Practice Areas

Employee Share Incentive Schemes

Employee Share Incentive Schemes Lawyers EM LawEmployee share incentive schemes need to be designed and handled with care. They involve complex areas of law and there are multiple traps for the unwary. Advisers need to expert in tax, corporate and employment law issues while adopting a highly commercial approach. Our lead lawyer for employee share incentive scheme advice is Suzy Giele.

Employee Share Incentive Schemes

We can advise on the design, implementation and operation of employee share incentive schemes and bonus arrangements including:

We can provide employment tax advice in relation to employee share incentive schemes including:

  • tax planning for both employers and employees
  • compliance with payroll tax requirements and P11D issues and liaising with HMRC in relation to this
  • taxation of termination payments and benefits in kind
  • current HMRC policy in relation to employee tax and HMRC reporting requirements
  • tax treatment of internationally mobile employees and consultants providing services through personal companies and
  • treatment of managers’ shares in private equity arrangements

Employee Benefit Trusts

In relation to employee benefit trusts we can advise on:

  • their establishment, funding, ongoing operation and termination
  • disguised remuneration considerations and appropriate documenting of arrangements between company and trustee
  • statutory tax-advantaged employee-ownership trusts
  • use of trust structures to optimise tax efficiency of share awards
  • breach of trust issues and exercise of trustee discretion and
  • impact of corporate transactions on trust arrangements and use of trust structure for post-deal incentives

Employment Law

We can advise on employment law and HR aspects of employee share incentive schemes including:

  • negotiating and drafting the relevant provisions of executive contracts and compromise agreements
  • form and process of company policy
  • age discrimination issues
  • recovery of unpaid taxes
  • protection against claims post-termination and
  • use of effective communication materials for employees

We can support corporate transactions by:

  • advising on their impact on employee share incentive schemes including adjustment of share awards and on performance targets and
  • helping businesses prepare for a transaction including advance “health checks” and due diligence reports

Employment Law Remuneration Committees

We can help remuneration committees with:

  • their role under best practice requirements
  • considerations when exercising their discretion
  • appropriate consultation with key shareholders in relation to executive pay and
  • drafting appropriate minutes, board papers and shareholder communications

We can advise on the international aspects of employee share incentive schemes including advising companies on launching and operating their plans globally and co-ordinating reviews by overseas advisers in relation to this, as well as advising overseas parents on the extension of their incentive plan to the UK.

Call us on 0203 637 6374 or Make An Online Enquiry to see how we can help you.

Make An Enquiry


Make An Enquiry Now

Please call us now on 0203 637 6374 or Make An Online Enquiry and we will soon be in touch with you


Make An Enquiry

Can We Help You?

We are here to help with any of your questions.
Just click "Yes" below.


Please enter your question below

Send Your Question

Please enter your name and email address so than we can send you a response

Thank You!

Technical issue

Thank you for sending us your question. We will contact you shortly to discuss this.

Sorry, there is a technical issue. Please contact us by telephone: 0203 637 6374