Garden leave and settlement agreements explained
How garden leave works, how it interacts with notice and pay, and what to clarify when negotiating a settlement.
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What garden leave is
During garden leave you remain employed and usually paid, but you do not attend work. Your employer may use the period to protect confidential information or client relationships. Settlement talks can occur while you are on garden leave.
Interaction with notice
Garden leave often runs during what would otherwise be notice. If you move to a settlement, clarify end dates, pay, and benefits through the leave period.
Restrictions
Employers may combine garden leave with covenants. Ensure the settlement reflects how long you are bound and what you receive in return.
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