Russian legislation provides for incentive payments and allowances as part of labor costs. In addition, receiving increased rewards for good work or personal achievements is a great motivating factor. However, developing a system of material incentives for each employee individually can lead to conflicts and misunderstandings due to different levels of remuneration for the same actions. Therefore, the approach to bonuses for employees should be uniform. The development of regulations on bonuses for employees will help with this.

Regulations on bonuses

This document can be an independent local regulatory act of the organization, and it is also possible to provide for certain types of bonuses in or the procedure for paying wages. Its development is entrusted to employees of the personnel and legal services of the enterprise, who draw up regulations in accordance with the norms of labor, tax and other legislation, and also develop simple and understandable criteria for every employee of the organization to receive incentive payments.

Methods of additional incentives for employees should not worsen the position of employees in comparison with those provided for in labor legislation.

This means that when working full time, employees cannot be paid or paid for production standards less than the minimum required by law, and then paid with a bonus up to the minimum wage. Such an approach to bonus payments to employees will be a gross violation of labor laws and will entail penalties from regulatory authorities.

In the process of drawing up regulations on bonuses, heads of structural divisions can be involved in its development, who make proposals on indicators that affect the size of the future bonus in each department or department.

After approval, the text of the document must be familiarized to all company personnel against signature, and employment contracts must include a clause stating that incentive payments are made in accordance with the bonus provisions.

Incentive payments regulated by bonus regulations

The regulation regulates the payment of all possible bonuses at the enterprise, both periodic and one-time. It specifies the exact and non-ambiguous conditions for each employee to receive the additional remuneration due to him.

Types of bonus payments included in the document:

The regulations can also provide for a clause on additional incentives for employees at the discretion of management, on grounds not related to the types of bonuses specified in the text of the document. This will make it possible to allocate funds for bonuses to employees in situations that go beyond the scope of their official duties. For example, for winning a sports competition or when holding non-professional competitions for employees within the company.

Bonuses can be set in the form of a percentage of employees or fixed cash amounts. For example, it is better to make periodic payments proportional to the salary, since over time their size will decrease due to the influence of inflation, and one-time payments should be set at a fixed amount.

Contents of the regulations on bonuses and material incentives for employees

The bonus regulations must be clearly structured and provide for any nuances of the payment of bonuses and bonuses in the company.

Typically, the document consists of the following parts:

1. General provisions.
2. Types of payments and indicators for calculating their size.
3. Procedure for appointment and payment.
4. Final provisions.

If the provisions on bonuses for personnel are prepared not in the form of a separate document, but as part of a collective agreement, then only sections on the types and procedure for receiving bonuses are developed.

When drawing up a separate document, its title should clearly indicate that this is a provision on material incentives (bonuses). It also indicates the name of the enterprise where incentive payments are established.

The first sheet also contains the registration data of the document and the approval inscription. For example, “the regulation was approved by order of the director, registered under No., from such and such a date.”

General provisions on bonuses

This section contains a description of the process of receiving bonuses for the enterprise as a whole. It indicates which of the company’s employees can receive a bonus, the size of the bonus fund, and the authority of management to assign bonuses.

In order for the cost of bonuses to be included in labor costs, this part of the document must indicate that it has been developed and operates in accordance with current labor, tax and other legislation.

In addition, it is necessary to foresee how the bonuses will be paid. This may become an important factor if the company’s financial situation changes for the worse and it becomes necessary to temporarily refuse to pay bonuses to hired personnel.

The manager who considers proposals for awarding bonuses to individual employees and authorizes their payment is the same official of the organization who is in charge of the entire remuneration system for the company's employees.

Types of payments and indicators for calculating the amount of bonuses

This section indicates the specific amount of each type of bonus, depending on the result achieved by the employee and the department; bonus payments can be divided separately for those employees whose actions directly affect the activities of the enterprise and bonuses for personnel of support services and departments that do not have set targets activities.

For example, the sales department, production workers, and delivery department receive a bonus in proportion to the achievement of planned targets. Every five or ten percent of exceeding the supply or production plan can lead to an increase in the premium in a certain amount.

