to think my company are trying it on re. my bonus?

[notveryfairatall]

I received a letter stating that 'with effect from 1st July' I would be entitled to a bonus 'which will be paid in the July payroll'. It then states 'please note that you will not be entitled to the bonus if you resign before then'. I resigned shortly after the 1st of July, but assumed that I would still get the bonus as it was 'effective from the 1st'. Just received my pay minus the bonus and they are saying I am not entitled to it. What do you think?

I wouldn't have expected to be entitled, you resigned before July pay.

Are there formal T&Cs for the bonus scheme ? If so they are what apply.

If not, then it wasn't really a bonus scheme, more a discretionary payments situation.

Not sure what the HMRC implications are for either.

Without seeing the paperwork, but assuming the facts here are correct it sounds like you'd be entitled to your bonus.

Gem124

I wouldn't have expected to be entitled, you resigned before July pay.

But can the company make unilateral changes to the scheme, which may form part of the OPs contract of employment ?

It's very confusing. I assumed I'd get it as the letter stated 'with effect from 1st july you will be entitled to an exceptional bonus of £.... that will be paid in the July payroll. Please note that you will not receive the bonus if you resign from the company before then'. Why bother putting effective from 1st of July if it meant July payroll?

Presumably it means if you resign before July pay day. Our bonus scheme runs up to the end of September and is paid in December. If you are not with the company in December, you don't get the bonus.

I work in medical sales and it's an industry rule of thumb that you don't resign until your bonus is in the bank.There'll undoubtedly be something in the small print of the schemes T&Cs. Hope not though for your sake.

Most bonuses I've come across depend on your being there at a certain date and still being there to receive it when they dole it out, so it sounds above board to me. But as others have said, you should double check the ts and cs.

From what you have quoted, I have read 'before THEN' to mean before July payroll, so it looks like they are not pulling a fast one. Bummer, if that's the case, but again, check the actual wording. If it's ambiguous, and they agree that it is, you may find they make an ex gratia payment. Good luck!

Regardless, surely a bonus is based on your work for more than the month of July? So, why aren't you (any you) getting, at least, an apportioned bonus?

Reads to me like you have to be there for july payroll as well.

I would've read "then" as July payroll

As a pp says, don't resign until your bonus is in the bank!

Bonuses aren't really thanks for past work, they really are sweeteners to keep you there. If you've already resigned, they have no reason to give you one.

Never resign until the money's in the bank. I'll bet your bonus that they've got it all written up in tiny writing in the T&C's.

What you say makes absolute sense Edith but alas, often bonuses are based on the company's results rather than individual staff performance.

Normal. I did help someone argue that hers should be paid - and succeeded though as the wording of the bonus scheme was dubious to say the least

I've never worked anywhere that bonus has been paid when someone has been working their notice. Usually any eligibility is cancelled as soon as resignation is handed in. As Marylou says, it's usually sensible to hold out until any bonus is in the bank.

Contractual commission is different, although it's often the case that it's worded in way that isn't payable when someone resigns.

In our company bonuses are given in December usually with the Chrustmas pay. They are meant to show appreciation for work & loyalty. Anyone who has left the company before pay day doesn't get one.

True, No. Just ranting at the whole system, really. Grr, for you OP - I know my employer has made people redundant from a date that means they won't get their bonus - which is, supposedly, based on their year's performance.

I would read the "then" as "the July payroll" rather than 1st July, sorry.

It's standard practice that bonuses aren't paid if you're working out a period of notice. Sorry OP.

It says clearly that if you resign before the july payroll you won't get the bonus. You resigned before July payroll, so you don't get the bonus. How are you surprised by this?

I used to work for a company whose bonus was paid depending on if you were working for them on 31st January. The bonus was paid in March, I resigned in the middle of March, and worked two weeks notice, and got my bonus as expected.

At my old place, eligibility ends upon resignation. People used to wait until payday to resign. They never resigned between bonus announcement and payday.

You generally don't get a bonus unless you're there for that payday. I know people who've waited until payday to resign so they don't lose out on their annual bonus!

If your last day of service was after July pay day you should be entitled to the bonus, if it was before they won't pay it

Thanks everyone. I'm not really surprised - their stinginess was the main reason left. Still a bit confused as to why the put 'with effect from 1st July' though, why not with effect from July's payroll?