Bank of the Ozarks of Little Rock announced Thursday that the personnel and compensation committee of its board of directors approved the creation of an annual cash-based incentive bonus plan for hourly employees and other employees not covered by existing bonus plans.
Current estimates indicate the annual pre-tax cost of the new plan for 2018, including payroll taxes and other benefits, will be between $2.4 million and $2.7 million. Going forward, annual bonus payments under the plan will be determined and paid in the first quarter of each year.
Executive officers and other members of senior management are excluded from the plan.
Employees could receive a cash award of up to $1,200 annually based on the company's and individual employee's performance. About 2,300 employees will be eligible to receive the bonus, the publicly traded company said.
The first payments will be made in early 2019, based on the company's and their 2018 performance.
"Recently signed U.S. corporate tax legislation has given us the opportunity to enhance current compensation programs for our employees," Chairman and CEO George Gleason said in a news release. "This bonus plan rewards hard work and performance while promoting our longstanding commitment to excellence which has driven our company’s success for decades."