The End of Service Contract is essential when formally concluding an employment relationship in England and Wales. It's typically used when an employee's service is being terminated through mutual agreement, redundancy, or other circumstances requiring formal documentation. The contract covers crucial elements such as final remuneration, notice periods, confidentiality obligations, and post-employment restrictions. This document ensures compliance with UK employment legislation while providing legal certainty and protection for both parties involved.
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1. Parties: Identification of employer and employee including full legal names and addresses
2. Background: Context of employment relationship and reason for termination
3. Definitions: Key terms used throughout the agreement including 'Termination Date', 'Company Property', etc.
4. Termination Date: Specific date employment ends, final working day, and treatment of notice period
5. Payment Terms: Details of final salary, notice pay, statutory payments, and timing of payments
6. Tax Treatment: Tax implications of payments and employer's tax withholding obligations
7. Company Property: Requirements and timeline for return of company assets and equipment
8. Confidentiality: Ongoing obligations regarding confidential information and trade secrets
1. Garden Leave: Terms and conditions of garden leave period, including duration and obligations
2. Reference: Terms of employment reference and agreed format/content
3. Post-termination Restrictions: Non-compete and non-solicitation clauses, including duration and geographical scope
4. Share Options: Treatment of existing share options and other equity arrangements
1. Schedule 1: Payment Breakdown: Detailed breakdown of all payments including statutory, contractual and ex-gratia amounts
2. Schedule 2: Company Property List: Itemized list of company property to be returned by the termination date
3. Appendix A: Reference Template: Agreed form of reference including specific wording and content
4. Appendix B: Continuing Obligations: Comprehensive list of contractual obligations that survive termination
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