The Mutual Agreement To End Employment is utilized when both employer and employee in Belgium mutually decide to terminate their employment relationship outside the standard resignation or dismissal procedures. This document is particularly relevant when parties wish to negotiate specific terms of separation and create legal certainty around the termination. It must comply with Belgian employment law, including the Employment Contracts Act and social security regulations. The agreement typically includes comprehensive details about final settlements, benefit treatments, and mutual releases, while also addressing post-employment obligations. This approach often provides a more amicable and flexible solution compared to unilateral termination, allowing both parties to negotiate terms that suit their specific circumstances while ensuring all legal requirements are met.
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1. Parties: Identification of the employer and employee, including full legal names, addresses, and relevant registration numbers
2. Background: Brief history of employment relationship, current position, and mutual decision to terminate
3. Definitions: Key terms used in the agreement including 'Termination Date', 'Final Settlement', etc.
4. Termination of Employment: Clear statement of mutual agreement to terminate and the effective date
5. Final Settlement: Detailed breakdown of all payments including salary, notice period compensation, holiday pay, and benefits
6. Tax and Social Security: Treatment of payments for tax and social security purposes
7. Company Property: Obligations regarding return of company property and documents
8. Confidentiality: Ongoing obligations regarding confidential information
9. Full and Final Settlement: Mutual release and waiver of claims
10. Governing Law: Confirmation that Belgian law governs the agreement
11. Signatures: Execution blocks for both parties
1. Post-Termination Restrictions: Non-compete and non-solicitation provisions, if applicable
2. References: Agreement on the content and handling of employment references
3. Ongoing Benefits: Continuation of specific benefits such as health insurance or company car
4. Legal Advice: Acknowledgment that parties had opportunity to seek independent legal advice
5. Outplacement Services: Details of any outplacement support provided
6. Communication: Agreed approach to communicating the departure internally and externally
7. Stock Options/Share Plans: Treatment of any equity-based compensation
8. Intellectual Property: Ongoing obligations regarding IP created during employment
1. Schedule 1 - Payment Calculation: Detailed breakdown of all financial elements including holiday pay calculation
2. Schedule 2 - Company Property: Itemized list of company property to be returned
3. Schedule 3 - Benefits Summary: Details of any benefits being continued or terminated
4. Schedule 4 - Reference Letter: Agreed form of reference letter, if applicable
5. Schedule 5 - Outstanding Obligations: List of any ongoing mutual obligations post-termination
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