The Laid Off Separation Agreement is used when an employer in England and Wales needs to formally document the termination of employment through redundancy. It provides legal protection for both parties by clearly stating the terms of separation, including financial settlements, continuing obligations, and the waiver of potential claims. The agreement must comply with UK employment law requirements, including the provision of independent legal advice to the employee. It's particularly relevant during company restructuring, downsizing, or when positions become redundant due to technological or organizational changes.
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1. Parties: Identification of employer and employee
2. Background: Context of employment and circumstances leading to separation
3. Definitions: Key terms used throughout the agreement
4. Termination Date: Specific date employment ends and related provisions
5. Payment Terms: Redundancy payment, notice pay, and other financial considerations
6. Tax Indemnity: Tax treatment of payments and related indemnities
7. Waiver of Claims: Employee's waiver of employment-related claims
8. Confidentiality: Obligations regarding confidential information
1. Garden Leave: Terms of garden leave during notice period, if applicable
2. Post-termination Restrictions: Non-compete and other restrictive covenants for business protection
3. Share Options: Treatment of existing share options and company shares
4. Reference Provision: Terms and conditions for future employment references
1. Schedule 1: Payment Breakdown: Detailed breakdown of all payments including redundancy, notice and other entitlements
2. Schedule 2: Claims Being Settled: Comprehensive list of specific claims being waived under the agreement
3. Schedule 3: Adviser's Certificate: Independent legal adviser's certification as required by law
4. Appendix A: Reference Template: Agreed form of reference template for future employment inquiries
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