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THE QUESTION
I need to resign and my contract says I would like to offer two weeks’ discover. I’ve a scheduled bonus payout developing in a month, so I’m planning to submit my resignation in two weeks in order that my final day is on the day that the bonus is paid out. If my employer decides to stroll me out on the day I give my discover and pay out my two weeks as a substitute, would they nonetheless must grant me my bonus? I actually need to be certain that I get my bonus however I don’t need to work any further days unnecessarily. What ought to I do?
THE FIRST ANSWER
Waheeda Ekhlas Smith, barrister and solicitor, Smith Employment Legislation, Toronto
The least dangerous possibility is clearly to attend till you may have the bonus in hand earlier than offering discover of resignation. Nonetheless, when you can’t wait, think about the next. Though not required, you need to present your employer with an e-mail or a letter of resignation indicating your final day of labor. This could be useful to you as a result of, in Ontario, employers ought to simply accept a resignation on the phrases on which they have been offered.
In different phrases, when you present two weeks’ discover, your employer should honour these phrases. Until your employment contract incorporates phrases that permit the corporate to waive your discover and solely pay you out your statutory minimums (together with your accrued wages to the final day of labor), your organization shouldn’t “settle for” that resignation after which flip round and stroll you out, solely paying your two weeks.
A real discretionary bonus might be withheld when you resign. As for a performance-based bonus, whether or not your employer should award it depends upon while you change into eligible for it. The phrases of your employment settlement and/or the related bonus coverage would assist decide whether or not you had earned the bonus earlier than you resigned and even whether or not resigning workers are entitled to a bonus.
Earlier than resigning, it might be worthwhile to have your employment contract and bonus paperwork reviewed by an skilled employment lawyer.
THE SECOND ANSWER
Jonas McKay, barrister and solicitor, HHBG Legal professionals – Employment Justice, Vancouver
Don’t resign till the bonus hits your checking account.
If in case you have earned a bonus, you need to nonetheless get that bonus even when the employer walks you out the door. Nevertheless it isn’t all the time clear when a bonus is earned.
Your organization can set written phrases and circumstances of a bonus, and outline when a bonus is earned. This may embody a requirement that it’s important to be working when a bonus is paid. Or that you simply don’t earn a bonus when you resign.
You will need to assessment any written bonus plan or bonus clause in a contract, to see if in case you have earned a bonus, and when you stay eligible for the bonus in these particular resignation circumstances.
If the bonus paperwork say it’s important to be actively working to get the bonus, play it secure and don’t resign till the bonus is paid.
Even when the bonus paperwork clearly say you get the bonus, you’re resigning and are frightened about being walked out the door. This doesn’t sound like an organization you belief. Assume the corporate refuses to pay your bonus, and it’s important to get authorized assist to combat for it. Even when you win, you’ll in all probability put much less cash in your pocket than when you labored these additional two weeks till the bonus is paid.
Grind via the additional two weeks of labor, and wait to give up till after you get your bonus.
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