Is It Fair for My Employer to Withhold My Bonus if I Decide to Quit? Seeking Advice

I am employed in a BPO as a customer service representative. Our company is an outsourcing company offering customer service to a UK-based client. Our client recently sanctioned a £250 bonus to employees with a year or more tenure. I have been employed for the past 3 years and have been the top performer throughout my term. My employer has announced that if anybody quits the company after receiving the bonus, then this amount will be debited from their FnF settlement. To avoid this, they are asking us not to quit the company for at least the next 4 months. Is this fair? Does my company have the right to do that?

I am looking to quit the company and am willing to complete the formalities as per the company norms, but I'm being exploited and threatened by my company that if I take the bonus and quit, they will deduct that amount from my FnF. Please advise what action I should take against my employer.

The company cannot deduct the bonus that they have already paid to you if you leave the service. The company does not have any such legal right to do that. However, try to serve the notice period, if any, as per the appointment letter in order to avoid complications during full and final settlement.

Please check my labor law blog at www.labourlawhub.com

This is a performance bonus that is not covered under the bonus act. So the company is free to put its terms. However, they cannot deduct that money from your PF. You don't have gratuity, so where will they recover it from?

Thank you.

Maybe the employer is free to set terms, but not absurd terms.

The terms are not absurd.

Bonus is being given to those who are willing to work for at least 4 months more. If they were smart, the employer would actually release the bonus after 4 months but announce it now.

There is a significant difference between incentives and bonuses. Therefore, it is essential to understand this distinction clearly. Bonuses are tied to the overall productivity of the company, whereas incentives are provided based on the performance of individual employees with the aim of keeping them motivated and fostering loyalty among the workforce.