Our bank pays an incentive comp bonus each November for those employees that have completed their goals (goals are for work over and above regular job duties). One of our employees was on FMLA for 10 weeks and the supervisor wants to base the bonus on the number of months the employee was physcially here. I don't think that sounds right. Our plan does not specifically address this situation; for those employees hired during the year, their bonuses are prorated based on number of months employed.

Connie,
Section 825.220(c) of the FMLA states:

"(c) An employer is prohibited from discriminating against employees or prospective employees who have used FMLA leave. For example, if an employee on leave without pay would otherwise be entitled to full benefits (other than health benefits), the same benefits would be required to be provided to an employee on unpaid FMLA leave. By the same token, employers cannot use the taking of FMLA leave as a negative factor in employment actions, such as hiring, promotions or disciplinary actions; nor can FMLA leave be counted under ``no fault'' attendance policies."

Therefore, the employee's time on FMLA cannot be used as a reason to reduce the benefit paid to others as it relates to this particular incentive program.

Thanks, again, for your help, Bob!

but this is a bonus - if the employee would have otherwise referred customers for cross-selling and been paid a bonus had they not been absent, you wouldn't project their bonus earned over the weeks they were absent.

i think the answer is going to depend on how the bonus is designed - are they individual goals, were they met? are they team goals? is the bonus based on meeting goals for the whole year or by period?

The bonus is for the whole year. Basically, an employee sets four or five goals that must be met by November 30. It is possible someone could have all their goals completed anytime during the plan year. The goals are set by each individual, independent of any branch or bank goals.