Bonus when under notice

sams32

Hi all,

got a great job offer and want to give in my notice - I have a 3 month period that will take me significantly past the bonus payment date by over a month.

ive looked at my contract and it says that I need to be employed at the time of payment, but does not say that I can’t be serving my notice period - just that I need to be employed.

so would I be able to argue that I should receive my bonus, even if under notice? 

Waiting until after bonus payment date is not an option sadly  

TELLIT01

Based on the wording of the contract it would seem you are entitled to the bonus.  If the employer argues otherwise you would need to have a discussion with them and consider further action should they continue to refuse.  The caveat on that is that most bonuses are discretionary so can be withheld for any reason or none.

Sandtree

Almost all bonuses are discretionary and as such what it says in the contract is irrelevant and they will almost certainly use their discretion not to pay a bonus to someone working their notice.  Need to read your contract in more detail!

When are bonuses paid? Are they likely to hold you to the full 3 month notice?

All these things are ultimately a negotiation but you have much more leverage with your soon to be employer if they are really that keen on you... have known companies to compensate for lost bonuses to get people in quicker but you need to be a good negotiator and in demand to get that.

mcpitman

Depends on your contract of employment and any separate terms that cover the bonus payments.

Is it a Corporate Performance Bonus, Personal Bonus etc? Have you had the relevant end of year review to confirm previous years performance and any score that relates to the amount of bonus paid?

Not many "corporate" businesses will pay any bonus whilst working notice for them, it is usually payable to employed employees, without any disciplinary action and not working any notice period at the time of payment.

Time of payment and time of award can be different dates.

TELLIT01

mcpitman said:

Depends on your contract of employment and any separate terms that cover the bonus payments.

Is it a Corporate Performance Bonus, Personal Bonus etc? Have you had the relevant end of year review to confirm previous years performance and any score that relates to the amount of bonus paid?

Not many "corporate" businesses will pay any bonus whilst working notice for them, it is usually payable to employed employees, without any disciplinary action and not working any notice period at the time of payment.

Time of payment and time of award can be different dates.

One organisation I worked for announced a large number of redundancies with the last day of employment being the day before these employees would have been entitled to a bonus payment!

Marcon

sams32 said:

Hi all,

got a great job offer and want to give in my notice - I have a 3 month period that will take me significantly past the bonus payment date by over a month.

ive looked at my contract and it says that I need to be employed at the time of payment, but does not say that I can’t be serving my notice period - just that I need to be employed.

so would I be able to argue that I should receive my bonus, even if under notice? 

Waiting until after bonus payment date is not an option sadly  

How long have you been employed? If under 2 years (+ statutory notice period), your employer could dismiss you just before the bonus is paid.

As others have said, check if the bonus is discretionary, which is highly likely. If it is, then you could well find your employer deciding not to pay it to someone who is working their notice.