Jaqueline Harding (Partner-Los Angeles) successfully defended a global car manufacturer client before the California Labor Commissioner against a claim brought by a long-term employee alleging wrongful withholding of a nondiscretionary production/performance bonus and associated waiting time penalties. The employee asserted entitlement to the bonus despite not meeting the program’s qualifying criteria.

The California Labor Commissioner ruled in favor of our client, finding that the company’s bonus program constituted a clear and unambiguous contractual agreement that specifically outlined the eligibility requirements for who qualified to receive bonuses. The Commissioner noted that, despite multiple discussions with management, the employee failed to meet the performance standards necessary to be eligible for the bonus. The Commissioner issued an Order, Decision and Award denying the bonus payment and waiting time penalties.