Legal Question in Business Law in California
My former CA employer has denied paying my Q2 Bonus payment even though I worked until July 13th (two weeks into 3rd quarter). They claim it is a discretionary bonus and that you have to be employed on date of payment. No where on my Bonus Plan sheet does it state I have to be employed when they actually make the payment. Also, they have been late paying the past two quarterly bonus payments. Who wins if I take this to Mediation?
2 Answers from Attorneys
Under California law, you should be found to entitled to the bonus as long as you met the other requirements for payment, irrespective of whether you were employed on the date the bonus was due. It would depend on the terms of your Bonus Plajn though.
Also, there are no winners and losers in mediation, which unlike arbitration or litigation does not result in a decision settling the matter.
You may have agreed to mediate any bonus-related dispute before taking harsher action, but I doubt that you can thus forfeit your right to take the matter to the California Industrial Relations Dept., Office of Labor Standards Enforcement as a wage claim. Check the Government section of your phone book for a local office and call for an appointment to have an initial discussion.
Once you have the Department's opinion, you'll be better prepared for mediation and whatever follows (if necessary).
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