House Bill No. by Representative Tarver enacts a new provision, R.S. 23:631(E), which addresses the payment of compensation, specifically focusing on commissions, incentive pay, and bonuses after the termination of employment. The bill stipulates that such compensation will only be considered due if it has been earned at the time of separation and has not been altered according to a written policy. It also outlines that employers may have policies that adjust commission amounts based on changes to the order generating the commission or stipulate that payments are not earned until the employer has received the corresponding payment.

Additionally, the bill establishes guidelines for bonuses determined by financial performance, allowing a maximum of 120 calendar days from the end of the relevant period for employers to assess whether a bonus is due and to calculate its amount based on standard accounting practices. This legislation aims to clarify the conditions under which employees are entitled to receive their earned compensation after leaving their jobs, thereby providing more transparency and structure in the payment process.