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Labor/Employment

Dec. 30, 2003

Certain Deductions Are Disallowed In Calculation of Incentive Bonuses

Focus Column - Employment Law - By Helene J. Wasserman - Many employers in the retail and hospitality industries provide incentive compensation bonuses to their exempt and nonexempt managerial employees. They base these bonuses on a variety of factors that affect the bottom line. But a recent Court of Appeal decision holds that employers may not lawfully consider some of these bottom-line factors in calculating incentive compensation bonuses.

        Focus Column
        
        Employment Law
        
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