A recent first-tier tax tribunal case has re-iterated how important the description given to respective portions of an employment termination settlement package can be for tax purposes. It acts as a stark reminder that the rules on payments to an employee agreeing to restrictions do not just catch traditional restrictive covenants (e.g., restrictions on working for a competitor or soliciting clients etc for a certain period post-termination) but can also relate to a payment made for any undertaking given by an employee as part of their settlement agreement.
Formed in 2017, following significant legislative changes designed to increase competition within the legal services marketplace, Pro Employment Law is a progressive set of barristers’ chambers, consisting only of experienced employment law barristers, offering a full range of specialist advisory, case management, and advocacy services directly to the public through the Public Access scheme. We supply our legal services exclusively in the area of Employment Law to clients located across England & Wales. All of the legal services we supply are covered by professional indemnity insurance with Bar Mutual.
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In McMahon v AXA ICAS [2025] EAT 8, the EAT faced a number of issues on appeal around the payment due from a deduction of wages as well as a disability discrimination claim which was struck out by the employment tribunal. The respondent also cross-appealed a decision on deduction of wages, arguing that there was… >>
Where a claimant has failed to comply with the early conciliation (EC) requirement but the employment tribunal did not reject the claim under either Rule 10 or 12 of the ET Rules 2013 (now Rules 12 or 13 of the ET Rules 2024), the tribunal should not reject the claim at a later stage, eg… >>
In East Lancashire NHS Trust v Akram [2025] EAT 2, the EAT followed the approach set out by the Supreme Court in Chief Constable of the Police Service of Northern Ireland v Agnew [2024] IRLR 56 on how to calculate a day’s pay for holiday pay purposes. It explained that: • a person should receive… >>