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- Clawback refers to any money or benefits that have been given out, but are required to be returned due to special circumstances or events1. It is a contractual provision that requires an employee to return money already paid by an employer, sometimes with a penalty2. Clawbacks act as insurance policies in the event of fraud or misconduct, a drop in company profits, or for poor employee performance2. The term can also refer to the recovery of tax allowances by additional taxation3.Learn more:✕This summary was generated using AI based on multiple online sources. To view the original source information, use the "Learn more" links.The term clawback or claw back refers to any money or benefits that have been given out, but are required to be returned (clawed back) due to special circumstances or events, such as the monies having been received as the result of a financial crime, or where there is a clawback provision in the executive compensation contract.en.wikipedia.org/wiki/ClawbackA clawback is a contractual provision that requires an employee to return money already paid by an employer, sometimes with a penalty. Clawbacks act as insurance policies in the event of fraud or misconduct, a drop in company profits, or for poor employee performance.www.investopedia.com/terms/c/clawback.aspplural clawbacks : the act or an instance of getting back money or benefits previously given out: such as a : the recovery of tax allowances by additional taxationwww.merriam-webster.com/dictionary/clawback
Clawback Definition & Meaning - Merriam-Webster
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