Browse Definitions :
Definition

golden handcuffs

Contributor(s): Ivy Wigmore

Golden handcuffs are a type of financial incentives designed to motivate employees to stay with a company longer than they might otherwise do. 

Golden handcuffs agreements are often part of an employment contract. In a more general context, the term "golden handcuffs" is used to refer to salaries that are lucrative enough to prevent highly-valued  employees from seeking positions elsewhere. The practice is most common for executive-level employees for whom there is likely to be competition. 

The financial incentives are usually expressed in a formal document as a specific amount of money and/or some other type of benefit, to be disbursed at specified points throughout a contractually-mandated time period. Bonuses and stock options that will vest in the future are common examples of financial incentives. 

The agreement may also stipulate penalties in the event that an employee leaves the company ahead of the contracted date, such as requiring repayment of bonuses. Other constraints may include non-disclosure agreements (NDA), which prevent the employee from divulging sensitive corporate information and non-compete clauses (NCC), which prevent the employee working for competitors if they do leave the company. 

See also: severance agreement, severance package, voluntary severance package, professional emancipation

This was last updated in September 2013

Start the conversation

Send me notifications when other members comment.

Please create a username to comment.

-ADS BY GOOGLE

Extensions de fichiers et formats de fichiers

Motorisé par:

SearchCompliance

  • compliance framework

    A compliance framework is a structured set of guidelines that details an organization's processes for maintaining accordance with...

  • regulatory compliance

    Regulatory compliance is an organization's adherence to laws, regulations, guidelines and specifications relevant to its business...

  • privacy compliance

    Privacy compliance is a company's accordance with established personal information protection guidelines, specifications or ...

SearchSecurity

SearchHealthIT

  • telemedicine (telehealth)

    Telemedicine is the remote delivery of healthcare services, such as health assessments or consultations, over the ...

  • Project Nightingale

    Project Nightingale is a controversial partnership between Google and Ascension, the second largest health system in the United ...

  • medical practice management (MPM) software

    Medical practice management (MPM) software is a collection of computerized services used by healthcare professionals and ...

SearchDisasterRecovery

  • crisis management plan (CMP)

    A crisis management plan (CMP) outlines how to respond to a critical situation that would negatively affect an organization's ...

  • disaster recovery (DR) test

    A disaster recovery test (DR test) is the examination of each step in a disaster recovery plan as outlined in an organization's ...

  • business continuity plan (BCP)

    A business continuity plan (BCP) is a document that consists of the critical information an organization needs to continue ...

SearchStorage

  • kilobyte (KB or Kbyte)

    A kilobyte (KB or Kbyte) is a unit of measurement for computer memory or data storage used by mathematics and computer science ...

  • megabytes per second (MBps)

    Megabytes per second (MBps) is a unit of measurement for data transfer speed to and from a computer storage device.

  • zettabyte

    A zettabyte is a unit of measurement used by technology professionals and the general public to describe a computer or other ...

Close