We introduced new contractual arrangements for senior management
25.09.2025
A company in the pharmaceutical sector had a longstanding policy that every employee — regardless of their role — was employed under a standard employment contract.
In practice, however, senior managers were themselves proposing B2B agreements or management contracts. Calls for more flexible arrangements were also emerging during recruitment discussions, with candidates arguing that for high earners, such arrangements represented a more advantageous form of engagement both operationally and from a tax perspective.
The company wanted to attract top talent and remain open to managers’ proposals, while ensuring this could be done without creating organisational chaos — particularly given that the changes would concern senior management.
The company asked us to propose specific contractual packages for managers and to assist with the implementation of the new employment model.
What we did?
- We analysed all available contractual options (so-called ‘splits’). We calculated which arrangements would be most tax-efficient for both parties.
- We identified the advantages and disadvantages of each option in terms of changes to the working relationship (e.g., flexibility of working hours, termination arrangements, and statutory entitlements).
- We prepared tailored contractual packages for managers and assisted with the implementation of the changes.
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