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i'm carl vincent head of employment at girling's and i'm going to answer a few questions shortly on settlement agreements the settlement agreement is a written document normally made between an employer and an employee which deals with the employee's exit from their employment it normally provides for payments to the employee in a waiver of claims in favor of the employer it gives an employer a clean break so the reassurance that once the agreement is made it's not going to receive any employment claims afterwards well the alternative to signing a settlement agreement is chancing iran in the employment tribunal but that's risky because it takes time it costs a lot of money and of course you've got to win and even if you get a tribunal decision in your favor the employment tribunal doesn't have the power to order certain things like an employment reference for example an employee can't be forced to enter into a settlement agreement by his or her employer at the end of the day it's a co...