Best practice on 'discretionary' Christmas bonuses

Employers could face potentially costly breach of contract claims if they cannot justify a decision not to pay a Christmas bonus that staff have come to expect, writes Sarah Ward of Magrath & Co.

  • Weekly dilemma: Christmas bonuses    By Sarah Ward, solicitor at Magrath & Co, writing in Personnel Today.

    Also

    When 'discretionary' bonuses are a contractual entitlement    Employees may be contractually entitled to bonus payments that employers consider discretionary. Shirley McAloney of Wragge & Co LLP examines recent case law.

    Case law: Bonuses and incentive schemes  Relevant content from HR & Compliance Centre's case law service.

    Bonus schemes: incentives used to boost performance   IRS investigates the diverse approaches to implementing and communicating incentive pay arrangements at Goodyear Dunlop Tyres and Asda.

    Rewarding performance: Sainsbury's new bonus scheme   IRS Employment Review profiles the progress of the new bonus package, one year on from its implementation.

    Sharing the spoils: profit-share and bonus schemes   Read the results of IRS Employment Review's survey of incentive pay policy and practice, based on detailed responses from a panel of 27 employers.

    Making money is the ultimate goal   Writing in Personnel Today, Keith Rodgers looks at how compensation has to be linked to individual and organisational goals.

    Rewarding contribution   IRS Management Review looks at how and why some organisations are moving towards pay systems linked to a broader set of outcomes, rather than a few pre-determined objectives.

    Bonus schemes: the basics   HR & Compliance Centre's employment law reference manual provides guidance on incentive pay.