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EXHIBIT 10.1
PLANTRONICS, INC.
NON-EMEA QUARTERLY PROFIT-SHARING PLAN
Effective March 26, 2000
1.1 INTRODUCTION
The Plantronics, Inc. Non-EMEA Quarterly Profit Sharing Plan is
structured to provide associates in the North, Central and South America,
Asia, and the Pacific region with an ability to share in company
profitability based on their combined efforts. At the end of each
quarter, adjusted Company profit will be determined and a bonus pool
created using 5% of adjusted Company pre-tax profit. Funds in the pool
will be disbursed to eligible associates according to their prorata
eligible earnings for the quarter.
2.1 DEFINITIONS
Adjusted Profit Consolidated Company pre-tax earnings and profits --
including all expenses and changes other than i) federal
and foreign tax and ii) extraordinary gains or losses as
defined by the Financial Accounting Standards Board, and
following an addback of profit sharing estimates
previously expensed during the period.
Beneficiary: Any legally entitled beneficiary to an employee's estate
and corresponding entitlement to payment under the Plan,
as established by Human Resources.
Company: Plantronics, Inc. or a successor entity or corporation
that may, at its sole discretion, choose to continue
this Plan.
Consultant: Any person who provides service to the Company under a
Consulting Agreement with Plantronics, Inc. or through
employment by an outside agency, contract service, or
educational institution and who is so designated as a
Consultant by Human Resources.
Disability/Death: A permanent medical condition that renders the associate
unable to perform usual duties and requires the
Participant to cease employment with the Company. A
Participant or Beneficiaries seeking Disability or Death
benefits under this Plan shall be required to provide
evidence and records as appropriate for Human Resources
to determine whether Disability or Death have occurred.
Effective Date: The Effective Date of the Plan is March 26, 2000.
Eligible Associate: All active indirect Company employees providing service
through a Participating Employer payroll except those
designated as a Consultant by Human Resources.
Eligible Earnings: All current base compensation paid or payable in cash by
the Participating Employer to a Participant for services
performed during the Fiscal Quarter. Compensation shall
not include overtime, bonuses, severance, sales
commissions, or other cash incentive payments, but will
include vacation, disability pay and sick pay.
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PLANTRONICS, INC.
NON-EMEA QUARTERLY PROFIT-SHARING PLAN
Effective March 26, 2000
Fiscal Quarter: The stated Company quarterly financial accounting
periods during each Fiscal Year ending on the Saturday
closest to June 30, September 31, December 31 and March
31 each year.
Lay-off The termination of employment by the Company
under an announced Layoff program due to
lack of work or the re-positioning of work
within the Company for which the employee
has received severance payments from the
Company, and as determined by Human
Resources.
Leave of Absence An authorized leave of absence during the Fiscal Quarter
that has been approved by Human Resources
Participant: Any Eligible Associate who provides service to the
Company during a Fiscal Quarter and is employed with the
Company on the last day of the Fiscal Quarter.
Participating Employers: All non-EMEA subsidiaries and divisions and their
payrolling agencies are the Participating Employers
under this Plan. Non-EMEA organizations are those
outside the Plantronics, Inc. Europe, Middle East, and
Asia division -- including but not limited to locations
in North America, Central and South America, Asia, and
the Pacific region.
Payroll Quarter: The stated Participating Employer payroll period that
corresponds to a Fiscal Quarter, as determined by the
local Payroll or Human Resource Manager with such
responsibility.
Plan The Plantronics, Inc. Non-EMEA Quarterly Profit Sharing
Plan.
Retirement The associate's termination of employment based on
company defined and allowed retirement from service,
as determined by Human Resources.
Transfer-In: The transfer of an Eligible Employee from an EMEA
subsidiary or division payroll to a Non-EMEA subsidiary
or division payroll.
Transfer-Out: The transfer of an Eligible Employee from a Non-EMEA
subsidiary or division payroll to an EMEA subsidiary or
division payroll.
