The Retention Bonus And Severance Agreement is a strategic document used by organizations in India during periods of significant change, such as mergers, acquisitions, restructuring, or other critical business transitions. It serves the dual purpose of ensuring business continuity by retaining key talent while providing clarity on eventual separation terms. This agreement is particularly relevant when companies need to maintain stability during uncertain periods or protect critical business functions. The document must comply with Indian employment law, including various statutes such as the Industrial Disputes Act 1947 and Payment of Bonus Act 1965, while addressing tax implications under the Income Tax Act 1961. It typically includes specific retention periods, bonus payment structures, performance conditions, and comprehensive severance terms.
Thank you! Your submission has been received!
Oops! Something went wrong while submitting the form.
Your data doesn't train Genie's AI
You keep IP ownership of your docs
1. Parties: Identifies the employer and employee, including their legal addresses and registration details
2. Background: Sets out the context of the agreement, including the employee's current position and reason for the retention bonus offer
3. Definitions: Defines key terms used throughout the agreement including 'Retention Period', 'Retention Bonus', 'Cause', 'Good Reason', and 'Severance Payment'
4. Retention Period: Specifies the duration during which the employee must remain employed to receive the retention bonus
5. Retention Bonus: Details the amount of the retention bonus, payment schedule, and conditions for earning the bonus
6. Severance Benefits: Outlines the severance package components, including payment calculation method and timing
7. Conditions for Payment: Specifies the circumstances under which the retention bonus and severance benefits will or will not be paid
8. Tax Matters: Addresses tax implications and responsibilities for both retention bonus and severance payments
9. Confidentiality: Requires the employee to maintain confidentiality about the agreement terms and company information
10. Non-Disparagement: Prohibits both parties from making negative statements about each other
11. Governing Law: Specifies that Indian law governs the agreement and identifies relevant jurisdiction
12. Dispute Resolution: Establishes the process for resolving any disputes related to the agreement
13. General Provisions: Contains standard clauses including amendments, notices, and entire agreement provisions
1. Non-Competition: Restricts the employee from working with competitors for a specified period - include when protecting business interests is crucial
2. Non-Solicitation: Prevents the employee from soliciting customers or employees - include for senior positions or client-facing roles
3. Release of Claims: Employee's waiver of legal claims against the employer - include when severance is part of a separation agreement
4. Outplacement Services: Provision of career transition support - include when offering comprehensive severance packages
5. Benefits Continuation: Details about continuation of health insurance and other benefits - include when extending benefits beyond termination
6. Return of Company Property: Requirements for returning company assets - include when employee has access to significant company property
7. Cooperation Post-Employment: Obligations to assist with transition or future inquiries - include for key positions or ongoing projects
1. Schedule A - Retention Bonus Calculation: Detailed formula and examples of how the retention bonus will be calculated, including any pro-rating provisions
2. Schedule B - Severance Benefits Calculation: Breakdown of severance package components and calculation methodology
3. Schedule C - Release Agreement: Form of release agreement to be signed upon termination
4. Schedule D - Company Property Inventory: List of company property in employee's possession to be returned
5. Appendix 1 - Compliance Certificate: Form of compliance certificate to be signed before bonus payment
Find the exact document you need
Layoff Severance Agreement
An Indian law-governed agreement detailing employment termination terms, severance benefits, and mutual obligations during layoff situations.
Download
Outplacement Services Severance Agreement
An Indian law-governed agreement combining severance terms with outplacement services for departing employees, ensuring compliant employment separation with transition support.
Download
Outplacement Services Agreement
An Indian law-governed agreement between an outplacement service provider and client company for professional career transition services.
Download
Redundancy Agreement
An Indian law-compliant agreement documenting terms of employment termination due to redundancy, including statutory payments and final settlements.
Download
Layoff Agreement
An Indian law-compliant agreement that formalizes employment termination through layoff, detailing separation terms and mutual obligations between employer and employee.
Download
Separation And Severance Agreement
An Indian law-governed agreement documenting employment termination terms, severance benefits, and mutual obligations between employer and employee.
Download
Separation Pay Agreement
An Indian law-governed agreement detailing the terms, conditions, and financial arrangements for an employee's separation from their employer.
Download
Retention Bonus And Severance Agreement
An Indian law-governed agreement establishing terms for retention bonus payments and severance benefits for key employees.
Download
Severance Settlement Agreement
An Indian law-governed agreement documenting employment termination terms, severance payments, and mutual obligations between employer and employee.
Download
Severance Contract
An Indian law-compliant agreement detailing employment termination terms and severance arrangements between employer and employee.
Download
Layoff Separation Agreement
An Indian law-compliant agreement that formalizes employment termination during layoffs, detailing separation terms, benefits, and mutual obligations.
Download
Voluntary Severance Agreement
An Indian law-governed agreement documenting mutually agreed employment termination terms, including severance benefits and final settlement conditions.
Download
Mutual Severance Agreement
An Indian law-governed agreement documenting mutually agreed terms of employment termination, including severance terms and mutual releases between employer and employee.
Download
ұԾ’s Security Promise
Genie is the safest place to draft. Here’s how we prioritise your privacy and security.
Your documents are private:
We do not train on your data; ұԾ’s AI improves independently
All data stored on Genie is private to your organisation
Your documents are protected:
Your documents are protected by ultra-secure 256-bit encryption
We are ISO27001 certified, so your data is secure
Organizational security:
You retain IP ownership of your documents and their information
You have full control over your data and who gets to see it
.png)