News & Analysis as of

Incentive Compensation Bonuses

Ogletree, Deakins, Nash, Smoak & Stewart,...

Louisiana Amends LWPA to Address Commissions, Incentive Payment Plans, and Bonuses to Give Greater Flexibility to Employers

Governor Jeff Landry recently signed into law Act No. 556, which updates the Louisiana Wage Payment Act (LWPA) to address commissions and plans for incentive payments and bonuses. The new law becomes effective on August 1,...more

Stikeman Elliott LLP

Ontario Superior Court of Justice Awards Retired VP $1.8m in Damages for Incentive Compensation and Vacation Pay

Stikeman Elliott LLP on

The Ontario Superior Court of Justice’s decision in Boyer v. Callidus, 2024 ONSC 20 (“Callidus”) serves as a helpful reminder to employers of the importance of carefully drafting, documenting, and communicating contractual...more

Katten Muchin Rosenman LLP

Want to Leave Your Employment? That Will Cost You!

It's the run-up to bonus season in the UK and there is a lot to talk about. While the markets may have cooled down, the caps are off! In a controversial move, regulators removed the regulatory cap on banker's bonuses on 31...more

Dechert LLP

Clawback Provisions and Restraint of Trade

Dechert LLP on

In a welcome decision for employers, in Steel v Spencer Road LLP the High Court has upheld as enforceable a clause requiring an employee to repay a significant bonus following his resignation. A clause in Mr Steel’s...more

Parker Poe Adams & Bernstein LLP

2023 Bonus Plans Should Set Forth Specific Qualification Terms

​​​​​​​With the fourth quarter rapidly approaching, many companies are thinking about incentive compensation plans for 2023. We frequently become involved in disputes between employers and employees over the terms of such...more

Pillsbury Winthrop Shaw Pittman LLP

DC Non-Compete and Anti-Moonlighting Law to Take Effect October 1, 2022

A new DC law restricts DC employers from entering into non-compete agreements with employees earning less than $150,000 as of October 1, 2022, whereas the prior iteration of the law would have imposed a near universal ban on...more

Parker Poe Adams & Bernstein LLP

Overtime Rules Require Addition of Incentive Compensation to Regular Rate

​​​​​​​Over the years, we have periodically published EmployNews articles on the impact of bonuses or other incentive compensation on the regular rate used to calculate overtime under the Fair Labor Standards Act (FLSA)....more

Ary Rosenbaum - The Rosenbaum Law Firm P.C.

The bonus problem

Bonuses are nice, I wouldn’t know because in the 11 years I was an employee, I got $300 for the holidays after I started in September 1998 and never received one again. This article isn’t about my lack of bonuses, but it’s...more

Fisher Phillips

The Importance of Getting the California “Regular Rate” Right

Fisher Phillips on

While most California employers are familiar with the “regular rate” from calculating non-exempt employees’ overtime payments, changes in the law make clear that employers will now need to perform the same regular rate...more

Lewitt Hackman

Pay Up! CA Supreme Court Holds Incentive Payments to Be Included in Calculation of Premium Pay

Lewitt Hackman on

In another detrimental decision for employers, that has retroactive application, the California Supreme Court just complicated calculation of premium pay owed for non-compliant breaks – holding it must include all...more

Epstein Becker & Green

Massachusetts Case Highlights Importance of Clear Communication in Compensation Plans

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Preparing the terms of employee compensation can be a resource-intensive task requiring input from stakeholders across numerous departments, including human resources, finance, and legal. However, as the Massachusetts Appeals...more

BCLP

Apple adds ESG bonus component to executive compensation program

BCLP on

In its recently filed proxy statement, Apple Inc. announced that beginning in 2021, the Compensation Committee will incorporate an environmental, social and governance modifier into the annual cash incentive program. The...more

