Smith Barney’s ‘Golden Handcuffs’ Compensation Plan Under Scrutiny
The New Jersey Supreme Court heard arguments Wednesday on whether a Smith Barney incentive-compensation plan that penalizes participants who leave the company before they're vested violates the public policy of state wage-and-hour law. A trial judge ruled in favor of two brokers who had resigned within their vesting periods, but a divided state appeals court reversed last year, finding that Smith Barney's plan had passed muster in other states.
