Incentive programmes

More and more companies make use of incentive schemes such as warrants, stock options and bonus schemes or similar arrangements as part of employee remuneration. There are a number of legal pitfalls which are important to be aware of in this connection.

Incentive schemes can be construed in many different ways and by different means. For this reason, they should be tailor-made to the needs and situation of the individual company. This requires a thorough knowledge of the circumstances and regulatory framework relevant to incentive schemes, i.a. company, employment and tax law as well as commercial considerations. We have been working with all these areas over many years and have consequently gained an extensive experience with incentive schemes.

We analyse the company’s needs when helping to set up incentive schemes, and on this basis we propose the model which matches the specific needs and wishes best, also taking into consideration the tax situation of both the company and its employees.

We often participate from the beginning of the process with developing the scheme, set-up and implementation. We also handle the issues which arise on a regular basis when changes and adjustments are needed, or when stock option schemes are exercised, e.g. in connection with an exit. We also assist when questions and challenges arise as a result of the resignation/termination of an employee comprised by an incentive scheme.