ARTICLE · 16 SEPTEMBER 2026

Should You Offer A Deed Of Release During A Redundancy?

LegalVision

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A redundancy can expose your business to legal risk, particularly where an employee disputes whether the redundancy was genuine. While employers cannot require employees to waive their minimum statutory entitlements, they may choose to offer additional benefits in exchange for greater certainty. One way of achieving this is through a deed of release.

AustraliaEmployment and HR

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Summary

A deed of release is a legally binding agreement that settles or releases specified employment-related claims in exchange for benefits above an employee’s minimum statutory entitlements.
It cannot be used to remove an employer’s obligation to pay minimum statutory or contractual entitlements, and it may not be necessary in every redundancy.
Employers should assess the level of legal risk, avoid undue pressure on employees, and consider legal advice before offering one.
This guide explains deeds of release during redundancy for Australian business owners and employers.
It is provided by LegalVision, a commercial law firm that specialises in advising clients on employment and redundancy matters.

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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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