Bonus meaning

The table below outlines various ways a company may return value to shareholders and provides a summary of the principal UK tax considerations applicable to each arrangement...

This checklist outlines the requirements an alternative investment fund manager (AIFM) must include in its remuneration policy under the AIFM Remuneration Code (the Code) in the Financial Conduct Authority (FCA) Handbook’s Senior Management Arrangements, Systems and Controls (SYSC) sourcebook (SYSC 19B), as well as the remuneration disclosures that belong in an alternative investment fund (AIF)’s annual report. What is the AIFM Remuneration Code (SYSC 19B)? The Code sits in SYSC 19B. It applies to a full-scope UK AIFM managing a UK AIF or a non-UK AIF. It covers pay and bonus for staff. It sets parameters for pay and bonus awards for specified Code staff. The Code comprises nine remuneration principles, set out in SYSC 19B.1.5 R to SYSC 19B.1.24 R. For guidance on each of these principles, see Practice Note: UK AIFMD—Remuneration Code—What are the AIFM Remuneration Code principles? The principles operate on a proportionate basis, meaning an AIFM must apply them in a manner suitable to its size, internal organisation and the complexity of its activities...

ARCHIVED: This Practice Note is archived and is no longer maintained. This tracker outlines the consultation papers issued by the Financial Conduct Authority (FCA) in 2022, together with the release of any follow-on rules and guidance. For FCA consultation papers from other years, see: FCA consultation paper trackers. For material from the Prudential Regulation Authority (PRA) from 2017 and the Financial Services Authority (FSA) from 2008 to 2013, see: PRA consultation paper tracker [Archived] FSA consultation paper tracker [Archived] Risk management and controls CP22/28 (PRA CP 15/22): Remuneration: Ratio between fixed and variable components of total remuneration The FCA and PRA are jointly consulting on removing the current limits on the ratio between fixed and variable elements of total pay (the ‘bonus cap’). The proposals in this consultation paper (CP) would take effect on the next calendar day after the final policy is published-expected in Q2 2023-and would apply to firms’ performance year commencing after that. Responses to PRA...

In this issue: Air emissions and climate change Energy efficiency of products Energy for environmental lawyers ESG and sustainability Hazardous substances and chemicals Marine Nature, biodiversity and habitat conservation Waste Daily and weekly news alerts New and updated content Air emissions and climate change Defra opens consultation on industrial emissions permitting reforms The Department for Environment, Food and Rural Affairs (Defra) has begun consulting on plans to modernise England’s environmental permitting regime for industrial emissions. The package aims to foster innovation, adopt agile standards, secure proportionate and coherent regulation, boost regulator effectiveness and efficiency, and deliver a transparent system. Suggested measures include a new registration route for low-risk installations, flexible site permits setting overall emissions caps, and faster approvals for time‑limited technology trials. The proposals reflect the Corry Review’s critique of regulatory inefficiency. The Environment Agency intends to roll out changes that could cut permit queues from months to days and lower...

In this issue: Air emissions and climate change Energy efficiency and buildings Energy for environmental lawyers Environmental disputes and proceedings Environmental information ESG and sustainability Hazardous substances and chemicals Marine Nature, biodiversity and habitat conservation Waste Waste producer responsibility regimes Water, flooding and drainage Daily and weekly news alerts New and updated content United Kingdom Environmental Law Association (UKELA) Annual Conference Air emissions and climate change DESNZ releases evaluations of CCUS and Industrial Fuel Switching and Hydrogen Supply innovation programmes The Department for Energy Security and Net Zero (DESNZ) has issued two independent evaluations of its Energy Innovation Programme (EIP). The first evaluation reviews the Carbon Capture and Utilisation Demonstration (CCUD) innovation programme, the Carbon Capture, Usage and Storage (CCUS) Innovation programme, and the Accelerating CCS Technologies (ACT) programme, spanning 2016–21. The second evaluation examines the £21m Industrial Fuel Switching and £33m Hydrogen Supply programmes. Both evaluations consider...

In this issue: WTO Anti-dumping Safeguards Customs LexTalk® International Trade: a Lexis®Nexis community Daily and weekly news alerts New and updated content WTO WTO panel publishes report in dispute over US Inflation Reduction Act 2022 domestic content bonus credits The WTO has issued a panel report in a case initiated by China against the US concerning domestic content requirements embedded in the US clean energy tax incentives. The panel determined that the domestic content bonus credits under the US Inflation Reduction Act 2022 conflict with several WTO agreements and have nullified or undermined benefits accruing to China under those agreements. It also concluded that the measures are not justified by the public morals exception in the General Agreement on Tariffs and Trade 1994. The recommendation is that the US withdraw the measures by 1 October 2026. See: LNB News 02/02/2026 7. Anti-dumping Commission imposes definitive anti-dumping duties on candles imports from China ...

