Impact of resignation on bonus

The_MAC

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Oct 11, 2012
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Hope someone has experience with this.

There is a good chance that I will be taking up another job offer soon, the problem is that my notice day (1st notice day) will be before our company pays out our bonuses.

Scenario: Notice estimated early June, bonus payout end of June (bonus amount not announced yet - but eligibility has been confirmed)

What would the rules be around this? Could I be denied my bonus?

This scenario is not covered in my employment contract
 

Mista_Mobsta

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Jan 22, 2015
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We had this exact same scenario a couple of months ago. Payment of bonus is solely at the discretion of the company (at least according to our standard contracts) - they can elect to withhold the bonus should you give notice prior to the payment. There might be a case to be made to receive the bonus as they did confirm your eligibility but the discretionary part may override that.
 

mr_norris

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You should speak to HR. Only HR / your company can answer your questions.
 

The_MAC

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A bonus is entirely discretionary. Do not be surprised if it is not granted. Why would a company reward/incentivize a staff member that's quitting?
Fair enough, hence the question
 

R13...

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Probably a company to company decision as incentive bonuses are discretionary. You could always move your resignation a month later if you fear losing out. Some companies though compensate you for such losses if you agree to sign a retention clause.
 

The_MAC

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I would wait until the bonus is paid out.
I am going to try and negotiate a later start date with the new company so that my notice can be submitted post bonus pay-out.

I have worked my ass off the last year to get that bonus, not gonna let it slip easily
 

ambroseg1

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Jul 15, 2008
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10,305
Hope someone has experience with this.

There is a good chance that I will be taking up another job offer soon, the problem is that my notice day (1st notice day) will be before our company pays out our bonuses.

Scenario: Notice estimated early June, bonus payout end of June (bonus amount not announced yet - but eligibility has been confirmed)

What would the rules be around this? Could I be denied my bonus?

This scenario is not covered in my employment contract
They are supposed to pay you out (the full amount depending on what period the bonus is for otherwise pro-rata). Many companies however screw over their employees in this situation.
 

The_MAC

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They are supposed to pay you out (the full amount depending on what period the bonus is for otherwise pro-rata). Many companies however screw over their employees in this situation.
Bonus "period" is for the financial year, which ended end of March. It's just the pay-out that is in June. I would feel shafted if they withheld it
 

The_MAC

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Oct 11, 2012
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5,135
A bonus is entirely discretionary. Do not be surprised if it is not granted. Why would a company reward/incentivize a staff member that's quitting?
I prefer the word moving/leaving, quiting sounds so pathetic.. :p
 

t_girl

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Jan 26, 2009
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338
Hope someone has experience with this.

There is a good chance that I will be taking up another job offer soon, the problem is that my notice day (1st notice day) will be before our company pays out our bonuses.

Scenario: Notice estimated early June, bonus payout end of June (bonus amount not announced yet - but eligibility has been confirmed)

What would the rules be around this? Could I be denied my bonus?

This scenario is not covered in my employment contract
All the companies I've worked for have stated that they would not pay out if you're serving notice period.
 

Kosmik

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Sep 21, 2007
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19,032
They are supposed to pay you out (the full amount depending on what period the bonus is for otherwise pro-rata). Many companies however screw over their employees in this situation.
No such thing as supposed to. Unless its specifically worded into his contract.
 

Ecko_1

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Jul 6, 2017
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it does vary per company. I took a voluntary seperation package last year June. Was surprised to see a payment into my account last month for a pro rata of my incentive bonus from the old company.
 

Cius

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Jan 20, 2009
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Yep, it is generally the rule to not pay a bonus if you know the person is leaving. Hence most people jump just after bonus unless the hiring company is paying a lot more and you don't mind missing it.
 

spiff

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Oct 17, 2007
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4,744
Hope someone has experience with this.

There is a good chance that I will be taking up another job offer soon, the problem is that my notice day (1st notice day) will be before our company pays out our bonuses.

Scenario: Notice estimated early June, bonus payout end of June (bonus amount not announced yet - but eligibility has been confirmed)

What would the rules be around this? Could I be denied my bonus?

This scenario is not covered in my employment contract
you must quit ONLY AFTER you get a bonus / increase / promotion etc. :unsure:
 

Toxxyc

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Dec 12, 2012
Messages
2,516
No such thing as supposed to. Unless its specifically worded into his contract.
This. Bonuses, unless specifically mentioned in the contract otherwise, can be withheld and denied at any time. My company specifically states that if you leave, you ain't getting a bonus, as simple as that. So better stick to your guns until the bonus is paid.

you must quit ONLY AFTER you get a bonus / increase / promotion etc. :unsure:
You have a problem with that? Worked his ass off for a year and he loses his bonus on, well, pretty much a technicality?

EDIT: Yoh, that came out sounding hella aggressive, sorry :oops:
 
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