Employment letter agreement between the Company and Joseph R. Topper, Jr., dated as of March 9, 2021
Contract Categories:
Human Resources
- Employment Agreements
EX-10.1 2 a101-josephtopperemploymen.htm EX-10.1 Document
Reports to: Molly Langenstein, CEO and President
Start Date: March 22, 2021
/s/ Joseph R. Topper, Jr.
Mr. Joseph R. Topper, Jr.
Exhibit 10.1
March 9, 2021
Mr. Joseph R Topper, Jr.
XXXX XXXXXX XXXXXX
XXXXXXX XXXXXXX, XX XXXXX
Dear Joseph:
It is with great pleasure that we offer you the opportunity to join Chico’s FAS, Inc. As you are aware, we are a respected organization within which this position is a key driver of our success. As one of the top specialty retailers, we offer tremendous opportunity for personal and professional growth. Please let this letter serve as an offer to join Chico’s FAS, Inc. and your acceptance of that offer. The following will outline the specifics:
Position: Chief Digital Officer
It is with great pleasure that we offer you the opportunity to join Chico’s FAS, Inc. As you are aware, we are a respected organization within which this position is a key driver of our success. As one of the top specialty retailers, we offer tremendous opportunity for personal and professional growth. Please let this letter serve as an offer to join Chico’s FAS, Inc. and your acceptance of that offer. The following will outline the specifics:
Position: Chief Digital Officer
Reports to: Molly Langenstein, CEO and President
Start Date: March 22, 2021
Base Salary: $480,000.00 annually
Bonus Plan:
Target of 80% of base salary earned during the FY21 performance period (January 2021 to January 2022), prorated for time in position, which is contingent upon the achievement of corporate and brand financial objectives. The terms of the bonus, including eligibility, payouts and objectives are subject to the Management Bonus Plan and may be modified from time to time. All payouts are based on fiscal year business results and can vary from zero (0) to a maximum of 200% of your target bonus potential (160% of base salary earned). Bonus is typically paid in March, after the conclusion of the fiscal year.
Target of 80% of base salary earned during the FY21 performance period (January 2021 to January 2022), prorated for time in position, which is contingent upon the achievement of corporate and brand financial objectives. The terms of the bonus, including eligibility, payouts and objectives are subject to the Management Bonus Plan and may be modified from time to time. All payouts are based on fiscal year business results and can vary from zero (0) to a maximum of 200% of your target bonus potential (160% of base salary earned). Bonus is typically paid in March, after the conclusion of the fiscal year.
Equity Grants:
Following your date of hire, you will receive a new hire equity grant of 50,000 time-based Restricted Stock shares (RSAs). The RSAs will vest ratably over a three-year period. You will also receive a grant of 50,000 Performance Share Units (PSUs). The RSAs will vest over a three-year period. The PSUs will cliff vest over a three-year period, contingent upon the average achievement of the defined performance goals over a period of three (3) fiscal years. The achievement range for the annual PSU is from zero (0%) to a maximum of 175% of the target award.
You will be eligible for annual equity grants delivered in a combination of 50% Restricted Stock and 50% Performance Share Units. The target amount of such grants is established by the Human Resources, Compensation and Benefits Committee of our Board of Directors on an annual basis and may change from year to year. Annual equity grants are typically made in March.
Mr. Joseph R. Topper, Jr.
Page 2
Annual Review:
You will be eligible for the FY21 performance appraisal process in 2022.
You will be eligible for the FY21 performance appraisal process in 2022.
Time Off:
You will be eligible for 23 days of Paid Time Off (PTO) for each full calendar year of employment. This is an accrued benefit that you start to earn on your start date. In addition, Chico’s FAS, Inc. currently observes six paid holidays and two floating days of your choice.
You will be eligible for 23 days of Paid Time Off (PTO) for each full calendar year of employment. This is an accrued benefit that you start to earn on your start date. In addition, Chico’s FAS, Inc. currently observes six paid holidays and two floating days of your choice.
