My question is if company is paying pay for performance which is variable pay and the employee is leaving in 5 months when should we pay him variable pay, is it part of full n final settlement? Second, if the company is providing bonus year end, will the employee who resigned, will he be eligible for full n final settlement and who joined recently will they eligible for year end bonus?
Hey @Vinay_HR ,
Kindly refer to this discussion thread for information. In case you don’t find the information useful do feel free to post it.
Hope this helps.
Variable pay or whatever named called is part of contract of employment and needs to be included in FF. Bonus is statutory obligation also need to be paid on prorata basis in FF settlement.
Please share the full and final form with formula .