Littler

Supreme Court of Canada Overturns Court of Appeal in Landmark Bonus Case

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On October 9, 2020, in Matthews v. Ocean Nutrition Canada Ltd., 2020 SCC 26, the Supreme Court of Canada (SCC)—the highest court in the country—released a highly anticipated decision in an employee’s appeal of the Nova Scotia...more

Butler Snow LLP

Bonus Plans for Louisiana Employees Must Comply with Louisiana Wage Payment Statute

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The Louisiana Wage Payment Act (“LWPA”), La. R.S. 23:631, et seq., requires an employer who discharges an employee to promptly pay the employee the amount due under the terms of employment. The LWPA also prohibits an employer...more

Lowenstein Sandler LLP

COVID-19: Focus on Executive Compensation

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The impact of the COVID-19 pandemic on the business community is unprecedented. Every company and executive is questioning the effects the disease will have on their business, employees, customers, and local and global...more

Foley Hoag LLP

Department of Labor Permits Payment of Incentive Compensation by Employers Using Fluctuating Workweek

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On May 20, 2020, the United States Department of Labor (DOL) released a Final Rule authorizing employers that use the “fluctuating workweek” method for calculating employees’ regular rates of pay to award employees additional...more

Littler

Ontario, Canada: Court of Appeal Upholds Dismissed Employee’s Right to Damages for Value of Incentives That Would Have Vested...

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Whether a wrongfully dismissed employee is entitled to damages as compensation for the value of incentives that would have vested during the reasonable notice period is frequently litigated in Canada....more

Bricker Graydon LLP

Wage and hour issues that frequently arise in the health care setting

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Given the unique characteristics of the health care space, wage and hour compliance can be particularly challenging for health care employers. Round-the-clock operations, staffing shortages and patient demands can create an...more

Jaburg Wilk

DOL Overtime Rules

Jaburg Wilk on

In September, the U.S. Department of Labor issued a long-awaited final rule updating the compensation requirements for the FLSA’s executive, administrative, and professional exemptions. The 2019 Final Rule is effective...more

Verrill

Certain Bonuses Must Be Included When Calculating Overtime Pay

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The federal Fair Labor Standards Act (FLSA) generally requires that nonexempt employees who work more than 40 hours in a workweek be paid 1.5 times their “regular rate” for the hours above 40. Calculating overtime pay is...more

Akerman LLP - HR Defense

Just In Time For Holiday Bonuses: Proposed New Guidance On “Fixed Salary”

Employers who compensate non-exempt employees based on the “fluctuating work week” method, take note. Last month, the Department of Labor issued a proposed rule that would permit employers to supplement the salaries of such...more

Ogletree, Deakins, Nash, Smoak & Stewart,...

DOL Issues Fluctuating Workweek Proposal Permitting Employers to Include Bonus Pay When Calculating Overtime

On November 4, 2019, the U.S. Department of Labor (DOL) announced its notice of proposed rulemaking (NPRM) that would give employers more flexibility in the way they calculate overtime pay for workers with inconsistent...more

Spilman Thomas & Battle, PLLC

DOL Adopts New Salary Threshold for White Collar Overtime Exemption

The Department of Labor (“DOL”) has revised its Overtime Rule that updates the earnings thresholds necessary to exempt executive, administrative and professional employees from the Fair Labor Standards Act’s (“FLSA”) minimum...more

Woods Rogers

U.S. Department Of Labor Increases FLSA Salary Threshold

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On September 24, 2019, the U.S. Department of Labor (“DOL”) issued the final rule on the salary threshold, making 1.3 million American workers newly eligible for overtime pay.  The final rule raises the standard salary level...more

Steptoe & Johnson PLLC

1.3 Million Additional Employees May Become Eligible for Overtime in 2020

Steptoe & Johnson PLLC on

The United States Department of Labor (“DOL”) recently published its final rule governing overtime obligations under the federal Fair Labor Standards Act (“FLSA”). An employee covered by the FLSA must receive overtime pay for...more

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