The client was being made redundant as the area of the business he worked in the UK was to cease. He has agreed to stay on beyond the notice period as he would lose his benefits of health care and company car on termination. We discussed the tax treatment of the payments and that it would actually bring a significant saving if he terminated at the end of the notice period and had the balance of time tax free as within the threshold and not work as the tax saving outweighed the loss of benefits and it was far enough in the future for him to feel confident he would secure alternative employment by the new termination date. We were also able to secure a relaxation of the restrictive covenants and additional bonus/commission payments. The employee was not personally charged for the agreement beyond the initial contribution to legal fees from the employer.