For employees of accounting, human resources, legal services, and business units, you can set a bonus in a certain amount.

The document can provide a specific date for payment of the monthly or quarterly bonus.

For example, enter into the document that employees receive incentive payments until the 20th of each month.

The section also provides for cases of one-time bonuses for employees, for example, for the anniversary of the company or the employee himself, financial incentives for individual actions that are not provided for in job duties, but have benefited the enterprise.

Then, the regulations on bonuses provide for cases when the bonus and the amount of bonus reduction are reduced for the staff. The grounds for deprivation of bonus payments can be made a separate section of the provision or included in the section where the exact amounts of bonuses are indicated.

As a rule, bonus payments can be reduced or completely lost for:

• violations of discipline;
• non-compliance with labor protection and safety requirements in the workplace;
• causing damage to company property or insufficient provision of its safety (for financially responsible persons);
• actions of company employees that led to fines from regulatory authorities, etc.

For example, in repeated cases of being late for work, when conversations with the manager did not lead to correction. An employee can be deprived of a bonus by 10 - 15%; instead of dismissal, the bonus will be deprived in full.

A reduction in the amount of the bonus or deprivation of it completely must be made once during the time period when the violation occurred or was discovered.

It is unacceptable to provide for a one-time and minor offense to reduce the premium in several periods, for example, not paying a monthly bonus to the cashier for a miscalculation for six months.

In addition, the regulations must provide for the procedure for paying bonuses to employees who have worked for less than a full month and to dismissed personnel.

For example, they may be paid additional remuneration in proportion to the days worked in the month. The payment of one-time bonuses is calculated in the same way, in relation to the time worked in the year.

Procedure for appointment and payment of bonuses

This section contains a detailed description of the administrative procedure for assigning and transferring bonus payments to company personnel. As a rule, it consists of issuing an order from the head of the company stating that employees are entitled to a bonus. Then, in accordance with it, the heads of structural units submit official (report) notes addressed to the manager, where they indicate the amount of the bonus to their subordinates.

In addition to a report or memo, the regulation may provide for the creation of a single form of document for the submission by heads of structural units of proposals for bonuses for each individual employee. It must indicate:

• data of each employee of the department;
• the size of the proposed bonus;
• justification for its increase or decrease.

Such a document can be submitted to management for consideration in electronic form, if there is an appropriate document management system in the company.

Then the proposals are reviewed by the company's management and either approve or reject them, and also explain the reasons for the rejection. When the memorandum on the award with the director’s comments is returned, the proposals are amended taking into account the objections and sent again.

After approval, the personnel department prepares an order or order for bonuses, which is signed by the head or owner of the company. The text of the order also instructs the accounting service of the organization to calculate and pay bonuses by a certain date.

Final provisions

The final provisions provide for regulations for the entry into force of the provisions on bonuses for employees, their amendment or cancellation.

"AGREED"
Chairman of the trade union committee
____________ P.P. Bortsov

"APPROVED"
General manager
PJSC "Company" JSC "Company"

D.D. Directors

POSITION
on bonuses for workers in primary production
PJSC "Company"

General provisions

1. These Regulations determine the procedure and conditions for bonus payments to employees of PJSC “Company”, hereinafter referred to as the “enterprise”. Premium wages are designed to stimulate increased labor efficiency of employees. Changes and additions to these Regulations are made by order of the director.
2. Premium wages (bonuses) mean the payment to employees of amounts in excess of the basic part of wages (tariff rate, salary, piecework earnings), additional payments and allowances in order to stimulate better work results. Bonus wages are included in the cost of production and are taken into account when calculating the average wage of employees. Bonus wages are accrued for actual time worked and actual production results achieved, excluding work on weekends, holidays and overtime.
3. In case of dismissal (termination of employment contract) of an employee on the initiative of the enterprise administration, the bonus for this month is not paid to the employee.
4. Deprivation of an employee’s bonus pay in whole or in part can only be carried out by order of the director. An employee may be deprived of a bonus for violating the technological process, internal labor regulations of the enterprise, labor protection requirements, as well as failure to comply with the orders of the manager within the framework of his work duties. The deprivation of the bonus is made for the reporting period in which the violation occurred.

