Part-time Workers - Eligibility to join Employees' Share Schemes

United Kingdom

Since the Part-time Workers (Prevention of Less Favourable Treatment) Regulations 2000 came into force on 1st July 2000 (see Law Now news wire of 9th May 2000), any employees’ share scheme which excludes employees who work less than a specified number of hours per week from participating in the scheme is in breach of the Regulations.

However, to be eligible to participate in employees' share schemes company directors must still work full-time, i.e. at least 25 hours per week (excluding meal breaks). This requirement is laid down in paragraph 26, Schedule 9 ICTA and is not affected by the new Regulations.

If you are an employer requiring advice on the existing wording of the rules of your employees’ share schemes in the context of part-time workers or advice on share scheme matters generally, please contact Kate Kelleher on 020 7367 2860 or at [email protected].