How Can I Address Unpaid Performance Incentives and Negative Feedback from My Former Employer?

I had been working for an organization for the last 4 years. 10% of my CTC is paid as a Performance Incentive (Paid Quarterly - Q1, Q2, Q3, and Q4). I have a notice period of 90 days (3 months) which I have served. The company has not paid me PI for the last 2 quarters, citing the reason as per policy.

Policy on Performance Incentive

The policy states: "An employee shall not be eligible to receive any variable incentive component if he/she voluntarily or involuntarily separates from the organization." Now, the HR says that I had very poor performance and as per policy, PI cannot be paid if an employee is serving the notice period.

Resignation and Last Working Day

Resignation Date: 13 June 2016
Last Working Day: 09 September 2016

I believe that the policy is not documented properly, and I deserve my PI for 5 months because after 5 months, my employment status changed to "Separated." I have tried to get an answer from HR showcasing my annual appraisal, which shows a rating of "Very Good." Also, I have demanded documents that can show that my performance was poor as there has been no documentation done for that.

Negative Feedback from Previous Employer

In the midst of these things, my new employer has received negative feedback from the old company that my performance was very poor, I had behavioral issues, and always had problems with leaves, which is incorrect. Please guide me and let me know the actions I can take.

Regards

It is unfortunate that you did not receive your PI. However, what I have witnessed here in India is that the same thing has happened with a couple of my friends. They did not receive their Performance Incentive or Variable Incentive as per company policy during the process of separation.

Did your company pay PI for the quarter on due dates, or was it paid late in one shot? Had you already resigned on the day of the PI allotment? If your company happened to pay PI after your resignation, I am afraid you may not claim that money as per policy. If it was not paid deliberately on the grounds of performance, you have a reason to fight. But remember, it is worthwhile to part with your current employer on a good note and not to burn your bridges.

You might feel discouraged, but that is what I have observed. Let us see what seniors have to say here!

With regard to your second query, please clarify issues with your new employer. In serious discussions, you can ask what specific issues your new employer has been informed about by your current HR (it is easy to give general feedback). You can always clarify your side under those specific events and prove yourself right in genuine cases.

In no case should you badmouth or blame your HR/superiors, as it will create a bad impression on your part. Just clarify it as a misunderstanding, etc. BUT come forward to admit your mistakes that would have happened under those circumstances. Reassure your new employer about what you have learned from it.

Hope it helps and all the best!

With best regards,

Vaishalee Parkhi

Thanks for your reply. My current employer has already given me an exemption as there are many cases from my ex-employer. Also, I want to understand when a person is considered separated. At least the Q2 payout should have been given as I was on the payroll of the organization for Q3. I understand that I only completed 2 months.