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A.1. See AG Op. No. 99-0137 and AG Op. No. 04-0020 which state that incentive pay plans are constitutionally permissible, if they promise additional but reasonable future compensation for future performance by a public employee which is of demonstrable public benefit. To meet constitutional requirements, such incentive programs must be legally and formally adopted by the the award or pay must be reasonable in relation to the nature of the employee performance and the public benefit realized. See also, AG Op. No. 90-0128.
A.2. See AG Op. No. 97-0284 and AG Op. No. 01-0221 which state that as long as there is a formally adopted policy in place for these payments, which are properly characterized as “an earned benefit of employment,” then there is no legal distinction between whether the employee receives payment for these earned benefits in a lump sum upon separation or in a lump sum while still employed.
3. See AG Op. No. 06-0342 which states that the payment of moving expenses of a newly hired employee is permissible if it is part of the negotiated contract for employment.
Louisiana Legislative Auditor website: 08/29/2025 02:39:53 PM
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