Incentives
The question
To ask the Secretary of State for Business, Innovation, Science and Trade, what discussions he has had with relevant stakeholders on introducing legal protections preventing employers from changing (a) bonus and (b) commission schemes at short notice.
Answered by Department for Business, Innovation, Science and Trade
The Department meets regularly with stakeholders to discuss a range of issues around pay and remuneration.
Entitlement to bonuses and commission will depend on the terms of an individual's employment contract and any workplace pay scheme. There is no general legal entitlement to a discretionary bonus. Depending on the circumstances, where bonus or commission arrangements are contractual, the Employment Rights Act 2025’s new fire and rehire measures will also, once commenced, introduce new legal protection in this area. In the meantime, the Code of Practice on Dismissal and Re-engagement sets out employers’ responsibilities when seeking to change contractual terms and conditions of employment.
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