This Practice Note considers how equal pay (equality of terms) applies to women who are pregnant or on ordinary or additional maternity leave (OML/AML). It also examines key elements relevant to pregnancy and maternity within equal pay law, including: the implied maternity equality clause, covering its impact and the duration of the protected period the principle that a comparator is unnecessary for pregnancy- and maternity-related equal pay claims how pay rises, bonuses and pension contributions are handled during maternity leave and on returning to work A woman away from work on maternity leave occupies a distinct position that merits particular protection, yet is not comparable to a man who is actually working. Consequently, she is not entitled to full pay during maternity leave, notwithstanding the equal pay principle in the Treaty on the Functioning of the European Union. That said, being on maternity leave does not remove all equal pay entitlements for the duration of the absence (see: Effect of maternity...

ARCHIVED: This archived Practice Note is not maintained and is for background information only. UPDATE (5/11/20): The Chancellor of the Exchequer, Rishi Sunak, announced in a statement to the House of Commons on Thursday 5 November 2020 that the Coronavirus Job Retention Scheme (CJRS) furlough arrangement would be extended. Consequently, the Jobs Retention Bonus (JRB) will not be paid in February 2021 and the government intends to redeploy a retention incentive at an appropriate point. See the HM Treasury press release: Government extends Furlough to March and increases self-employed support and the HMRC policy paper: Extension of the Coronavirus Job Retention Scheme. For additional details, see Practice Note: Coronavirus Job Retention Scheme (extended version 1 November 2020 to 30 April 2021) [Archived]. This Practice Note was revised to capture these changes. This Practice Note considers the Coronavirus Job Retention Bonus Scheme (CJRBS), announced in July 2020, which provides a one-off payment of £1,000 to employers for each employee previously claimed for under the Coronavirus Job Retention Scheme (CJRS)...

What is a long-term incentive plan? As set out in the Practice Note: What is a long-term incentive plan?, the awards most frequently delivered under a long-term incentive plan (LTIP) typically comprise: conditional share awards (often referred to in the US as restricted stock units (RSUs)) nil-cost options share appreciation rights (SARs) forfeitable shares, sometimes described as restricted stock A brief summary outline of the likely capital gains tax (CGT) treatment on disposals of shares obtained on the vesting of each LTIP award type is set out below. For more detail and background on the different award types available under an LTIP, see Practice Note: Structure of a long-term incentive plan—Types of awards for further guidance. Please note that this Practice Note proceeds on the basis that, at acquisition of the shares or otherwise on vesting of the LTIP awards, the employee has been fully subject to income tax and, where the shares are readily convertible, national insurance...

This Agreement is executed on [ date ] Parties 1 [ Name of company ] , a company constituted in [ Scotland ] bearing registered number [ number ] with its registered office at [ address ] (the Company ); and 2 [ Name of employee ] , of [ address ] ( you )...

[ insert name of company who granted the award pursuant to the long term incentive plan (LTIP) ] ( Company ) [ insert name of LTIP ] ( Plan ) Name Quantity of Shares under the Matched Award Grant Date Standard vesting date[, subject to meeting the Performance Targets] End of Holding Period This confirms that you are the holder of a Matched Award conferring the right to acquire up to the maximum number of Shares in [ insert name of Company whose shares are being granted under both invested and where relevant Matched Awards ], as detailed in the table above...

[ insert name of company who granted the option pursuant to the long term incentive plan (LTIP) ] ( Company ) [ insert name of LTIP ] ( Plan ) Name Number of Shares under Option Option Price per Share Date of Grant Normal Vesting date [ , subject to satisfaction of Performance Targets ] End of Holding Period We hereby confirm that you hold an Option permitting you to acquire up to the maximum number of Shares in [ insert name of Company whose shares are being granted under option ] as shown in the table above. The Option was issued on the Date of Grant set out above under a global deed of grant entered into by the Company [ and is conditional upon the Performance Target(s) attached to this certificate ]. The Option Price due per Share when the Option is exercised is likewise specified in the table above...

The Equality Act 2010 (EqA 2010) The Equality Act 2010 (EqA 2010) sets out measures to secure equality between men and women in pay and other employment terms where an employee’s work matches that of a comparator of the opposite sex. It accomplishes this by implying a sex equality clause into the employee’s contract of employment, ensuring that the contract reflects the comparator’s terms. This mechanism is intended to guarantee parity of conditions between the employee and their comparator...

In summary In summary, a business can design its share plan to grant employees who resign voluntarily an equity bonus equivalent to that given to retirees. That said, the tax outcome may differ: according to the form of employee share plan selected and operated, awards might be unable to obtain the same tax-advantaged treatment. Both tax-advantaged and non-tax-advantaged share plans exist in such schemes...