Legal Question in Employment Law in California
California Bonus/Incentive Laws
For 6 yearsI have been a supervisor
at a company and every month we
would get an incentive for
production, well a couple of months
ago they stopped giving us out
incentive/bonus first stating that
they needed to buy a company
machine , then saying that
we,supervisors were not doing our
job right. I know in the past they
deducted our incentives for company
losses or damages but they have
never taken it all away. Is this legal?
2 Answers from Attorneys
Re: California Bonus/Incentive Laws
If the incentive/bonus is part of a contractual obligation to pay you a certain amount of compensation upon your hitting specific goals, it may be enforceable. However, if the incentive/bonus is discretionary, then it is completely up to the employer to decide how much and when to pay this form of compensation.
If you think there may be a contractual obligation to pay the benefit, consult with an experienced employment law attorney in your area, to review the facts and explore your options.
Re: California Bonus/Incentive Laws
Even if the compensation deal is contractual, unless it is specific as to the term of the agreement, the employer can terminate it with reasonable notice.