Found an issue on this page? Let us know and we will look into it as soon as possible.
Can my employer refuse to pay my bonus to me because I am out on Short term disability?
Anonymous8 views3 answers
I have been out since Oct due to illness on fmla and then short term disability. I worked the whole year up to that time towards my 10% bonus that I am entitled to based on my offer letter. When I inquired about it, I was told that I would get it when I returned to work. All my working coworkers received payment at the end of January. I don't know when or if I am going to be well enough to return. Isn't this discrimination? Do they have the legal right to withhold payment from a bonus I worked toward for 10mos just because I am ill?
No one can answer this question without seeing the actual terms of the bonus plan. Bonuses are not required by law, so an employer who offers bonuses is free to set up its own conditions. Take a hard look what the terms in the offer letter actually say. Are there "waffle words" such as "if possible," "at the employer's discretion," etc.? Are there conditions, such that the employee must be "active." Is the word "active" defined? Does the bonus plan specify when it must be paid?
Also, there are various sources of POTENTIAL protection related to illness.
There is limited protection if the sickness is due to a serious medical condition as that is defined by law. Please look at my guide on the Family and Medical Leave Act, 29 U.S.C. section 2101 et seq. (FMLA) to see if that law applies in your situation: http://www.attorneyqna.com/pages/show?category_id=6&permalink=family-and-medical-leave-fmla-summary-of-key-provisions. Under the FMLA and California's very similar California Family Rights Act, Government Code section 12945.2 (CFRA), an employer cannot treat an employee on family leave differently from the way the employer treats employees on other kinds of leave.
If the sickness is due to a disability as defined by law, the Americans with Disabilities Act of 1990, 42 U.S.C. sections 12101 et seq. (ADA) may provide some protection. Please look at my guide on the ADA: http://www.attorneyqna.com/legal-guides/ugc/employment-disability-protection-under-californias-fair-employment-and-housing-act-and-federal-ada, then look at my guideto the differences between the ADA and California's more generous FEHA: http://www.attorneyqna.com/legal-guides/ugc/employment-disability-protection-under-californias-fair-employment-and-housing-act-and-federal-ada?published=true.
Finally, if the illness is due to on-the-job injury or is caused by work, your state's workers' compensation laws may provide some relief.
Employment law is complicated and fact specific. You may wish to speak with an experienced plaintiffs employment attorney. To find a plaintiffs employment attorney in California, please go to the web site of the California Employment Lawyers Association (CELA). CELA is the largest and most influential bar association in the state for attorneys who represent working people. The web site is www.cela.org, and you can search for attorneys by location and practice area.
I hope you can resolve your situation and wish you the best, as well as a speedy recovery.
Attorney Spencer is correct that bonuses are discretionary. However, in your situation, if you have the promise to pay a bonus in writing (and the words are clear) and you have met those conditions, you are entitled to it. Your employer cannot hold it from you because you are out due to a disability. This would be discriminatory.