Employee Termination Agreement for Ireland

Employee Termination Agreement Template for Ireland

This document is a comprehensive Employee Termination Agreement governed by Irish law, designed to formalize the end of an employment relationship between an employer and employee. It encompasses all essential elements required under Irish employment legislation, including termination terms, final payments, statutory entitlements, and post-employment obligations. The agreement ensures compliance with Irish employment laws, including the Unfair Dismissals Acts and Redundancy Payments Acts, while providing legal protection for both parties through clear documentation of agreed terms and mutual releases.

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What is a Employee Termination Agreement?

The Employee Termination Agreement is a crucial legal document used in Ireland when formally ending an employment relationship, whether through mutual agreement, redundancy, or other circumstances. It serves to protect both employer and employee interests by clearly documenting all aspects of the separation, including financial terms, continuing obligations, and mutual releases. This agreement must comply with Irish employment law, including the Unfair Dismissals Acts 1977-2015, Redundancy Payments Acts 1967-2014, and relevant equality legislation. It's particularly important for risk management and ensuring a clean break while maintaining professional relationships. The document typically includes details about final payments, benefits, company property return, confidentiality obligations, and any post-employment restrictions.

What sections should be included in a Employee Termination Agreement?

1. Parties: Identification of the employer and employee, including full legal names and addresses

2. Background: Brief context of the employment relationship, including start date, position, and reason for termination

3. Definitions: Definitions of key terms used throughout the agreement

4. Termination Date: Specific date when employment will terminate and final working day if different

5. Payment Terms: Details of final salary, notice pay, and statutory entitlements

6. Tax Treatment: Clarification of tax treatment of various payments and responsibilities

7. Company Property: Requirements for return of company property and timeline

8. Confidentiality Obligations: Ongoing obligations regarding confidential information

9. Full and Final Settlement: Confirmation that the agreement represents full and final settlement of all claims

10. Reference: Terms regarding the provision of employment references

11. Warranties: Employee warranties regarding no breach of contract and undisclosed claims

12. Governing Law: Confirmation that the agreement is governed by Irish law

13. Execution: Signature blocks and execution requirements

What sections are optional to include in a Employee Termination Agreement?

1. Garden Leave: Include when employee is to be placed on garden leave during notice period

2. Redundancy Payments: Include for redundancy situations, detailing statutory and any enhanced redundancy payments

3. Post-termination Restrictions: Include for senior employees or those with access to sensitive information, detailing non-compete and non-solicitation obligations

4. Legal Advice: Include when employee is receiving independent legal advice on the agreement

5. Outplacement Support: Include when company is providing career transition services

6. Share Options/Awards: Include when employee has existing share options or awards that need to be addressed

7. Announcement: Include when parties need to agree on internal/external communications about the departure

8. Directorships: Include when employee holds corporate directorships that need to be resigned

9. Ongoing Cooperation: Include when employee's assistance may be needed for handover or future matters

What schedules should be included in a Employee Termination Agreement?

1. Schedule 1 - Payment Calculations: Detailed breakdown of all payments including salary, benefits, bonuses, and statutory entitlements

2. Schedule 2 - Company Property: Itemized list of company property to be returned

3. Schedule 3 - Reference Template: Agreed form of reference to be provided

4. Schedule 4 - Post-termination Restrictions: Full details of any continuing restrictions on employee's activities

5. Appendix A - Legal Adviser's Certificate: Certificate from independent legal adviser confirming advice given to employee

6. Appendix B - Resignation Letter: Template resignation letter for employee to sign

Authors

Alex Denne

Head of Growth (Open Source Law) @ Genie AI | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Jurisdiction

Ireland

Publisher

Genie AI

Document Type

Cancellation Letter

Sector

Sales

Cost

Free to use
Relevant legal definitions
Clauses
Relevant Industries

Financial Services

Technology

Manufacturing

Retail

Healthcare

Professional Services

Education

Construction

Telecommunications

Transportation

Energy

Media and Entertainment

Hospitality

Real Estate

Agriculture

Pharmaceutical

Relevant Teams

Human Resources

Legal

Finance

Operations

Sales

Marketing

Information Technology

Research and Development

Customer Service

Production

Administration

Quality Assurance

Business Development

Compliance

Strategy

Supply Chain

Relevant Roles

Chief Executive Officer

Managing Director

Department Head

Senior Manager

Team Leader

Project Manager

Software Developer

Sales Representative

Administrative Assistant

Human Resources Manager

Financial Controller

Operations Manager

Marketing Executive

Customer Service Representative

Research Scientist

Legal Counsel

Production Supervisor

Account Manager

Business Analyst

Technical Specialist

Industries
Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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