Employers can no longer expect that employees will capitulate in their claims for incentive compensation under the weight of the legal fees incurred to pursue such payments. Contingency fees also insulate the employee from excessive legal fee cost in the event that their claim is unsuccessful. Employers should be cautious in seeking to enforce exclusionary clauses until the Supreme Court’s most recent precedent has been judicially interpreted by Courts in Ontario. Employees should be diligent in their record keeping where possible to evidence entitlement to incentive compensation on termination.
For many employers and employees, incentive compensation is the main event in their compensation scheme. Before you abandon claims for incentive payment or seek to withhold incentive pay on termination get excellent advice. We can assist.