1. Monthly bonus (for piece workers)
Bonuses are calculated as a percentage of piecework wages, taking into account additional payments for work in hazardous conditions. The regional coefficient is calculated on the premium amount.

Bonus indicators

The main indicators of bonuses are fulfillment of production tasks and defect-free delivery of products.
— Execution of production tasks. The bonus for this indicator is 20%. Monitoring the implementation of this indicator is carried out by the site manager /senior foreman/.
— Defect-free delivery of products. The bonus for this indicator is 20%. The dependence of the bonus amount on the achievement of this indicator is presented in the table:

Defect-free delivery of products Bonus amount
100% 20%
99,9-99% 17%
98,9-98% 15%
97,9-97% 10%
96,9-96% 6%
95,9-95% 3%
Less than 95% 0%
Monitoring the implementation of this indicator is carried out by the technical control department.

1.1 Bonus fund for workers on piecework.
An indicator of the formation of a bonus fund for workers on piecework is the fulfillment of the production norm for the month.
1.2 Based on the results of work for the month, a report is generated on the fulfillment of production standards for each employee. The production rate is calculated as the ratio of the standard time for completing work to the actual time. Based on the fulfillment of the production norm, the size of the bonus amount is determined according to the table. The amount is determined by the staffing table by order of the director.

% fulfillment of production standards Bonus amount rub.
Less than 90% 90%
90,1 — 99,9% 95%
100% and above 100%
1.3 Procedure for calculating bonuses.
The leading engineer for the organization and regulation of labor calculates the percentage of fulfillment of the production norm for each worker. Based on the calculation, a draft order on bonuses for mechanical engineering workers is being prepared.

2. Monthly bonus (for temporary workers).
The bonus is calculated in an amount according to the time worked in the reporting period, excluding work on weekends, holidays and overtime. The regional coefficient is calculated on the premium amount.

2.1 Bonus fund for time-wage workers.
The indicator for the formation of a bonus fund for time-wage employees is the amount determined by the staffing table, established by order of the director.

2.2 Procedure for calculating bonuses.
The bonus is calculated in the amount for the time actually worked in the reporting period, but not exceeding the monthly standard hours, and is adjusted by the KTU (a certificate is provided by the deputy production manager). The regional coefficient is calculated on the premium amount.

Head of Service
HR management

Agreed:

Head of Production

Incentive payments

Chapter is devoted to payment and standardization of labor. 20 Labor Code of the Russian Federation.

Based on the norms set out in Part 1 of Art. 129 of the Labor Code of the Russian Federation, in addition to wages, it is allowed to accrue incentive payments to employees, which include:

1. Additional payments and various allowances. This type of incentive can be established for an employee, for example, for the level of qualifications (obtaining an academic degree, with a supporting document, etc.). Significant experience and length of service at a particular enterprise may serve as the basis for the calculation and payment of a bonus. This type of incentive can be determined either as a fixed amount or as a percentage of the salary.
2. Incentive payments. Can be installed once, for example:
   • financial assistance to employees;
   • benefits for those retiring;
   • payment for vouchers when referred to sanatorium-resort treatment, etc.
3. Prizes, which we will discuss in detail below.

Pay attention! All specified types of incentives, the procedure and grounds for their accrual and other information are indicated in the collective agreement, as well as in the local acts of the LLC (Part 2 of Article 135 of the Labor Code of the Russian Federation).

Important! Internal rules should not in any way worsen the situation of employees in comparison with the legislation (Part 4 of Article 8 of the Labor Code of the Russian Federation).

Prize: concept

Under the terms of Part 1 of Art. 129 of the Labor Code of the Russian Federation, the bonus is considered part of the salary. Based on the provisions of Part 1 of Art. 191 of the Labor Code of the Russian Federation, employees who conscientiously perform their assigned duties are subject to bonuses.

