Sample Retention Agreements

Next, you`ll want to jump straight to what this letter is about: offering a bonus deal for retention. We recommend that you get straight to the point with something like this: this letter represents the entire agreement and completely replaces any previous agreements or agreements regarding the retention bonus. You represent and acknowledge that you have not relied upon any statements or representations not made herein by CIT or any of its officers, directors, employees, agents, agents or attorneys with respect to the retention bonus. As you can see clearly, the last part of the bonus retention agreement is heavily influenced by legality, which means that they are best written by a lawyer. We can`t say it enough: work closely with your lawyer to make sure your deal is flawless and mutually beneficial. When you start drafting your retention bonus agreement, you first need to understand how you want your bonus to work. Usually, companies determine the amount of a bonus they must offer based on a percentage of the employee`s regular salary. From there, you need to go into finer details that go into what happens if the person is terminated during the detention contract. Competition Market Research), which addresses the fact that as a new investor, he would not receive long-term incentive bonuses under the long-term incentive plan until 2021 (for the 2018-2020 performance period) and would not be entitled to an annual incentive from the management`s annual incentive plan before 2019 (for the 2018 plan year). The retention agreement serves to strengthen and promote Mr.

Henry to us as a member of the senior management team and to ensure that we will retain his services in the key role of overseeing all of Oncor`s legal, regulatory and legislative efforts. The retention agreement provided for an initial retention bonus of (A) (i) $334,750, multiplied by the results of the 2017 Annual Executive Incentive Plan scorecard (95.8%), plus (ii) $758,080 multiplied by the results of the 2015-2017 Long-Term Incentive Plan scorecard (103.6%), multiplied by (B) the number of days between Mr. Henry`s first day of employment and December 31, 2018 (291), divided by (C) 306. In accordance with the terms of the retention agreement, Mr. Henry received $1,051,843 in March 2018 under the retention agreement, which is the first retention bonus. The agreement also provides for the payment of future retention bonuses of $758,080, multiplied by the approved results of the Long-Term Incentive Plan Dashboard for each of the 2016-2018 and 2017-2019 performance periods, payable on March 1, 2019 and March 1, 2020, respectively, according to Mr. Henry continued to hold his employment and performed his professional duties as directed by Oncor. The retention contract provides that in the event that Mr Henry von Oncor`s employment relationship is terminated for good cause before 1 March 2020 or if Mr Henry ends without just cause, all unpaid deductible premiums will be immediately forfeited. In the event of termination of employment without notice by Oncor or dismissal of Mr. Henry for cause, all unpaid deductible premiums are immediately vested and payable on a pro rata basis, calculated in accordance with the long-term incentive plan. There are many reasons why a company may want to use a retention bonus.

The most important thing, however, is to keep key talent on board for as long as possible during a merger or acquisition, as top talent often goes into calmer waters (or is poached by competing companies) in these turbulent times. Ultimately, your retention bonus contract should benefit both you and the employees you want to retain. By offering a bonus, you can entice your best talent to stay close by and help you achieve your business goals after a merger or acquisition. At the same time, you reward the commitment of your employees. 1. Retention bonus. The Company undertakes to pay employees the commitment bonuses provided for in this Section 1. (b) If the employee remains actively employed by the Bank until the second anniversary of the completion of the merger (second retention date) and continues to work with the Bank on a full-time basis, the Bank will pay the employee a deductible bonus equal to the gross lump sum of fifty thousand and not/$100 ($50,000.00), less applicable deductions and deductions required by the applicable federal government, national and local law (second retention premium). The first retention bonus and the second retention bonus are collectively referred to in this agreement as the retention bonus. For the purposes of this Agreement, the retention date refers to the first retention date or the second retention date. Retention Bonus After 48 months after starting your employment with Petco Animal Supplies Stores, Inc., you will receive $2,000,000 as a retention bonus.

You must be employed by Petco at the time the bonus is withdrawn in order to receive this payment. According to SHRM, employers typically pay retention bonuses to laid-off employees, based on how long they worked under the agreement. .