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PLANTRONICS, INC.
NON-EMEA QUARTERLY PROFIT-SHARING PLAN
Effective March 26, 2000
III. ELIGIBILITY
3.1 PARTICIPATION
For each Fiscal Quarter following the Effective Date, a Non-EMEA
associate is a Participant if they are considered an Eligible
Associate on the last working day of the Fiscal Quarter. Eligible
Earnings for each Participant during the quarter are determined
based on prorated earnings during the Payroll Quarter, based on
the Participant's actual payroll earnings in the Non-EMEA division
or subsidiary. Payroll and Fiscal Quarters do not necessarily
match the same time periods during a quarter.
3.2 DEATH/DISABILITY/RETIREMENT/LAYOFF/LEAVE OF ABSENCE/TRANSFER-OUT
Any Eligible Employee who ceases employment with the Company for
reason of Death, Disability, Retirement, Layoff, Leave of Absence
or Transfer-Out will be considered a Participant through the end
of that Fiscal Quarter. Payment will be calculated based on the
Eligible Earnings earned during that quarter.
3.3 TRANSFER-IN
Any Eligible Employee who Transfers-In during a Fiscal Quarter
will have payment calculated based on the Eligible Earnings earned
during that quarter from a Participating Employer.
3.4 OTHER TERMINATING EVENTS
Any Eligible Employee who ceases employment with the Company for
reasons other than Death, Disability, Retirement, Layoff, or Leave
of Absence during the Fiscal Quarter -- whether voluntary or
involuntary -- will no longer be considered a Participant in the
Plan.
IV. PROFIT SHARING POOL FUNDING
As soon as practicable at the end of any fiscal quarter and following
review of financial statements by an independent accounting firm, a
profit sharing pool will be funded by the Company in an amount equal to
5% of Adjusted Profit for distribution under this Plan.
V. METHOD OF CALCULATION
Once the Profit Sharing Pool is created, these funds are allocated to
individual Participants, based on their prorata share of total Eligible
Earnings. The method for determining the individual allocation shall be
the Eligible Earnings paid to a Participant during the Fiscal Quarter
divided by the aggregate Eligible Earnings paid to all Participants
during the same Fiscal Quarter.
VI. METHOD OF PAYMENT
Upon completion of appropriate calculations and approval to proceed, each
Participating Employer will pay to the Participant the amount determined
under the Method of Calculation in a cash payment, subject to any locally
required tax withholding. Payment will be made as soon as practicable
following the completion of the review of Fiscal Quarter financials by an
independent accounting firm.
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PLANTRONICS, INC.
NON-EMEA QUARTERLY PROFIT-SHARING PLAN
Effective March 26, 2000
VII. ADMINISTRATION COMMITTEE
An internal Administration Committee consisting of the Chief Executive
Officer, Chief Financial Officer and each Participating Employer Human
Resource and Payroll Manager administers the Plan. The Company
indemnifies the committee members from all liability or claim against
them.
VIII. PLAN AMENDMENT OR TERMINATION
The Plan can be amended or terminated by the Administration Committee at
any time, for any reason, either retroactively or prospectively.
IX. RIGHTS AND CLAIMS UNDER THE PLAN
The Company intends to make contributions to the Plan indefinitely,
however, the Company is not under any obligation or liability to continue
its contributions to the Plan or to maintain the Plan for any given
length of time. The Company may discontinue contributions or terminate
the Plan with respect to all or part of the Participating Associates at
any time.
Any payment to a Participant or his/her Beneficiary, in accordance with
the Plan, shall to the extent thereof be in full satisfaction of all
claims such person may have against the Company. The Company may require
the Participant or Beneficiary to execute a receipt and release as a
condition precedent to payment, in a manner determined by the
Administrative Committee.
Neither the establishment of the Plan, nor any modification thereof, nor
the creation of any fund or payment from such fund shall be construed so
as to grant a Participant any legal or equitable right or any presumed
contract of employment with the Company.