have a weak but arguable case and they would rather avoid the legal expenses.

If they make you a very good offer, they probably think you have a very good case. It's wise to check what you might expect from a Tribunal award as these usually aren't anywhere near as high as the big-money cases you read about in the paper.

Always reject their first offer initially, however good it seems. But bear in mind the whole "day in court" thing can be stressful and a bit of a let down.

trickyproblemo · 26/01/2012 16:56

Thanks everyone.

I have been waiting for a long time to have my case assessed by the unions solicitor. (it is my Rep who thinks I have a strong case).

Would it be prudent to lodge the tribunal forms whilst I am waiting to see about the CA or will this just aggravate management even more?

Would it be better to find my own solicitor to oversee the CA, (if offered) rather than using the unions inhouse solictor who may just want to settle the case as quickly as possible?

OP posts:
flowery · 26/01/2012 17:15

I would be concerned at the union saying they will negotiate a compromise without asking what you want or explaining what it means.

If you or your representatives ask for a settlement your employer will take that as either you don't think your case is particularly good, and/or you really don't want to take it further. The offer you get, if any, wil reflect that.

I would suggest making sure the union make no approaches to your employer without checking with you first and explaining.

olgaga · 26/01/2012 17:38

Flowery, in a unionised workplace it's quite common to seek a settlement in this situation as a way of avoiding a lengthy and costly dispute. I agree it should only be done if the member has agreed and all the options have been discussed, but OP hasn't said this was done without her agreement.

trickyproblemo · 26/01/2012 17:38

Hi Flowery,

the union did explain what a CA is. I was trying to get some idea of what comprises a usual settlement etc.

What I don't understand is if they believe I have a strong case, why we cannot proceed to tribunal? This would be my preference. I have loads of written evidence.

My concern is as you said - that work will assume I don't wish to take it further, when I do.

I am starting to feel that my union don't wish to pay their in-house solicitors. If they said I had a rubbish case then fine but when it's as clear cut as it seems, surely this is what I pay my subscriptions for?

Does anyone know how long it usually takes for a union to decide whether or not to refer to their legal team? I am conscious of the timescales involved in tribunal cases.

OP posts:
flowery · 26/01/2012 17:44

Olgaga yes I am perfectly aware seeking a settlement to avoid a costly dispute is common, but I disagree that the OP has made any kind of informed agreement to that tactic, and it sounds to me as though that isn't the case at all.

ilovemydogandMrObama · 26/01/2012 17:53

compromise agreements are sometimes a 'way out' for management when there have been mistakes, and can be a quick way to settle matters.

However, seems too early to go down this route as it's a last ditch sort of thing, and if you've started the grievance procedure, and especially if it involves disability issues, then please please get a specialist opinion.

Also, go above the union rep. You need the regional rep or at least someone quite high in the union at this stage.

MOSagain · 26/01/2012 17:53

LOL at someone trying to explain employment law to flowery, MN's resident employment expert Grin

trickyproblemo · 26/01/2012 18:06

I thought it would be better if I was to issue the tribunal papers and if work wish to offer me a CA then so be it. ( I can take legal advice whether to accept it etc and I gather from this thread they would have to pay for my legal advice).

However, im worried that if my union rep requests a CA, rather than wait for one to be offered, it would affect the amount on the table. I then run the risk of not being offered a fair settlement and missing the tribunal deadlines.

OP posts:
trickyproblemo · 26/01/2012 18:08

Thanks i love my dog, thats what I thought. I will go higher in the union then.

OP posts:
olgaga · 26/01/2012 18:45

Flowery sorry if I've offended you, but the way the OP explained it, it did not sound as though the union rep was making this approach without consulting her.

Her question original question was "Is it reasonable to ask for several months pay in lieu of notice?".

By the way, most unions now do all their legal work through Thompsons Solicitors, and have minimal in-house lawyers.

trickyproblemo · 26/01/2012 18:52

olgaga - i'm sorry if ive confused people, i've confused myself!!

Thanks everyone for your kind advice.

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olgaga · 26/01/2012 19:00

No problem tricky, as a relatively new user, I've got used to the occasional slap Grin.

ilovemydogandMrObama · 26/01/2012 19:28

right, the way it works in most unions is that the regional rep, usually a full time rep, has to authorize the matter to the union solicitors. So, if the local rep is in the process of negotiating a compromise agreement, it could be the case that the union solicitors aren't even aware of the situation.

So, you need to call the union HQ, or regional HQ and say you need legal advice fairly urgently. Yes, Thompson's are the in house solicitors for a lot of unions, and mainly on a flat fee for employment issues. Not sure about the personal injury side.

It sounds to me as if the local rep is out of his/her depth. Disability discrimination is quite serious and agree you need to keep the timeframe in mind for a tribunal.

trickyproblemo · 26/01/2012 19:40

Thanks I love my dog.

Ive been ringing the regional HQ for a while - they are very busy apparently and will assess the merits of my case in due course!

Is there any recourse with my union if they have missed the deadlines? (im worried now)

OP posts:
trickyproblemo · 26/01/2012 19:43

and no, the solicitors don't know about it yet (it is Thompsons).

There are other serious issues in addition to DD - also lots of evidence so can't see how they could wriggle out of it or feign ignorance.

OP posts:
olgaga · 26/01/2012 21:38

OP, the only deadline is that you must get an Employment Tribunal claim in within three months of the date of termination of your employment. If you haven't yet resigned, I wouldn't worry about that at the moment.

Does your rep understand that you are anxious about what they are doing? It's my impression they feel they have your agreement and that you must have said you want to explore your options with regard to resignation - otherwise they wouldn't be approaching your employer on your behalf.

You need to discuss your concerns with your rep, but if you feel unhappy about that then by all means write to your Regional Office. However, most lay workplace reps would not even be prepared to deal with an issue like this unless they have training and experience, and many are being advised by a full-timer anyway.

Thompsons are the leading trade union lawyers for both employment disputes and personal injury claims, and they have an extremely good reputation.

trickyproblemo · 26/01/2012 22:00

Thanks olgaga. Ill speak to my union again tomorrow. So.its not 3 months from the grievance(s) if I haven't resigned?

Thanks

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