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New guidance issued by NHS Employers on the use of settlement agreements and confidentiality clauses

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By Ceri Fuller


Published 14 March 2019


NHS Employers have issued a new factsheet for employers and workers in order to assist understanding of their rights when entering into settlement agreements.


The Facts

It provides advice on the use of confidentiality clauses and advice to workers who wish to “blow the whistle.” The guidance was developed by NHS Employers in discussion with law firms, including ourselves.

In addition NHS Employers has issued updated guidance on the use of settlement agreements. This confirms when a settlement agreement can be used, an example of the type of confidentiality clause that could be inserted into the agreement plus the statutory and regulatory requirements. The guidance also reminds employers of the need to obtain HM Treasury approval for any special severance payments, i.e., those above normal statutory or contractual entitlements.


What does this mean for employers?

This guidance confirms that settlement and confidentiality clauses can legitimately be used in to settle cases and potential claims. Employers are advised to read and apply the guidance.

See the Settlement Agreement Factsheet here.

See the Updated Longer Guidance here.