What Is Retention Bonus? HR Definitions & Examples

Home » What Is A Retention Bonus » What Is Retention Bonus? HR Definitions & Examples

Maybe your like

  • Skip to content
HomeRecruitment GuideGlossary Terms A-ZRetention Bonus
  • Legal Resources
    • Termination Laws By State
    • Regular Laws
    • Wage and Hour Laws by State
  • Business Resources
    • Business Closing
    • Business Finance
    • Business Tax
    • Starting a Business
    • Business Operations
    • Insurance and Liability
    • Intellectual Property
  • Hiring Resources
    • Hiring Process
    • Wages and Benefits
    • Workplace Safety
    • Discrimination
    • Employee Termination
    • Managing Employees
    • Hiring Tips for Employers

A retention bonus is a form of financial incentive to keep an employee at a company. They are generally given during stressful times at an organization such as an acquisition or merger. They may also be given when it is indicated that an important employee is considering leaving. Business owners may offer a significant bonus in order to keep key players. These bonuses are singular transactions in order for an employer to express his or her appreciation for all that the employee has done. Retention bonuses are typically given as opposed to salary raises because during an acquisition or merger, the company may not have the necessary finances in place to commit to a permanent raise.

Related Terms

  • Bonuses FAQ
  • Incentive Pay

Legal Disclaimer

The content on our website is only meant to provide general information and is not legal advice. We make our best efforts to make sure the information is accurate, but we cannot guarantee it. Do not rely on the content as legal advice. For assistance with legal problems or for a legal inquiry please contact you attorney.

  • VIDEO TOUR
  • CHROME EXTENSION

Tag » What Is A Retention Bonus