As per practice, if an employee has resigned and the target is not done - Is the company liable to give the last year's performance-linked variable?
Also, is there any legal implication on a pro-rata basis? Because targets are not achieved.
From India, New Delhi
Also, is there any legal implication on a pro-rata basis? Because targets are not achieved.
From India, New Delhi
Hi, Payment of any variable component like performance linked pay apart from fixed salary will be at the discretion of the employer.
Whether it is mentioned in the contract of appointment terms that " in case of resignation & if target is not achieved performance linked pay will not be paid"
It should not be last minute surprise employee. If the terms and conditions for pay out of performance linked pay is mutually agreed at the time of joining itself then there will not be any ambiguity. Also employer should be ready to substantiate with proper data that target is not achieved.
From India, Madras
932Whether it is mentioned in the contract of appointment terms that " in case of resignation & if target is not achieved performance linked pay will not be paid"
It should not be last minute surprise employee. If the terms and conditions for pay out of performance linked pay is mutually agreed at the time of joining itself then there will not be any ambiguity. Also employer should be ready to substantiate with proper data that target is not achieved.
From India, Madras
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