HR Chat: Holiday Bonus

As a way to thank your employees for a successful year, you are considering distributing bonuses. While deciding between a cash bonus or a gift card, you want to understand the legal requirements associated with providing bonuses. Before making a final decision, you would like to know whether offering tiered bonus amounts based on employee performance is permissible or if it could be considered discriminatory. Additionally, you want to determine whether bonuses must be reported and processed through payroll.

It’s great that you want to reward your employees for a successful year. Before doing so, it’s important to consult with our attorneys to ensure your bonus program is compliant with applicable laws. With a myHRcounsel subscription, we can assist you in drafting a clear bonus policy and help ensure you remain in full legal compliance.