>"Won't this change mean we operate at a loss to subsidize your other company, which will affect staff bonuses".
I don't get it. Can you explain?
I don't get it. Can you explain?
Staff at company A have negotiated a profit share / performance bonus.
Boss directs company A to provide services “below cost” to company B. Company A now has no profit to share; it has been funnelled elsewhere to avoid paying the staff their bonus.
It has slimy tax advantages too, for the company.
If you're getting profit sharing, you should be able to see the books, and have controlling shares, too... IMO.