Company not paying bonus

New / Eng
Buchjvyv

New Eng

Buchjvyv
Oct 10, 2018 20 Comments

My cash comp comes with a bonus (based on company performance) which is of fixed size and pretty sizable (~$60k, ~25% of my cash comp). It was introduced this year as part of me getting new responsibilities (more customer facing on top of standard swe), at a medium sized startup (150 employees and very good funding).

The bonus was not part of any written agreement, but was communicated to me by my boss during my annual review (which also included a small salary bump) as part of me complaining that staying at the startup represents an opportunity cost for me considering the wonderful average offers in SV, where we are based. The bonus was supposed to be paid every quarter but to this day I haven’t received anything. I brought it up several times to my boss:

1) First time (March, end of Q1): he said that the bonus was to be paid at half year and not every quarter.

2) Second time (June, end of Q2): he said that the bonus should be paid the following month (end of July), because our fiscal year is shifted.

3) Third time (July): I was kind of embarrassed in asking again to him, so I sent an email to our HR woman who handles payroll and she said I wasn’t owed any bonus that month.

4) Fourth time (September, end of Q3): reached out once again to my boss and he said maybe the bonuses weren’t paid because of company under performance, and that he’d check and let me know.

Haven’t heard from him ever since, and it really bothers me asking one more time.

I’m a senior swe and have been with the company for a while, the company is doing well but I really think they are shortchanging me of these $60k.

What the hell should I do? Just go look for another offer and leave?

Thanks

TC: 200k (not including bonuses) and a lot of equity currently valued at ~2M, still illiquid and a good chunk of it vested (early employee)

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TOP 20 Comments
  • Fitbit / Eng
    LeftOf

    Go to company page Fitbit Eng

    BIO
    over there
    LeftOf
    Leave. You can’t force them to pay a bonus, but you can force them to suffer a lack of talent for their dishonesty.
    Oct 10, 2018 0
  • Leave. Sounds like cash flow issues.
    Oct 10, 2018 1
    • New / Eng
      Buchjvyv

      New Eng

      Buchjvyv
      OP
      No they are not. We are hiring like crazy. Just last month we hired 10 new swes paid at 200k+ each and I know for a fact we have dozens millions in the bank, we just raised a massive amount a few months ago.

      I really don’t know what my boss is doing over here, if it’s passive aggressiveness or just stupidity on his side.

      He is an experienced manager (vp level) and I can’t imagine he’s not considering how bitter people get if they’re not paid the amount of money that was promised. I almost think he is just too naive and busy, but again, confronting him once more makes me very uncomfortable.
      Oct 10, 2018
  • Amazon / Consultant
    teardrop.c

    Go to company page Amazon Consultant

    BIO
    hi2u
    teardrop.c
    Red flag in the trust department. If I were you I would start planning an exit.
    Oct 10, 2018 0
  • Microsoft / Product
    @zzz

    Go to company page Microsoft Product

    @zzz
    What do you mean there was nothing in writing? Especially something as important as compensation.

    Shame on your manager for telling you this, but more on you for being so naive, especially in a startup.

    BTW have you even checked your stock options? They maybe thin air too.
    Oct 10, 2018 3
    • Tumblr
      mehwhatevr

      Go to company page Tumblr

      mehwhatevr
      Selling 1/3 of your shares may have sent a signal that you don’t believe the company will succeed or that you don’t intend to stay long-term, and your boss may be responding accordingly. Even if the company facilitated the sale, perhaps they looked more kindly on folks who sold a lesser percentage?
      Oct 10, 2018
    • New / Eng
      Buchjvyv

      New Eng

      Buchjvyv
      OP
      Nope, the company incentivized early employees to sell shares to take risk off the table. Nearly every early employee who was given the option liquidated the maximum amount that the company allowed (1M each). Including the VP himself.

      Thanks for the hypothesis but wrong diagnosis.

      It’s actually more that I think that since last year I was able to liquidate those shares *after* the performance review and the bonus promise, perhaps my boss is thinking that the 60k is irrelevant now, but that’s bs because you can’t mix equity comp, which is for the work done in the past, with current cash comp.
      Oct 10, 2018
  • Tango Health / Eng
    WaterColor

    Tango Health Eng

    WaterColor
    Get an offer and force his hand for his stupidity. That way you have a parachute if he pricks your balloon.
    Oct 10, 2018 2
    • BlackBerry / Other
      👨‍⚖️🤮

      Go to company page BlackBerry Other

      BIO
      Putin’s mistress
      👨‍⚖️🤮
      Not worth it. I’d leave after getting an offer. If his boss makes a promise and takes it back after sending him in circles, it creates trust issues. Nothing worse than broken trust
      Oct 10, 2018
    • Tango Health / Eng
      WaterColor

      Tango Health Eng

      WaterColor
      I'd still exit, but will not go down without a fight. An easy exit just reinforces the trust issues that OP's boss has been playing with. He should be made to pay for his folly.
      Oct 10, 2018