Document background
The Incentive Bonus Agreement is designed for use when an employer wishes to establish a formal, documented bonus structure for employees in Ireland. This document is particularly important in situations where performance-based compensation forms a significant part of the employee's total remuneration package. It details the mechanism for calculating and paying bonuses, performance criteria, payment conditions, and tax implications. The agreement ensures compliance with Irish employment law while providing clarity and certainty for both parties regarding bonus arrangements. This document is commonly used in various sectors, particularly those with sales targets or measurable performance metrics, and can be customized to accommodate different bonus structures, from simple annual bonuses to complex multi-tiered incentive schemes.
