Document background
The Employment Settlement Agreement is a critical document used in Belgian employment relationships when both employer and employee agree to terminate their employment relationship on mutually accepted terms. It serves as a legally binding contract that complies with Belgian labor law requirements, including specific provisions for notice periods, severance calculations, and social security implications. This document is typically used when parties wish to avoid potential disputes and create certainty around the termination process, often incorporating provisions for confidentiality, non-competition (where applicable), and future references. The agreement must address mandatory Belgian legal requirements while also considering tax implications and any specific industry regulations. It's particularly valuable in situations involving senior executives, sensitive departures, or when there's a need to document specific post-employment obligations.
