Changing jobs, pending bonus with old employer

Sypel

Sypel

Sypel

Associate
Joined
19 Jan 2011
Posts
78
Hi, just looking for a quick bit of advice.

I'm changing employer at the end of this week my final day being the 27th, however we are due our annual bonus, this is paid in May or June typically but is for the previous financial year. I've completed the appraisals etc and it's all been signed off that I'm eligible and met target however they've decided you have to still be employed here when it is paid to receive this.

It strikes me as wrong considering I've completed the year of work the bonus is for and the appraisal meetings and paperwork required for it. I don't recall there being anything stating being here three to four months after the appraisal to be eligible in my contract which I plan to check tonight of course.

I also was given confirmation of my notice and end date today in which it's stated any wages owed or bonuses will be paid next month. This is signed by HR, I've queried this and been told it doesn't apply and is a generic template.

Anyone dealt with similar or have any thoughts?
 
This is pretty much standard for an annual non-contractual bonus.

The whole point of a bonus is to reward and retain hardworking, loyal staff. As you're leaving, there's no reason to keep you happy.
 
Sypel said:
Hi, just looking for a quick bit of advice.

I'm changing employer at the end of this week my final day being the 27th, however we are due our annual bonus, this is paid in May or June typically but is for the previous financial year. I've completed the appraisals etc and it's all been signed off that I'm eligible and met target however they've decided you have to still be employed here when it is paid to receive this.

It strikes me as wrong considering I've completed the year of work the bonus is for and the appraisal meetings and paperwork required for it. I don't recall there being anything stating being here three to four months after the appraisal to be eligible in my contract which I plan to check tonight of course.

I also was given confirmation of my notice and end date today in which it's stated any wages owed or bonuses will be paid next month. This is signed by HR, I've queried this and been told it doesn't apply and is a generic template.

Anyone dealt with similar or have any thoughts?
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Pretty sure bonuses are tied to actually still working for the company... I know it was in my contract for my both my last job and the current one. Check your contract but I think you have no leg to stand on
 
I thought similar, I find it strange that I've been handed a confirmation of resignation stating my pending bonus will be paid that's signed off by HR but will see what my contract says. It's been a few years since I signed it and can't remember the details stated at the mo.
 
Our policy on bonuses is pretty clear, you have to still be employed (and not having served voluntary notice) to receive your bonus for the previous year at the end of March. Hence a typical spike in resignations in April.
 
Sypel said:
I thought similar, I find it strange that I've been handed a confirmation of resignation stating my pending bonus will be paid that's signed off by HR but will see what my contract says. It's been a few years since I signed it and can't remember the details stated at the mo.
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well if the bonus is discretionary (check your contract and you'll probably find it is) then they can use their discretion to not pay it to you

put yourself in their shoes, what a waste of money it would be for the manager to just give you a bonus when you're leaving, if he/she has a finite pool of money to distribute among the team then giving some to the guy who they know is leaving makes no sense
 
It should state that as part of your contract that the bonus is only payable if you are currently employed, not on a disciplinary/warning or serving your notice.

What is the EXACT wording on the letter you mention regarding "confirmation of my notice and end date today in which it's stated any wages owed or bonuses will be paid next month"...?
 
You think of it as wrong to expect a bonus from a company you won't be working at when the bonus is paid? Yea ok... I think it's the other way round and you are thinking wrong.
 
I had a bonus after I left a company once, but that was because they made our whole office redundant. They helpfully paid it 2 months into my next job and paid full NI which they shouldn't have as I was paying NI with the new employer. I had to wait nearly a year for HMRC to refund the double payment.
 
Always wait for your bonus before resigning - Did it at a previous job. 10 off us in the team - bonus paid on Friday, 6 resignations on the Monday!
 
you can also negotiate a guaranteed bonus with a new employer too if they really want to recruit you when you're say over half way through the year already
 
The wording on our bonus is as follows.

"Bonus will be paid at the end of May payroll 2018, provided that as at 30th April 2018, You are still an employee of X and you have not tendered your resignation at that time"

Not too clear on that last part, I take that to mean that 30th April is the cut off and handing in your notice on 1st May would mean you still get paid?
 
mr tommo said:
The wording on our bonus is as follows.

"Bonus will be paid at the end of May payroll 2018, provided that as at 30th April 2018, You are still an employee of X and you have not tendered your resignation at that time"

Not too clear on that last part, I take that to mean that 30th April is the cut off and handing in your notice on 1st May would mean you still get paid?
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Correct. Hand in resignation on or before 30th April, bye bye bonus.
 
So, yes, if you've already handed in your notice - you're not due the bonus.

The contractual wording is quite generic - and means that if you ARE owed money, you will still be paid for it - which covers other smaller discretionary bonuses which might have already been agreed, etc.

You should ALWAYS wait until you've banked your bonus before resigning. ALWAYS. Not much use now though, obviously. If you fancy making a fuss about it, you could complain that the policy isn't clear and see what that yields. Although someone tried that once here, and resigned during the bonus letter handover meeting, not realising that they had just forfeited the bonus. They complained. Didn't get anywhere.
 
I'd forgotten I posted this, I didn't kick up a fuss or anything of the sort I assumed I forfeited the bonus when I handed in my resignation I just find the wording very strange, my contract said essentially the same which as above I'm sure is left purposefully vague. I'm not too fussed either way getting around a 40% pay rise for the new job and so hanging on for the bonus while nice to have wouldn't have been worth risking the new job offer for.

Anyways as always appreciate the input.
 
Mr^B said:
You should ALWAYS wait until you've banked your bonus before resigning. ALWAYS
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I think it depends on how much the bonus is and what the offer on the table is. If you are not getting a large bonus and are moving to a job with much better compensation then you might choose to forgo it if you have to wait a long time before resigning. This is because by hanging around not only would you be getting less salary, pension etc but also potentially less pro-rata bonus from the new place paid next year.
 
HangTime said:
I think it depends on how much the bonus is and what the offer on the table is. If you are not getting a large bonus and are moving to a job with much better compensation then you might choose to forgo it if you have to wait a long time before resigning. This is because by hanging around not only would you be getting less salary, pension etc but also potentially less pro-rata bonus from the new place paid next year.
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That was written from the point of view that you want your bonus. Obviously if you don't want it, it doesn't apply.
 
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