Hi, I was working with an Indian company as Area Sales Manager for 2 years. (jul-17 to jun-19). During the period of apr-18 to dec-18, there was a performance reward program in the company, where I have achieved my targets and eligible for the reward.
It wasn't released till the time I resigned in May-19. now (jun-19) I have been relieved from the company and now my team mates who are still working there have got the reward amount. I was also eligible for that but not paid. When I took it up with the HR, they were citing policy that it wouldn't be paid.
When I asked explanation about which policy, they weren't clear. Then they told it's the management decision not to release reward for the resigned employees. My claim is that reward was to be given for an achievement, and the same was done - company got its result, but now it's denying the employee's reward. I feel that is unfair for a listed company to treat an employee like this.
I tried reaching out to the HR head of the company who wasn't willing to even talk to me and had his assistant convey the message to me. I'm not having a space in the company to speak/discuss about it. What can I do now at best? The incentive/reward amount is high for me to forget and move ahead.
Note: I have official mail copies of the reward structure, target and achievements. Post achievement no official communication of the reward amount was given until I resigned. Post that after releasing the reward, employees have got mail - I couldn't get as I had resigned by that time.
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Hello friend,
You may send a claim, an official claim quoting the incentive structure, if you could exactly calculate how much you are eligible for based on the certified achieving the target. Wait for about 15 days. Then remind them. Before this action, ensure you got all other docs, such as relieving letter, experience certificate, originals of your credentials etc. from them. How about your F & F settlement money, you got them all. If substantial sum due, you can send even a legal notice. Beyond this it's not worth doing anymore. It's obvious and in practice that once an employee leaves an organisation such payments are seldom release which they rightly due.
Hi,
Can understand your anguish regarding non payment of performance reward.
In general the commonly followed practice among companies is Performance bonus/reward/incentive were not part of fixed gross salary but will be shown as variable salary or as additional apart from salary.
Though you become eligible for performance reward for the period (Apr,18 to Dec,2018) it was not paid to you though you were with them till Jun,2019
Not sure whether you got any official communication about your target achieved and amount you become eligible, due to your target achievement. If they have shown the said amount in your earnings and then kept on hold (under deductions), then employer is bound to pay it.
If it is not part of salary and if they use to announce such reward program from time to time then you cannot demand the same from your employer but can make a request them to release it. But now this will be at the discretion of the employer whether to pay or not. Since you were not part of the company they may not consider I feel.
Thanks for the swift reply Mr. Kumar.
I have been talking to my head HR department and have also dropped several mails requesting for the incentive when I was still serving my notice. No official reply for any of the mails - the answer remained same whenever we spoke but no mail response from them.
My F&F is still under process and since he didn't serve complete notice, had to bear the compensation for that also. Everything from my side regarding f&f is done (noc,ndc,company assets have been submitted)
The due amount is very much substantial (25% of my ctc) and I have toiled hard to achieve the targets. That's why want to put all my efforts & trying to recover.
Really appreciate your time taken to respond for my post.
Hi Mr. Lakshminarayanan,
Really appreciate your time taken to respond for my post.
I have got official mail regarding target achievement but didn't receive any communication regarding the incentive amount as I wasn't with the company sketch they released it. But as it was a team incentive (other members of the team had received the amount n mail).
I have been requesting to my HR regarding this, but they are denying. Since the amount is very substantial and hard earned, I want to put my utmost efforts to get it.
My sincere doubt is that, when the employer hasn't given any policy communication regarding this but denies it orally, is it fair? And is it under law?
Yes, you are right when this much of hard earned money is in doubt it's natural to get agitated. Nothing wrong in taking it up strongly with the concerned. At the same time I wish to caution, whatever action is at your disposal/or prepared to take in this respect, you shouldn't risk your F&F settlement, I mean to say you shouldn't serve as a lame excuse for delaying the process of F&F. Left it to me, I would wait till F&F is secured. I would suggest, you should visit the concerned and try to urge them to release whatever possible, come to worse, if possible, you may consider escalating it to Sr.most who could help you. Fairness is not an inherent quality with everybody, that you know.
Hi,
I agree with Mr.S.Kumar's view point. Please don't strain relationship with your past employer till FFS cheque get cleared into your account.
Once FFS is cleared... escalate this issue to the top officials of your Company including President or Director, Managing Director level with copy to their email ids.
Present the email politely. Formally brief about how you enjoyed your work with them during the service period etc.Talk about your contribution and achievement in terms of revenue target achieved while in service with them. thank them for the opportunity provided. At the conclusion of email make the request subtly for release of incentive.
It all how we communicate, at times may work. Wish you best luck to get payment.
Thanks a lot for your response Sirs.
I'm waiting for my F&F, post which I would be taking up this legally (if possible). Any suggestions on this? Whether to take it up or not. I'm feeling anguished due to the way they are treating an Ex employee, who was a performer during the tenure.
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