Podcast Location:
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Employment Law
Litigation & Dispute Resolution
CPD Points:
Up to 1 point. details »

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Regulated by the Solicitors Regulation Authority:
Listen and pass the quiz: Gain 1 CPD point (60 minutes)
Listen only, gain ½ a CPD point (30 minutes)

Regulated by the Bar Standards Board:
Listen and pass the quiz: Gain 1 accredited CPD point (60 minutes)

Regulated by ILEX:
Listen and pass the quiz: Gain 1 CPD point (60 minutes)
Listen only, gain ½ a CPD point (30 minutes)

  • FREE
30 minutes of audio
(+ optional 5 minute online quiz)
Plays on Computer:
Yes Downloadable as MP3:    Yes
Course Aims:

This podcast aims to examine where bonuses fit within the multitude of remuneration structures used to incentivise workers. It will look at the apparently important distinction between contractual and discretionary elements of a bonus and the consequences that flow from either.

The podcast aims to examine the possible relationship between generous bonus packages and the doctrine of the restraint of trade.

The podcast will also look forward to the implementation of the FSA’s new code on remuneration which is set to unsettle what has become something of a bonus culture in certain sectors of the economy.

After completing the course you will:
  • Understand the distinction between a contractual and a discretionary bonus entitlement;
  • Be aware of the circumstance in which a business practice can be implied into a contractual entitlement;
  • Be aware of the potential fetters on an employer with discretion to pay bonuses;
  • Understand the tension that employers must straddle between incentivising workers and giving employers sufficient flexibility;
  • Be aware that the way a bonus is structured can be as much a disincentive to leave as an incentive to stay with an employer and what implications that has;
  • Be aware of the major provisions of the FSA’s new Remuneration Code.
Intermediate Difficulty: 3 of 5
Case Update
Legal Principles
Legislative Updates
Sources and References:
  • Attrill v Dresdner Kleinwort Ltd and Commerzbank AG [2010] EWHC 1249 (QB);
  • ICS Ltd v West Browmwich Building Society [1997] UKHL 28;
  • Clark v Nomura International Plc [2000] IRLR 766;
  • Clark v BET plc [1997] IRLR 348 (HC);
  • Horkulak v Cantor Fitzgerald [2005] ICR 402;
  • Commerzbank AG v Keen [2006] EWCA Civ 1536;
  • Rutherford v Seymour Pierce Ltd [2010] EWHC 375 (QB);
  • Fish and Anor v Dresdner Kleinwort Ltd [2009] EWHC 2246 (QBD);
  • Electronic Data Systems Ltd v Hubble (1987) CA unreported;
  • Peninsula Business Services Ltd v Sweeney [2003] UKEAT 1096_02_0104;
  • Tullett Prebon Plc & Ors v BGC Brokers LP & Ors [2010] EWHC 484 (QB);
  • Kent Management Services Ltd v Butterfield [1992] IRLR 394;
  • Coors Brewers Ltd v SP Adcock & Ors [2007] EWCA Civ 19;
  • Tradition Securities & Futures Sa v Mr A Mouradian UKEAT/0570/07/RN.

This podcast follows the commencement of the new FSA Remuneration Code in January 2011. It discusses the trend towards the litigation of disputes about bonus schemes, the principles that underpin this area of law and what the future holds for the regulation of bonuses in the future.

Podcast added: 06/01/11

Podcast last reviewed: 2012-04-02

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