Document background
The Transition Bonus Agreement is a strategic document used by companies in the Philippines during periods of significant organizational change, such as mergers, acquisitions, restructuring, or leadership transitions. This agreement serves as a retention tool to ensure business continuity by providing financial incentives to key employees whose continued employment is crucial during the transition period. The document complies with Philippine employment laws and tax regulations, outlining specific conditions for bonus payment, performance expectations, and duration of the transition period. Typically implemented during periods of organizational uncertainty, the Transition Bonus Agreement helps companies maintain stability while protecting their interests through confidentiality provisions and clearly defined performance metrics.
