Confidentiality clauses and restrictive agreements are used when the employer attempts to limit the worker`s ability to contact customers or accept employment in a competing business. In a composition agreement, employers are required to apportion a termination surcharge among amounts that are taxable income (e.g. B a PILON) and the amounts subject to the £30,000 exemption. Unused stock options that are not exercised may automatically terminate at the end of the employment relationship, unless they are processed during employment. The tax payable depends on the nature of the option premium. Often, your total payment consists of several different payments. Some of them may be ex-gratia, others may not. .