Court Approves Pacific Sunwear Employee Retention Plans
The court affirmed a Key Employee Incentive Plan (KEIP) covering eight senior managers and a Key Employee Retention Plan (KERP) that covers an additional 69 employees designated by the bankrupt retailer. The U.S. trustee in the case objected that the $1.8 million KEIP is an employee retention plan disguised as an incentive bonus plan, since all the participants have to do to earn the bonus was meet goals to which they were already committed by the DIP. PSUN argued that those deadlines might well be moved to maximize the ... Log in to view full article.