I work in a boutique consulting company as a business development manager. The company introduced a very competitive incentive plan that was directly linked to individual performance. I was very driven by this arrangement and went full out and even achieved 150 percent of my targets set for the quarter. Now, when the time has come for the incentive payout, there is an email notice from the HR department explaining that the poor financial performance of the company is leading to a revision in our incentive payout. While the HR department expects us to understand this situation, I am disheartened as I worked very hard. Is it legal for a company to revise incentive payout post the performance period? What are my rights?
It is indeed unfortunate that your company is not doing well and therefore, the incentive program is being revised. You will appreciate that it will be difficult for me to comment on the legal aspects of this case and let you know about your rights, since I don’t have full facts. I can only suggest that you approach your top management and request them to recognize your excellent efforts.
Vivek is a Senior HR professional with over 35 years of experience, ranging several leadership positions, in India and abroad. He leads his consulting practice since 2003 and presently works as a Strategic HR Advisor to Reliance Industries, and is also an independent Director on the Board of Motilal Oswal Financial Services Ltd. Prior to this, he was based at Singapore for several years where he was Director HR - Operations at Hewlett Packard for the Asia Pacific Region.
Allow Vivek to clear your career and professional dilemmas by writing to us at firstname.lastname@example.org