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Long-Term Incentive (LTI)

Definition

Compensation components like stock options or bonuses awarded to employees based on sustained performance over multiple years.

Context & Importance

Helps retain key talent and aligns long-term performance with organisational goals.

Use Cases

• ESOPs granted to senior leaders.
• 3-year performance bonus cycles.

Related Concepts

Variable Pay, Retention Plan, Deferred Bonus.

TankhaPay Relevance

Track LTI eligibility and configure deferred payouts.