Part 2 art. 135 of the Labor Code of the Russian Federation also states that this type of incentive should be regulated by local regulations, for example:

• bonus regulations;
• collective agreement;
• labor regulations.

It is also possible to issue an individual act - an order from the manager regarding bonuses for one or more employees.

Important! Letter No. 14-1/B-911 of the Ministry of Labor of Russia dated September 21, 2016 states that the bonus, as a component of wages, is accrued for a period of more than half a month; accordingly, it is accrued based on the results of the work performed, only after assessing the relevant indicators.

The timing of bonus payments may vary:

• monthly;
• 1 time per quarter;
• 1 time per year;
• bonus for a different period of work.

The specific timing of bonus payment must be indicated in the local regulations of the enterprise, and if a specific date is set, this will not be a violation of Part 6 of Art. 136 Labor Code of the Russian Federation.

The main purpose of bonuses is to stimulate employees to successfully work in the LLC, they also contribute to improving the quality of work and professional growth.

Types of awards

It is customary to distinguish several types of awards:

1. By payment form:
   • monetary;
   • commodity, in the form of a specific gift.
2. By purpose:
   • upon achieving high performance results;
   • performing a specific task.
3. According to the assessment of labor activity indicators:
   • individual;
   • collective.
4. By calculation method:
   • absolute, i.e. set size;
   • relative, in the calculation of which certain percentages and premiums are taken into account.
5. By frequency:
   • systematic bonuses paid regularly;
   • one-time bonuses.
6. According to established indicators, such as:
   • for length of service;
   • for a holiday or anniversary;
   • at the end of the next working year for an employee at the enterprise.

We draw up bonus regulations

Pay attention! There is no separate chapter in the Labor Code of the Russian Federation dedicated to the bonus, the procedure for its accrual and payment. Art. 191 of the Labor Code of the Russian Federation contains only the concept of a bonus (this is an incentive to an employee for the conscientious performance of his work duties). Accordingly, it follows that the procedure for calculating this type of incentive is at the discretion of the employer. This is confirmed by letter of the Ministry of Labor of Russia dated September 21, 2016 No. 14-1/B-911.

The employer is allowed to fix the bonus procedure in the following ways:

1. Specify the specified conditions in the employment agreement with the employee.
2. Include rules on bonuses in the salary regulations.
3. Introduce bonus regulations.

When drawing up and introducing such a provision, it is necessary to take into account the following points:

• The bonus must be provided not only by the regulations, but also by the employment contract, since payments not specified in the employment contract, according to Art. 270 of the Tax Code of the Russian Federation cannot be taken into account as expenses for the purpose of calculating income tax (relevant for LLCs on the general taxation system).
• An indication of periodic payment of bonuses without criteria for accruing the latter actually means the employer’s obligation to accrue an incentive payment regardless of the quality of employees’ work (determination of the Leningrad Regional Court dated October 14, 2010 No. 33-5015/2010).
• It is permissible to make the payment of the bonus dependent on the financial condition of the enterprise, otherwise the specified right turns into an obligation. The courts have confirmed the fact that the financial insolvency of an enterprise is not accepted as an excuse for non-payment of bonuses (resolution of the Federal Antimonopoly Service of the Moscow District dated February 20, 2012 in case No. A40-132269/10-88-506B).

Sample bonus clause

As it turned out above, the provision on bonuses is a local regulatory act; accordingly, its text is developed and approved by the management of the LLC.

The sample statement should include the following information:

1. General provisions:
   • its name as a document;
   • an indication that the document is a local regulatory act developed in accordance with the norms of the current labor legislation;
   • an indication of the name of the enterprise (if the specified provision is being developed for a particular department: sales, sales, etc., then a link to it);
   • list of employees covered by the specified document (if necessary);
   • the purpose of introducing the document;
   • reference to the right, and not the obligation, of the employer to calculate bonuses;
   • source of funding for bonus payments.
2. Bonus indicators:
   • a list of grounds for which a premium is subject to accrual;
   • main indicators;
   • the amount of the established premium;
   • procedure for accrual and calculation;
   • a list of grounds on which an employee may be deprived of payment.
3. Award submission:
   • payment procedure and terms;
   • procedure for approving lists of employees for bonuses;
   • procedure for issuing an order for promotion.
4. Final provisions:
   • procedure for document approval;
   • procedure for making changes;
   • duration of the provision.

