head head head

To what extent are any additional benefits discretionary and subject to proper consultation on removal or amendment?

The terms and conditions of employment are influenced by what the parties agree and what various legislation, such as The National Minimum Wage Act and The Working Time Regulations require.

It is for the parties to agree on any additional benefits, which should be specified in the contract of employment. Although it is good employee relations practice for employers to consult before varying a contract, if an additional benefit, such as a bonus, is paid at the discretion of the employer, then any variation or removal, by the employer, without consultation, would not normally be a breach of contract.

Sometimes the contract is silent on discretionary terms, but the provision of them continually over a long period may create an implied term through custom and practice. Unilateral variation or removal by the employer in such a case might be a breach of contract, although such a claim might be difficult to pursue.