Another Fat Cat Payoff at Hunting
The ShareSoc blog provides news and informal commentary from directors, members and other contributors. Entries reflect the personal views of the authors, which do not necessarily reflect ShareSoc’s formal position. Contributors may hold shares in the companies mentioned. Nothing in this blog should be viewed as financial advice. You may submit comments on blog posts, but ShareSoc reserves the right to remove or edit inappropriate or defamatory submissions.
2 Comments
Become a free Associate ShareSoc member
Enter your email to sign up as a free Associate ShareSoc member and receive our emails. It takes a few seconds — and on the next page you'll have the option to customise your membership.
A good spot. My guess is : Age discrimination means you cannot have a contract with a retirement age. So anyone with a 12 month contract will ask for 12 months pay in lieu of notice when asked to leave. The only way around this is to have a strong performance management process and review if he/she is still fulfilling his/her contract effectively. This can take some time and is disruptive. It is better to reduce contracts of directors to less than 12 months, in my opinion. Companies should still be able to ask for non-competes of 12 months.
Cliff Weight (I don’t hold any shares in Hunting.)
I agree with Cliff. I have no evidence is this particular case but I suspect that retirement is simply a very British way of saying “fired” hence a compromise agreement (ie payoff) was made.
I have no shareholding in Hunting.