Settlement Agreements: What Is a “Without Prejudice” Conversation?

Being invited to a “without prejudice” conversation at work can come as a shock, particularly if you were not expecting it. Many employees immediately worry that dismissal is around the corner, while others are unsure what the actual phrase even means.

In reality, a without prejudice conversation is a commonly used legal tool that allows employers and employees to have open, confidential discussions about resolving a workplace dispute, often through a settlement agreement.

What is a Without Prejudice Conversation?

A “without prejudice” conversation usually takes place where there is an existing disagreement or potential dispute between the employer and employee. The aim is to explore whether the issue can be resolved amicably, without the need for a formal disciplinary process or an employment tribunal claim.

These discussions are generally protected, meaning what is said cannot usually be relied upon as evidence in later proceedings. This protection encourages frank and open discussions about matters such as:

• Compensation

• Notice arrangements

• Agreed exit terms

Is Without Prejudice Protection Absolute?

It is important to understand that without prejudice protection is not automatic or unlimited. For the conversation to be genuinely protected:

• There must be a real dispute in existence

• The discussion must be conducted appropriately

Any threats, undue pressure, discrimination, or misleading statements can remove the protection and expose the employer to legal risk.

What to do if you are invited to participate in Without Prejudice Conversation?

If you are invited to a “without prejudice” meeting, it is important to remain calm and urgently seek legal advice. These conversations can sometimes work in an employee’s favour, but only if handled properly and with a clear understanding of your legal position.

If you or anyone you know have been provided with a settlement agreement or have been asked to take part in without prejudice conversation, give our friendly employment team a call on 01582 853783 to assist you further.