ACAS launches consultation on draft code of practice on settlement agreements

The government recently confirmed its proposal to introduce new legislation that will mean that pre-termination negotiations between an employer and an employee relating to terminating employment on agreed terms will not be admissible in a subsequent claim for unfair dismissal provided there is no ‘improper behaviour’ by either party. ACAS has now launched a consultation on a draft code of practice on settlement agreements that explains the new legislation, gives guidance on good practice when conducting pre-termination negotiations and includes an explanation of what might amount to ‘improper behaviour’.

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