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When an employee threatens a claim, the first step is to assess its chances of success. This involves understanding three key elements:

Employees often express grievances poorly. It is entirely legitimate — and advisable — to ask them to explain:

The clearer the allegation, the easier it will be to assess risk.

Ask the right questions to map the legal landscape:

You cannot assess risk without a clear grasp of the facts. Commission a thorough and impartial investigation by someone not directly involved in the matter. Good evidence is often the deciding factor.

If the merits are debatable or finely balanced, take a firm stance in settlement negotiations. Highlight the uncertainties and risks to the employee. A commercially-minded employee will hesitate to pursue an uncertain claim through costly and stressful litigation when they could secure a reasonable settlement now. 

If the investigation reveals clear weaknesses in your defence, it is usually better to settle early and avoid escalation.

When assessing risk, don’t just focus on whether you would ultimately win. Consider the disruption, cost, reputational risk, and management time involved in defending a claim — all of which might tip the balance towards settlement even if you have a strong case.

With my Done-For-You Settlement Agreement Service, you’ll receive a full risk report, a clear negotiation strategy, and personal support over Zoom – ensuring a smooth, risk-free exit.