Rules on bonuses in the regulations on remuneration of LLC

Pay attention! The regulation on remuneration is also a local legal act. Its main task is to systematize and describe the mechanism for issuing and calculating wages, as well as bonuses and other additional and incentive payments.

The wage regulations may consist of the following sections:

1. General information regarding:
   • the name of the enterprise where it is accepted;
   • the procedure for paying wages;
   • making vacation pay;
   • making deductions from wages;
   • the procedure for paying wages, including in the event of the death of an employee or failure to perform official duties.
2. Information regarding official salary:
   • its size and order of determination;
   • the procedure and grounds for changing the salary rate;
   • procedure for registering changes in monthly rates.
3. Additional payments (bonuses):
   • list of existing additional payments at the enterprise;
   • grounds for calculating incentive payments;
   • payment procedure on weekends and holidays, at night.

There are no clear recommendations establishing the need to combine the provisions on remuneration with the provisions on bonuses in one document. Each employer acts at its own discretion when resolving this issue.

Introduction of regulations on wages and bonuses at the enterprise

Important! The moment of entry into force of the provision on bonuses or provisions on remuneration can be specified in the text of the document itself. Moreover, if the validity period is not limited by any date, then it will be considered unlimited.

These local regulations are approved by the head of the enterprise, but taking into account the opinion of the representative body of workers (Part 4, Article 8, Article 372 of the Labor Code of the Russian Federation). This requirement must be met regardless of the size of the trade union organization (ruling of the Leningrad Regional Court dated August 21, 2013 No. 33-3211/2013).

Moreover, according to the conditions of Part 2 of Art. 74 of the Labor Code of the Russian Federation, when introducing these acts into force, the employer is obliged to notify its employees about this, since wages are an essential condition of the employment contract (Part 2 of Article 57 of the Labor Code of the Russian Federation). Moreover, part 2 of Art. 74 of the Labor Code of the Russian Federation does not oblige the administration to create separate notifications for each employee; all that is required is the employee’s signature on the order and familiarization with the regulations.

Features of bonuses for LLC directors

The peculiarities of director bonuses are caused by the uniqueness of his legal status in the LLC. If in relation to other employees he is the employer, then in relation to him the employer is the LLC itself in the person of its founders.

Conclusion! Therefore, it is not allowed to issue a bonus by order of the director (Part 2 of Article 135, Article 191 of the Labor Code of the Russian Federation).

The grounds for bonus payments to directors are also set out in the employment contract or local act of the organization.

The decision to pay a bonus to the director is made by the LLC participants and is confirmed by:

• minutes of the general meeting of company participants;
• decision of the sole participant of the LLC.

If the director illegally paid himself a bonus, then the participants can:

• demand from him compensation for the damage caused (Article 277 of the Labor Code of the Russian Federation);
• initiate the dismissal of the director (clauses 9-10 of Article 81 of the Labor Code of the Russian Federation).

Important! Payment of a bonus based on the director's order may lead to the tax office challenging the reduction of taxable profit by the amount of the bonus.

Pay attention! If the director is the only participant in the company, then he makes the decision on bonuses independently.

The regulation on wages at an enterprise is an act that contains general information about the procedure for calculating wages and the mechanism for their payment. In addition, this document may include the procedure for calculating various incentive payments, such as bonuses. If necessary, it is possible to draw up an independent bonus regulation. Both of these documents are approved by the head of the enterprise.

• What is a bonus clause?
• How to draw up a document regulating the bonus system.
• What to include in the bonus regulations.
• What is the legal basis for the existing bonus provision?

To increase labor productivity and employee discipline, managers are introducing a bonus system. And for this system to work, it is necessary to draw up a regulatory document. In this article we will look at how the general director can draw up a competent bonus regulations.

