QUESTION

Annually Bonus payouts Salary person

Asked on Feb 12th, 2014 on Labor and Employment - Indiana
More details to this question:
If a bonus is earned annually (Jan ¿ Dec) and I decide to tender my resignation after the bonus period (30 days), is the company liable to pay the bonus to me? No HR policies are in place that says any different. It is always implied and inferred that we will get the bonus payout when earned in the year. Past practices have been to pay bonus if it is earned, it is paid out.
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1 ANSWER

Employment Law Attorney serving Chicago, IL
Partner at Goldman & Ehrlich
4 Awards
If there are no written policies stating that you must still be employed as of the date the bonuses are paid in order to receive the bonus, then yes, you should be entitled to the bonus.  Once it is earned, and then waiting a further 30 days before informing them of your resignation, they would be obligated to pay this to you, especially if this has been their past practice to do so. Nevertheless, as a practical matter, it would be best to remain until you do get the bonus, if that is at all possible.  Though they would be required to pay you what you have earned under their terms and conditions and practices, you would have to file a charge with the Ill Dept of Labor, or in court, if they decide not to pay you.  Better to avoid this risk if you can stay longer.
Answered on Feb 12th, 2014 at 3:43 PM

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