The Italian Job – How driving an Alfa Romeo relates to Settlement Agreements

I’ve recently returned from a New Year’s break driving an Alfa Romeo around Lake Como. Before that sounds too glamorous, let’s dial it back a bit and state that, firstly, we were in a small (but cute) apartment in a secluded spot next to the lake and, secondly, that we were upgraded for free three…

Government launches consultation on simplification of tax treatment of termination payments

One of the most contentious areas in the field of employment law concerns the tax treatment of settlement payments on the termination of employment. In the 20 years plus that I have been dealing with employment law matters the law in this area has never been entirely settled and there has been a long series…

termination payments: a trap for employers

A Ms. O’Farrell worked for Publicis Consultants UK Ltd. Her contract provided for three months’ notice.  She was made redundant in May 2009 and was provided with statutory redundancy pay and holiday pay. Her dismissal letter also said that she would receive an ex-gratia payment equivalent to three months’ salary (£20,625) free of Tax and NI…