I worked for an IT company for more than a year. The company in question is claimed to be Employee First company and boasted about their fair practice related Appraisals and benefits.

I was getting the top ratings during first 2 years, however, this year before appraisal completion I resigned from the job. I served the complete 3 month notice period and I was in the active service of the company till my last working day. Now when I checked my Full N Final , I am given a ZERO amount towards my performance payout for the year July 2012 - Jun 2013. Few facts about me during this period are mentioned as:
  1. More Than 90% billable for the entire period
  2. Appreciated by customer for the hardwork and solution provided
  3. Got highest rating [OUTSTANDING] for previous appraisal year - July 2011-Jun 2012
  4. For current year also, the manager rated the highest rating

Now I am a bit worried about if I can ever get my variable component of CTC. The company can not excuse about it poor performance as it is one of the top profit making company in the said period.

What should I do to get the variable component, if there is anything I can do?

As per the company policy, the Performance Bonus depends on the final rating, and to avoid paying out the bonus, here, company has given me the least rating of work inspite of my past performance and customer feedback.

Is there any legal route I can take against the company for giving me mental stress and harassment?

What should I do to get the variable component.

Looking forward to experts advice in such matter. Thanks!

From India, Noida
Dinesh Divekar
Business Mentor, Consultant And Trainer
Learning & Teaching Fellow (retired)
Career Management, Talent & Capability

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Are you moving on to a better job? If so, what's the amount of the variable component? Is it more or less than the increase in wages that you would be getting? Will the company be giving you a clean exit apart for the variable component? If so, forget about litigation. This is my view as a lay man and not as an expert. I had faced similar problems in the past and took these as life experiences.
From United Kingdom

Hi Abbey,
There are many companies who writes in their HR Policy that variable salary will be paid only, if the employee is working in the organization.
I am assuming that it is not written in your companies HR Policy. That is why they have given you zero rating. Now they will not allow to you prove that you were performer.
It is better that you concentrate on your new job I know it is your hard earned money, but if the management have decided not to pay you they won't. If you will go legal also how much time will they take to prove you wrong. If the company has decided to do unethical practice they will do it one can not change it.
Read all the policies carefully.

From India, Pune
Dinesh Divekar

Dear friend,

By using phrase "Employee first" company, you have passed sufficient hint on which that company could be. Anyway, if you feel that you are aggrieved then did you approach the company authorities for the non-payment of the variable component? What was their response? If you were not satisfied with the response then did you write the letter to their MD? What is his response?

If you feel that you did not get justice after writing letter to MD also then you may send the lawyer's notice for unjustifiable non-payment. If still they do not pay then you may file a suit.

Now coming to other side of the issue. Litigation in India trundles for the years or may be even decades. When you do all this, I recommend you taking advice from your current employers as well. I say so because they should not feel that you are litigation oriented and they should not start making any trouble for you. I say so, because in India, in the name of obedience, employers expect employees to be pliant and pushovers. Standing for one's right is considered as being over-smart!


Dinesh V Divekar

Beware of false knowledge; it is more dangerous than ignorance.

From India, Bangalore
Thanks! everyone.
Whatever you guys are saying is true. Litigation is in India is not a piece of cake. It is long and time consuming process. I will give it a serious thoughts based on your suggestions and thoughts.
Thanks once again for sharing your experiences with me.

From India, Noida

Hi Abbey
Good sound advice from friends in this forum. Litigation in India doesn't make too much of sense but that should not stop you from sharing your feelings with the management of the company you are leaving. Write to the MD / CEO and Head of HR. Give them all your past and present details. Your letter should be based on the sheer definition of incentives / variable pay. Incentives / variable pay is for performance that has already been done/delivered or performed. Hence ideally it should be given to employees who are leaving to have left as well ( it is not is a different story all together).
Ask them how employees are required to have trust in an organization that does not reward performance already done. I think you must put your case across to the management and see what happens. If you are really a good performer, they will respond. No Organization likes to shut off all doors on good talent.

From India, Delhi

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