I work in a startup company. My CTC is 12 lac fixed and 2 lac of performance-linked pay (total 14 LPA). I worked hard for a year and received an award. I was also promoted by my company for my good performance. I was expecting that the company would pay me my performance-linked pay amount, which was supposed to be paid after one year of completion. I need that money for paying my loans.
Conversion of Performance-Linked Pay to ESOP
However, the company has decided to convert the performance-linked pay into ESOP (Employee Stock Option Plan). The ESOPs will take one more year to get vested, and I will have to stay in this company for one more year if I want to get the ESOPs. In short, I will get ESOPs worth Rs. 2 lac after one more year instead of INR 2 lac immediately after one year of completion.
Resignation Due to Work Environment
I have resigned from the company because of the toxic work culture and job insecurity, so I will not be able to work for one more year to get the ESOP. I am at a loss of Rs 2 lac. My appointment letter didn't mention anything about the provision of ESOPs in lieu of a performance-linked pay amount.
Seeking Advice
Is there any way to get back my performance-linked pay of Rs 2 Lac?
From India, Bengaluru
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1Conversion of Performance-Linked Pay to ESOP
However, the company has decided to convert the performance-linked pay into ESOP (Employee Stock Option Plan). The ESOPs will take one more year to get vested, and I will have to stay in this company for one more year if I want to get the ESOPs. In short, I will get ESOPs worth Rs. 2 lac after one more year instead of INR 2 lac immediately after one year of completion.
Resignation Due to Work Environment
I have resigned from the company because of the toxic work culture and job insecurity, so I will not be able to work for one more year to get the ESOP. I am at a loss of Rs 2 lac. My appointment letter didn't mention anything about the provision of ESOPs in lieu of a performance-linked pay amount.
Seeking Advice
Is there any way to get back my performance-linked pay of Rs 2 Lac?
From India, Bengaluru
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Please check whether there is a clause in the appointment order or the service contract stating that you will be governed by the company's rules and regulations as enforced from time to time. If such a clause exists, nothing can be done; otherwise, there is scope for civil litigation, and understanding the factual position may be beneficial to you. However, it is debatable whether pursuing litigation is worthwhile, considering it may be time-consuming and expensive. In any case, you may consider having a legal notice issued.
From India, Mumbai
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From India, Mumbai
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