Must we pay a bonus to someone who earned it but no longer works for us? — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily
  • LinkedIn
  • YouTube
  • Twitter
  • Facebook
  • Google+

Must we pay a bonus to someone who earned it but no longer works for us?

Get PDF file

by on
in Human Resources

Q. Our company pays quarterly and annual bonuses, depending on the position. If an employee is with us throughout the entire quarter/year, but leaves before we pay out the bonuses, is he still entitled to one? We don’t have a policy stating that you must be employed at the time the bonus is paid.

A.
If there is nothing in writing specifying that someone must be employed at the time the bonus is paid in order to receive it, then you are probably obligated to pay it.

It sounds as though the employee earned the bonus because he worked through the entire quarter/year. Accordingly, under the Pennsylvania Wage Payment and Collection Law, the employee should be paid the bonus, absent anything in writing that evidences a different understanding between the parties.

Leave a Comment

Previous post:

Next post: