Sign On Bonus

[Wayne1128]

Hello,

I just want to seek an advice regarding the sign-on bonus offered by some hospitals. I am just a bit worried about it. This is just the condition they put in the offer: “If you leave the company because of your own choice or misbehavior, prior receiving the last bonus payment, you will be asked to repay the entire gross amount of the bonus already paid.” I am just new here in the States and I am afraid I will be dealing something serious. What are your throughts? Thanks in advance.

[Rose_Queen, BSN, MSN, RN]

There are many sign on contracts that stipulate repayment of bonuses if the requirements are not met. Essentially, what they are saying is that if you do not uphold your end of the bargain of staying for the agreed amount of time in the conditions, they have the right to be repaid the bonus you were given.

Let's say you were given a $5,000 sign on bonus by agreeing to remain with the organization for 2 years. If you leave after 1 year, you haven't met the 2 year expectation and haven't earned the bonus that was prepaid to you. You would then be expected by the organization to repay that $5,000.

[Wayne1128]

On 2/22/2020 at 12:49 PM, Rose_Queen said:

There are many sign on contracts that stipulate repayment of bonuses if the requirements are not met. Essentially, what they are saying is that if you do not uphold your end of the bargain of staying for the agreed amount of time in the conditions, they have the right to be repaid the bonus you were given.

Let's say you were given a $5,000 sign on bonus by agreeing to remain with the organization for 2 years. If you leave after 1 year, you haven't met the 2 year expectation and haven't earned the bonus that was prepaid to you. You would then be expected by the organization to repay that $5,000.

Oh I see. I actually seen the entire contract and it stated the same thing! Thank you for your response!

[amoLucia]

Be also aware of the comment re misbehavior. That can be expanded to include any negative behavior that could cause a termination with cause (like absenteeism, poor practice, school obligations, etc).

As long as you stay the time course as agreed upon and you do a good job, you'd be OK. Only then DO NOT go and louse things up by leaving without the requisite resignation notice terms. Just don't give them any reason to withhold the bonus.

Good luck to you.

[Wayne1128]

7 minutes ago, amoLucia said:

Be also aware of the comment re misbehavior. That can be expanded to include any negative behavior that could cause a termination with cause (like absenteeism, poor practice, school obligations, etc).

As long as you stay the time course as agreed upon and you do a good job, you'd be OK. Only then DO NOT go and louse things up by leaving without the requisite resignation notice terms. Just don't give them any reason to withhold the bonus.

Good luck to you.

That is well noted. Thank you! Have a great day!