Employee shareholder provisions now approved

On 24 April 2013, the House of Lords finally approved the legislative provisions introducing employee shareholder status into UK law, having rejected them twice previously. As a result, the controversial ‘employee shareholder’ status will now become law and is likely to be implemented later this year.

House of Lords approval comes after the government made a number of concessions to the original employee shareholder provisions, which can be found here:

However, the latest concession is that, in order for an individual’s agreement to become an employee shareholder to be valid, the individual must have taken advice from a relevant independent advisor on its effects prior to entering into the relevant contract. In addition, the employer will have to pay reasonable costs for the individual taking that advice, regardless of whether that individual actually then accepts the role.

Further details can be found here:

This entry was posted in Pay and Benefits. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s