The essence of the provision on bonuses for employees

The award is one of the components wages. It depends on the professionalism of the employee, the implementation of plans or other factors. The presence of bonuses in the payroll structure is an incentive for staff.

All activities related to the payment of bonuses must be strictly regulated. That's why managers companies delegate to the relevant services the development of an internal regulatory document - regulations on bonuses for employees. It must specify the conditions for receiving and the amount of bonuses.

If you have correctly written down the conditions for receiving bonuses, their amounts, payment periods, then you will avoid disputes with tax and the federal social service. This will also create order in the work process. Employees will be more conscientious in fulfilling their job responsibilities, as they will understand how the result of work and its payment are connected.

When an enterprise has an appropriate regulatory document, there is no need to include a large amount of information about bonuses in employment contract. In the section on wages there is a link to the document. The bonus system allows for a more rational use of funds from the wage fund and reduces labor costs.

Guidelines for drawing up bonus regulations

Since the salary of employees will depend on the bonus provisions, it is important to think through everything thoroughly before approving the document. We have collected tips and recommendations for you on how to draw up a competent bonus clause.

1. Define metrics for each department in advance. The bonus system for an accountant and a marketer cannot be placed under the same denominator.
2. The indicators by which bonuses are calculated must be economically beneficial to the enterprise, and also have a corresponding proportional dependence.
3. All bonuses must be paid only after the order of the responsible manager. This way, order will be maintained and bonuses will not become commonplace for employees.
4. Third-party business consultants should not be allowed to draw up regulations on bonuses.. Only the head of the organization knows which indicators actually correspond to business goals.
5. The bonus should be paid only in case of full achievement of the indicators.
6. Write down a system for monitoring and recording indicators. They can be statistical and accounting. It is important to immediately determine who and how calculates these indicators and makes the decision on awarding bonuses.
7. In some cases, you will have to deviate from the norms prescribed in the bonus regulations. But it is better to do this in the direction of increasing the premium amount compared to the fixed one.
8. Take into account the moments and offenses for which the employee will lose his bonus. It is best to make this list publicly available.

How to cancel an employee’s bonus without negative consequences

If you decide not to pay an employee a cash bonus for any reason, you should approach this process wisely to avoid negative consequences for the business. In the electronic magazine “General Director” you will learn 5 basic rules for canceling bonuses.

What is stated in the bonus regulations

The bonus regulations must specify who the rules apply to. Must also be specified types of bonuses and the grounds on which their payment is made. A procedure for accruals and payments is required, as well as disciplinary liability, which may lead to a reduction in bonus payments. At the end, it is necessary to indicate when the document comes into force and how controversial issues are resolved.

Let us consider in detail each section of the bonus regulations.

General provisions

The essence of the document, its basis and the purposes for which it is drawn up are described. Each enterprise has its own goals, but in general terms - increasing motivation employees and increased productivity. The main goal will be to increase the economic efficiency of the business.

It is necessary to indicate which departments and positions this internal regulatory document applies to. For example, the following criteria: whether the employee is on staff or works at a distance . Thus, the costs of bonuses will be justified.

Types and grounds for awards

This section indicates what types of bonuses exist at the enterprise and what are the grounds for receiving them. There are 2 types of bonuses: one-time and current.

One-time bonuses are timed to coincide with an event, holiday, or are awarded for individual achievements and merits. Current bonuses are paid based on the results of reporting periods: month, quarter or year.

It is necessary to differentiate all indicators by individual job positions and business units. To avoid disagreements and double interpretations in the future, they should be described in as much detail as possible.

For workers involved in production, It would be reasonable to set bonuses for completing the planned amount of work. This could be indicators of output produced or the percentage of productivity growth.

For those who work in the management or administration of an enterprise, bonuses should occur for achieving a certain level of company profit.

For accounting workers, the grounds for calculating a bonus may be compliance with deadlines for filing tax reports, correct and error-free maintenance of accounting, tax and management records.

Purchasing department employees should be rewarded for timely delivery of raw materials and ensuring uninterrupted supply of goods for trade and production processes.

