Is the Employer Entitled to Terminate Bonus Entitlement Unilaterally?

There are no legal regulations defined concerning bonus entitlements. Bonus entitlements are regulated by mutual agreement between the employee and the employer. In that case, the bonus payments are considered as legal rights of the employee. Bonus entitlements are accepted as legal rights of the employee in an establishment that pays bonuses on a regular basis although there are no terms defining or regulating them. Termination of bonus entitlement in an establishment that regularly pays bonuses would mean a substantial alteration in labor contract and employment conditions. Changes in working conditions are regulated in Labor Law 4857 article 22.

In accordance with the law, any change by the employer in working conditions based on the employment contract, on the rules of work which are annexed to the contract, and on similar sources or workplace practices, may be made only after a written notice is served by the employer to the employee. Changes that are not accepted by the employee in written form within six working days shall not bind the employee. If the employee does not accept the proposal for change within this period, the employer may terminate the employment contract provided that he indicates in written form that the proposed change is based on a valid reason or there is another valid reason for termination.

The employer should respect the term of notice and legal obligation to pay severance pay. The employee, whose employment contract is terminated on basis of changes in working conditions based on the employment contract, can claim that the termination is invalid and demand re-engagement in work on the basis that no reason was given for the termination of his employment contract or that the reasons indicated were not valid to justify the termination. In order to be entitled to demand re-engagement, the employee should be employed in the establishment with thirty or more workers and  has worked in this establishment for at least six months. The appeal against the employment termination should be made to the labour court within one month of receiving the notice of termination.

 

About admin

Check Also

missing-day.jpg

How to Calculate Missed Days in February?

February is the busiest month for the payroll and personnel who are responsible for computing …

Leave a Reply

Your email address will not be published. Required fields are marked *