Fill in the [brackets]
Subject: Settlement proposal - without prejudice except as to costs - [Your name]
Hi [Name], Thank you for your offer dated [date] of [summary of the offer]. I am willing to reach an agreed outcome. Before I can sign, I would like the following changes: 1. Payment: [amount / X weeks' pay] rather than [their amount], paid in my final pay or within [X] days, plus all holiday pay and entitlements owing. 2. Notice: [paid out / worked], with the last day being [date]. 3. Reference: an agreed written reference (attached / to be agreed) and a statement of service, and a commitment to give only that wording to prospective employers. 4. Announcement: an agreed message to colleagues and clients about my departure. 5. Equipment and benefits: [keep my laptop/phone / continue health insurance until [date] / transfer of the car or phone number]. 6. Restraint of trade / confidentiality: [remove / limit to X months and Y]. 7. Tax: confirmation of how each payment will be treated for tax. I would like to take independent advice on the full agreement before signing. Please allow me until [date] to do that and to consider the final wording. This email is sent in an attempt to reach settlement and is without prejudice except as to costs. Kind regards, [Your name]
Tips
- Get advice before you sign. A signed settlement is usually final and can stop you raising a personal grievance. Free options: Community Law, your union, or Employment New Zealand's mediation service.
- An employer cannot force a binding settlement without you having had a reasonable chance to get independent advice. In practice, if mediation was used, a mediator from the Ministry of Business, Innovation and Employment signs the agreement and makes it final and binding.
- Ask for everything in one list, then trade. The reference, timing and wording of the announcement are often cheap for the employer and valuable to you.
- If the offer has a short deadline, ask for more time in writing. Pressure to sign immediately is a reason to slow down.
- Check whether the payment will delay your Work and Income benefit start date before you agree the timing.
- Free help reading or sending this: Community Law (communitylaw.org.nz), Citizens Advice Bureau (0800 367 222), Employment New Zealand (0800 20 90 20) or your union.
General information, not legal advice. Keep a copy of everything you send. Spotted something out of date? Email help@unemployed.nz.