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Bonuses can be considered either contractual or discretionary. If there was any mention or implication that the referral bonus was discretionary, then the comp
by pyoung 14y ago
Bonuses can be considered either contractual or discretionary. If there was any mention or implication that the referral bonus was discretionary, then the company can withhold payment for any reason, such as poor employee performance or low revenue/profits.
At my company, all bonuses are considered discretionary. They plainly and clearly lay out the parameters of the bonus structure, but they also reserve the right to withhold the bonus for any reason. They rarely reign in on their promise as it significantly hurts morale. However it is well known that if you leave the company before a bonus is paid out, that you will not receive the money, regardless of whether or not you have already fulfilled the parameters for the bonus.