What term describes an agreement made upon the dismissal of an employee?

The term that accurately describes an agreement made upon the dismissal of an employee is a severance package. A severance package typically refers to the compensation and benefits an employee receives when they are terminated from their position. This can include a combination of monetary compensation, continuation of health benefits, and other forms of assistance that help ease the transition after losing a job.

In many cases, severance packages are negotiated as part of the termination process to provide support and minimize potential disputes over the reasons for termination. It is a common practice in many industries and can vary widely depending on the employer and the circumstances of the dismissal.

Other choices, such as redundancy deal, retirement settlement, and final compensation, do not encompass the broad and commonly understood elements of a severance package. Redundancy deals typically refer to agreements made when positions are eliminated due to organizational restructuring rather than individual dismissals. Retirement settlements are specific to employees who are retiring, while final compensation generally refers to pay owed at the time of departure but does not encompass the overall agreement that might include various forms of severance benefits.