Annual Bonus Payment but Thinking of Leaving

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daveco23

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My company pays a yearly bonus based on the year april 1 2004 to march 31 2005. I have worked at this comapny for that year and have been told how much I can expect to recieve when the bonus is paid, which is sometime in June. (Am a permanent employee)
My dilema is that I may be leaving to join another company (Nothing definite - have not given notice yet) before this bonus is paid to me, which may be as late as end june, for the year worked 01/04/2004 - 31/03/2005.
The HR website states if I leave before the bonus is paid I am not entitled to it, even though I ahcieved the relevent targets for the year in question.
Is this legal? It is not stated on my employment contract, just on the HR Website
 
Could you either hang on to get the payment and give notice next day....I know it would cause bitterness, but not as bitter as you'll be if you leave it behind
OR
could you explain it to the potential new place and see if they will match the amount, or else let you stay to collect the bonus?
 
Hi Legend 99,
Thanks - Just examining worst case scenario, plus looking to see if there is any legislation that forbids comapnies from doing this?
 
I would not bother , there is no legislation to counter your situation.

It is down to your contract and what that details about your bonus and entitlements although the HR website is company policy and a written copy of this should be attainable, how much are you talking about anyway ?

If you leave they will most probably not pay you the bonus but to be honest if it is for the year in question it seems that they could not (logically) deny you this bonus.
You have worked the year , reached a target and have an estimate of your bonus. How much notice do you have to give , 1 month is well into June
 
90210 said:
I would not bother , there is no legislation to counter your situation.

It is down to your contract and what that details about your bonus and entitlements although the HR website is company policy and a written copy of this should be attainable, how much are you talking about anyway ?

If you leave they will most probably not pay you the bonus but to be honest if it is for the year in question it seems that they could not (logically) deny you this bonus.
You have worked the year , reached a target and have an estimate of your bonus. How much notice do you have to give , 1 month is well into June
Click to expand...

Many I.T. and financial services companies take the view that an annual bonus is a "retention" bonus and as such do not pay it if you hand in your notice shortly prior to actually receiving the bonus even when you know how much the bonus will be.

I agree with Legend 99's suggestion below about trying to get the new co. to match the bonus - I know of people that pulled this off.

You don't really want to hand in notice one day after receiving your bonus and p1ss off your existing employer - Dublin / Ireland is a very small place.
 
MonsieurBond said:
You don't really want to hand in notice one day after receiving your bonus and p1ss off your existing employer - Dublin / Ireland is a very small place.
Click to expand...
While I agree that you shouldn't burn any bridges, I wouldn't see this action as burning bridges. All is fair in love and war - and if you aren't breaching the terms or spirit of the employment contract, fire ahead.
 
Most places I have worked which paid bonuses had a stipulation that if you left within three months (in one place it was six months) of receiving a bonus the amount of the bonus would be taken out of your final salary payment. As far as I remember these would have been performance related profit sharing type bonuses.
 
It's down to goodwill on behalf of the company.

Happened in my last company. HR Manager himself was leaving at the end of June a few years ago. Bonuses were paid anually on 1st June. His wasn't paid. He pushed hard to get it paid and was told that the bonus was 'for the coming year'.

Load of rubbish!

Its down to goodwill on the company's behalf & nothing else.

My advice is tell the company you are going to that you will forfeit a bonus if you hand in you notice before a certain date & state that because of this you can't join until whenever.

If they are keen to get you on board one of two things will happen:
1. they will compensate you the money or
2. they will agree to your new start date.

If they go with 2 above then hand in your notice after you get your bonus. Cynical yes but its a dog eat dog workplace out there.

Walk away from your bonus only as a last resort.
 
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