Is Your Annual Bonus Guaranteed?
JANUARY 29, 2019
When worried organizations consider methods to get their arms around (control) high payroll expenses, they typically turn a blind eye to the variable pay component, to annual bonuses or incentives. The thinking was that, if payroll needs to be trimmed, that the “cuts” should come from the merit increase pool, not the year-end lump sum payments. Are the annual bonus/incentives payments in your organization guaranteed (all or in part) in a similar fashion?