Bonus payments cut

mr j tayto

My partner works for a major retailer and has just received notice that due to the recent minimum wage increase, that they (the employers) will be cutting all staff monthly bonus payments by 50%.



Now, the bonus payments in reality are minimal, but would anyone know if this is allowed legally?


It has been presented to staff as a non negotiable decision.

Salary Negotiator

What does their contract say about bonus payments? These are often at the discretion of the employer so it really depends on the contract.

mr j tayto

Thanks for your reply, not too sure what the contract says in relation to this, I will find out later. I always thought the bonus was based on performance and not just discretionary.


The staff haven't had a wage increase in 6 or more years and I think its a very mean thing to do, but if it's legal I don't suppose there's much they can do, especially as there are no unions involved.

Jim2007

mr j tayto wrote: »

I always thought the bonus was based on performance and not just discretionary.

It called a bonus, because it is discretionary and they employer can give them to whom every the choose - performance or not.

I knew one bank manager who kept the most useless article around no matter what, gave him a great bonus, was worried he might leave etc... The reason: he was the team punching bag - anything went wrong the excuse: what can I do when I have to work with staff like <the guy's name>.

mr j tayto

That answers that so.