The Resignation Settlement Agreement is a crucial document used in New Zealand employment contexts when an employee and employer wish to formally document and settle all matters relating to the end of employment through resignation. It is particularly relevant when parties want to ensure a clear and amicable separation, establish certainty regarding final entitlements, and protect against future claims. The agreement must comply with New Zealand employment law, including the Employment Relations Act 2000, Privacy Act 2020, and Human Rights Act 1993. It typically includes terms regarding final payments, tax treatment, confidentiality, non-disparagement, property return, and mutual releases. This type of agreement is commonly used in situations where there might be potential disputes, when significant payments are involved, or when the employment relationship involves sensitive information or senior positions.
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1. Parties: Identification of the employer and employee, including full legal names and addresses
2. Background: Brief context of employment relationship, resignation circumstances, and parties' desire to settle all matters
3. Definitions: Key terms used throughout the agreement including 'Termination Date', 'Settlement Sum', 'Confidential Information'
4. Termination of Employment: Confirmation of resignation, effective date, and final working day arrangements
5. Settlement Payments: Details of all payments to be made, including final salary, holiday pay, ex-gratia payments
6. Tax Treatment: Specification of how different payment components will be treated for tax purposes
7. Mutual Release and Waiver: Full and final settlement clause, mutual release from claims
8. Confidentiality: Obligations regarding confidentiality of agreement terms and company information
9. Non-Disparagement: Mutual obligations not to make derogatory comments about each other
10. Return of Property: Requirements for returning company property, documents, and data
11. Execution: Signature blocks and attestation clauses
1. Reference: Terms regarding the provision of employment references, used when parties agree on specific reference arrangements
2. Post-Employment Restrictions: Reaffirmation of existing restraints or new agreements regarding non-compete/non-solicitation, used when protecting business interests is crucial
3. Ongoing Cooperation: Terms for employee assistance in handover or future queries, used when knowledge transfer is important
4. Legal Advice: Acknowledgment of independent legal advice, used when settlement sum is substantial or terms are complex
5. Garden Leave: Terms of any garden leave period, used when employee will not work during notice period
6. Share Options/Benefits: Treatment of existing share options or benefits, used when employee has equity or complex benefits
7. Intellectual Property: Specific IP provisions, used when employee was involved in creative/innovative work
1. Schedule 1 - Payment Breakdown: Detailed breakdown of all payment components including statutory and ex-gratia amounts
2. Schedule 2 - Company Property: Itemized list of company property to be returned
3. Schedule 3 - Reference Template: Agreed form of reference letter or statement
4. Appendix A - Existing Post-Employment Restrictions: Copy of relevant restrictions from employment agreement
5. Appendix B - Certificate of Independent Legal Advice: Form for legal advisor to certify advice given to employee
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