Employees involved in the service sector can be assessed by their level of satisfaction clients and no complaints about poor quality service.

This section also specifies holiday dates and other grounds for the payment of regular current bonuses.

Procedure for accrual and payment

The entire process related to bonus accruals and payments. A properly formed section will help avoid confusion in document flow and errors when calculating bonuses.

A list of documents and deadlines for their submission to management for the calculation of bonuses are prescribed. It is imperative to register the responsible persons who must perform the assigned duties. Typically, the head of the corresponding department is responsible for each indicator.

The period during which the manager makes a decision on bonuses must be specified. After receiving the endorsed order, the accounting department proceeds to the calculation and accrual of bonuses. You can specify the amount of bonuses that are of a fixed, one-time nature.

It is important to register labor indicators and record them numerically. Typically numerical ranges are used. For example, for exceeding the plan by 25%, employees of the corresponding department are awarded a bonus in the amount of 10-20% of the official salary. The specific amount is determined by the head of this department. Although fixed numbers are also used, in large work teams they will not objectively reflect the contribution of each employee to the achieved result.

In this section, it is important to specify bonus coefficients. Typically, they are higher for employees with long service.

Violations for which the premium is reduced

Be sure to include this information in a separate section. This will increase discipline in the team, and employees will strive to do their work well.

Production omissions are stated here, labor violations, which entail a reduction in premium charges.

Usually this can be systematic lateness to work, non-compliance with safety regulations and labor protection requirements. Also, the bonus portion of an employee’s salary is reduced if he does not comply with job descriptions, does not perform or performs job duties poorly.

A reduction in an employee's bonus may occur if he does not comply with the instructions and orders of management and does not comply with the rules of others administrative documents enterprises. Or, if he caused material and technical damage and his guilt is justified.

Final provisions

This section sets out the procedure for the bonus provision to come into force and states until what time the document is valid. The time from which the document comes into force may be indicated in a separate order of the manager. You should also know that if the validity period is not specified, then the bonus provision is valid indefinitely.

This section also describes possible solutions. disagreements

An example of drawing up a bonus clause

We have prepared fragments from the sample bonus regulations for Sintez LLC dated December 29, 2017 with comments.

1. General provisions

1.1. This provision provides for the procedure and conditions for payment to employees

in addition to wages, material incentives in the form of bonuses for the proper performance of labor functions, subject to their compliance with the bonus conditions.

1.2. The regulation is aimed at increasing the material interest of workers in the timely and high-quality performance of work duties, as well as increasing the efficiency of work and improving its quality. Accrual and payment of bonuses are made on the basis of an individual assessment of the work of each employee.

1.3. Bonuses are paid from the Employer's wage fund.

1.4. The basis for calculating the bonus is the data of accounting, statistical reporting and operational accounting.

It describes here what the document will include and why it is being drawn up. It also indicates from which internal source the bonuses will be paid and what will be their basis.

3. Bonus procedure

3.1. Bonuses are paid based on the results of work for a month, for six months and for a year.

3.2. Bonuses are paid on the basis of an order from the head of the organization upon presentation by the heads of departments of the organization along with wages for the past month.

This section is not fully formed. For example, it does not say what the manager’s orders regarding, for example, one-time bonus payments will depend on. So that in the future employees do not feel infringed on their right to a bonus, it is necessary to analyze in detail the possible bonus procedures and make a specific description of them.

Legal basis for bonus regulations

Despite the fact that the bonus regulation is an internal document of the organization, it must comply with legal requirements.

For example, the first part of Article 129 of the Labor Code of the Russian Federation states that the bonus is part of the salary. And Article 191 of the Labor Code of the Russian Federation says that the bonus should encourage employees who conscientiously perform their duties.

Article 135 of the Labor Code of the Russian Federation, namely its second part, indicates that the features of bonuses can be any or absent altogether. For this purpose, a collective agreement is made in the form of an internal regulatory act, that is, a provision on bonuses.

