Variable Pay Plan Clause Samples
A Variable Pay Plan clause establishes the terms under which an employee may receive additional compensation based on performance or achievement of specific targets. This clause typically outlines the criteria for earning variable pay, such as meeting sales goals, project milestones, or company profitability metrics, and may specify the calculation method and payment schedule. Its core function is to incentivize employees to achieve certain objectives, aligning their interests with organizational goals and providing a clear framework for performance-based rewards.
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Variable Pay Plan. Verigy Transferred Employees and other Verigy Employees shall cease participation in the Agilent variable pay plans as of the applicable Agilent Participation Discontinuance Date. Effective as of the Separation Date, Verigy shall establish the Verigy variable pay plans. Verigy shall be solely responsible for all Liabilities related to the payment of variable pay to Verigy Transferred Employees and other Verigy Employees under any variable pay plan with respect to service completed on and after May 1, 2006.
Variable Pay Plan. During the Tenn, the Executive will be eligible to participate in the Corporation’s Variable Pay Plan (“VPP”), as amended from time to time and in accordance with and subject to the terms and conditions thereof and as set out herein. The Executive’s initial annual target bonus opportunity shall be equal to 100% of Salary as in effect at the beginning of the applicable calendar year (the “Target Bonus”) and the maximum annual bonus opportunity shall be equal to 150% of Salary as in effect at the beginning of the applicable calendar year. The amount of the Executive’s payment under the VPP, if any, in respect of a calendar year (the “Bonus”) is dependent upon and calculated in reference to the achievement of applicable performance objectives as set and evaluated by the Board under the VPP, in its sole discretion. The Bonus, if any, will be paid to the Executive in cash in USD following the completion of the Corporation’s final financial audit in respect of the applicable calendar year in which it was earned, and paid in, and no later than March 15 of, the calendar year following the financial audit. In order to be eligible to receive a Bonus, the Executive must be actively employed by the Corporation and providing services on the last day of the applicable calendar year, and not have either given or received notification of termmation of employment for any reason (and whether with or without Just Cause or Good Reason) prior to that day. Notwithstanding the other terms and conditions of this Section, the Executive shall be eligible to receive a pro rata Bonus in respect of 2018 calculated on the basis of service from the Start Date to the last day of 2018, and such pro rata Bonus will be no less than USD $150,000 and shall be paid no later than March 15, 2019.
Variable Pay Plan. PART A GENERAL ITEMS