I am in the salary negotiation process with one of Science-Based Industrial Park company. Currently their offer letter only mentions about 12 months salary. But during the interview the employer promised me 2 months year end bonus but he told me that he cannot write the value in my offer letter (and also in the contract). He said that is standard practice in Science Park which comes from some regulation. If some of you have met with similar situation please suggest me should I trust the employer ? Thank you!
The law specified that if the company is making money, then it must give year end bonuses in the forms of at least 1 month worth of salary to performing employees, unless it is specified in your contract that there will be an year-end bonus by whatever amounts.
It means if the company is not making money, or moved money around so by year end it appears it isn’t making money, then your company isn’t obligated to give you the said bonus even if there was an oral agreement.
Upside to making them spell it out in the contract: you’ll get your 2 months bonus no matter what.
Downside to making them spell it out in the contract: if the company makes a boat load of money, and the owner is feeling really generous, you will still only get your 2-month bonus while your co-workers will be getting 10-month.
I am in the salary negotiation process with one of Science-Based Industrial Park company. Currently their offer letter only mentions about 12 months salary. But during the interview the employer promised me 2 months year end bonus but he told me that he cannot write the value in my offer letter (and also in the contract). He said that is standard practice in Science Park which comes from some regulation. If some of you have met with similar situation please suggest me should I trust the employer ? Thank you![/quote]
The only company which promises you year end bonus is TSMC(2 months at least), Apart from that, it is impossible to ask a company to guarantee you “x” no. of months of bonus since it depends on how much does your company/department earn. It is usually mentioned informally such as 13-14 months, but asking this to be written in the contract is something which I haven’t seen since bonus is always variable.
Do you have a source for that? I know Article 29 of the Labor Standards Act says a company should pay bonuses, but it doesn’t prescribe an amount.
law.moj.gov.tw/Eng/LawClass/LawA … e=N0030001 [quote]After the closing of books of account at the end of the business year, a business entity shall, after paying taxes, covering losses for the previous year and setting aside stock dividends and legal reserves, pay allowances or bonus out of the balance of net profits, if any, to workers who have worked the entire preceding year without committing fault and misconduct.[/quote]
Ps. The Law also says bonuses should be covered in the contract (Article 7 of the Enforcement Rules of the Labor Standards Act).