The issue of accrual and payment terms of bonuses was clarified in Letter of the Ministry of Labor of the Russian Federation dated September 21, 2016 No. 14-1/B-911. Where it is stated that the terms for payment of current bonuses are established only by the internal regulations of the enterprise. That is, if the quarterly bonus is paid only by the end of the next quarter, there will be no violations of labor laws.

Letter of Rostrud dated December 18, 2014 No. 3251-6-1 states that the provision on bonuses should include a methodology for calculating indicators and bonus payments, as well as the conditions under which the employer has the right to bonus an employee or reduce the size of the bonus.

Conclusion

The bonus regulations are an important document in the organization. It allows you to streamline the system of bonuses, which makes the work of employees more efficient and conscious.

For a document to be of practical use, it must be correctly drafted and take into account the main principles. It is important not to miss even small details, the lack of which may lead to disputes between employees regarding wages in the future.

It is important to correctly structure the bonus provision and take into account all the nuances of the legislation. Then the regulatory legal act will be useful and will lead to an increase in labor productivity, and therefore

For excellent work results and achievement of certain indicators in work activity, the organization has the right to reward the employee. As a rule, the incentive is a cash bonus. The organization is not required to draw up regulations on bonuses and material incentives for employees. However, if the company uses a bonus system, then it is advisable to develop this local document to justify the expenses incurred.

Regulations on bonuses, in particular, are developed and approved if employment contracts with employees provide for the payment of bonuses, but the procedure for receiving and calculating bonuses, the grounds and conditions for payment are not specified in the employment contracts. If the organization does not have a provision on bonuses (a regulation on staff motivation or another local act regulating the payment of benefits to employees), the bonus procedure can be fixed, for example, in employment contracts or a collective agreement.

Regulations on bonus payments to employees (sample 2018)

If the employer decides to develop and approve a local regulatory act and set out in it all the conditions for bonus payments to employees, it is necessary to develop a draft document.

The unified form of the regulation has not been approved, so the employer independently develops a draft of such a regulation. The regulations on bonus payments to employees (sample) must contain the following information:

• Objectives of bonuses at the enterprise;
• Composition of employees to whom the provision applies;
• Types of bonuses (monthly, quarterly, annual, one-time, etc.);
• Indicators for the achievement of which employees will be awarded bonuses or other conditions for receiving a bonus;
• The provision on motivation or bonuses must necessarily disclose the procedure according to which bonuses are calculated;
• The procedure for paying bonuses;
• Conditions under which an employee may be deprived of a bonus in whole or in part. For example, an employer has the right to determine, as one of the conditions for receiving a bonus, the absence of disciplinary sanctions in the period for which it is paid.

The main part of the document is divided into logical parts: sections, subsections, paragraphs, etc. We will give an example of a provision on bonuses for employees of an enterprise below.

If the organization has a representative body of workers (for example, a trade union), the employer must send the draft document to it for consideration. If the company does not have a trade union, then the employer develops and approves regulations on bonuses for employees independently.

The document must be signed by its originator. This could be, for example, the head of the HR department, the head of the legal department. The position of the person signing the document is indicated, his signature is directly affixed and the signature is deciphered (last name and initials). You can look at the sample bonus clause given below and develop your own document based on its example.

The final version of the document must be approved and put into effect. For this purpose, the head of the company can issue an order or provide an approval stamp on the document itself. The bonus regulation (we provide an example at the end of the article) may contain an indication of the approval of the document (“I approve”), the position of the manager (for example, “General Director”) and his personal signature, full name, and date of approval.

Company employees must familiarize themselves with the document before signing it. For these purposes, the company can use a magazine to familiarize itself with local regulatory documents. In addition, the employee’s signature confirming his familiarization can be placed on a special familiarization sheet, which can later be filed with the document itself. If the employee refuses to confirm the fact of familiarization with the document, it is also advisable to document this in writing.

The bonus regulations cannot contain conditions that worsen the employee’s position in comparison with labor legislation. It is worth noting that employees who have not yet completed the probationary period can receive a bonus if their performance indicators correspond to the indicators necessary to receive it. Resigned employees are not deprived of their right to a bonus if the bonus for the period they worked was accrued after the date of dismissal.