Cushion form bearings comprise a thin layer of low elastic modulus material on the articulating surface of the bearing, which can deform to help preserve a film of lubricant between the bearing surfaces and therefore reduce friction and wear. The long-term function of this type of bearing is dependent on the strength and durability of this compliant layer. Finite difference and finite element methods have been used to analyse the stress distribution in the compliant layer of cushion form bearing for artificial hip joints under physiological loading conditions. A good agreement between finite difference and finite element methods was found. Under normal loading, the highest value of the maximum shear stress was found to be at the interface between the compliant layer and the more rigid substrate close to the edge of the contact. The values of maximum shear stress in the centre of the contact close to the articulating surface were lower than in the equivalent Hertzian contact. A friction force acting at the surface had little effect on the stress distribution for coefficients of friction less than 0.05. However, for higher values of friction coefficient (larger than 0.2), corresponding to inadequate lubrication, the maximum shear stress increased by a factor of four and was found to be located at the surface. The analysis predicts that the mode of failure will be at the interface with the substrate under fluid film or mixed lubrication conditions and at the articulating surface when the bearing runs dry with higher levels of friction. Both failure modes have been observed experimentally under the conditions specified.