Supreme Court: Christmas bonuses and the prohibition of discrimination in performance-related pay
The Supreme Court stresses that performance-related payments, if paid by the employer, must not be based on discriminatory practices. Among other things, it has taken the view that a reduction in pay due to sickness absence is not justified, as it is a circumstance beyond the employee's control.
Although the Labour Relations Act (ZDR-1) does not impose an obligation on employers to pay performance-related bonuses, nor does it set a minimum amount, it prohibits discrimination in the treatment of workers on the basis of personal circumstances.
A breach of the principle of equal treatment may constitute an offence under the first indent of Article 217 of the ZDR-1, which means that the employer may be fined.
The IRSD urges employers to comply with the principle of equal treatment when making performance-related payments and to ensure that their employees are not placed in an unequal position because of circumstances beyond their control.