You will also be eligible to participate in Chico’s FAS, Inc. comprehensive benefits program outlined below:
Group Insurance Program:
Medical/Dental/Vision Plans
Eligibility Date: Effective your first day of active employment
Life Insurance:
The company provides term insurance equal to 1X your base salary as well as accidental death and dismemberment insurance equal to 1X your base salary ($500,000 maximum). Supplemental insurance is available for purchase.
Eligibility Date: Effective your first day of active employment
Short and Long Term Disability:
The company provides short and long term disability benefits.
Eligibility Date: Effective your first day of active employment
401(k) Plan:
You may participate with an eligible deferral of your compensation (subject to an IRS maximum). Your 401(k) contributions may be subject to additional limitations under federal regulations. You will be able to roll over existing qualified funds immediately.
Eligibility Date: After 6 months of employment
Group Insurance Program:
Medical/Dental/Vision Plans
Eligibility Date: Effective your first day of active employment
Life Insurance:
The company provides term insurance equal to 1X your base salary as well as accidental death and dismemberment insurance equal to 1X your base salary ($500,000 maximum). Supplemental insurance is available for purchase.
Eligibility Date: Effective your first day of active employment
Short and Long Term Disability:
The company provides short and long term disability benefits.
Eligibility Date: Effective your first day of active employment
401(k) Plan:
You may participate with an eligible deferral of your compensation (subject to an IRS maximum). Your 401(k) contributions may be subject to additional limitations under federal regulations. You will be able to roll over existing qualified funds immediately.
Eligibility Date: After 6 months of employment
Executive Benefits
Disability Income Protection:
As an officer, you will be eligible for Chico’s FAS, Inc.’s Supplemental Disability Insurance program after 90 days of employment. This program provides an increased level of income protection should you become totally disabled. Full details of the program will be provided by the Benefits Department.
Annual Physical:
As an officer, you are eligible to have one company paid physical per year at the Mayo Clinic in Jacksonville, FL as part of our Health and Wellness program.
The items listed above are covered by various benefit plans. Such benefit plans may be modified from time to time. In the event this offer letter conflicts with the terms of a benefit plan document or summary plan description, the terms of the plan document or summary plan description will control.
Mr. Joseph R. Topper, Jr.
Page 3
Child Care:
Chico’s FAS, Inc. is pleased to provide an early education and child development center located on campus. The center is operated by Bright Horizons Family Solutions Inc., a best in class childcare provider. The center accommodates children from ages 6 weeks to 5 years. Summer program options are also available for children ages 5 to 12.
Chico’s FAS, Inc. is pleased to provide an early education and child development center located on campus. The center is operated by Bright Horizons Family Solutions Inc., a best in class childcare provider. The center accommodates children from ages 6 weeks to 5 years. Summer program options are also available for children ages 5 to 12.
Chico’s Clinic:
You will have access to Chico’s Viva Verna Clinic, which is available to all associates and their spouses. The on-site clinic offers no cost and low-cost appointments for wellness checks, sick visits and lab work. Marathon Health operates the clinic with a staff of nurse practitioners and other providers.
Associate Discount:
You will be eligible for the Chico’s associate discount, which is generally 40% off the retail price for all Chico’s product at all 3 Chico’s Brands (Chico’s, WHBM, Soma), whether purchased on-line or in store. This discount may not apply to all products and all purchases.
Relocation Benefits:
In order to ensure a successful relocation, you will be provided relocation assistance as detailed in the attached Tier I Relocation Program.
In order to ensure a successful relocation, you will be provided relocation assistance as detailed in the attached Tier I Relocation Program.
By accepting our offer of employment, you acknowledge the at-will nature of our relationship. This offer is contingent upon the successful verification of references, background check, in addition to your execution of our attached Restrictive Covenant Agreement, substantially illustrated in the form attached.
Additionally, you represent that you are not a party to any agreement that would bar or limit the scope of your employment with us.
We hope you view this opportunity as a chance to have a positive impact while enjoying a challenging and rewarding career. Nonetheless, please understand that Chico’s FAS, Inc. is an at-will employer. That
means that either you or the company are free to end the employment relationship at any time, with or without notice or cause.
We are looking forward to having you on our team. Let me be the first to welcome you aboard! We are sure you will find it a challenging and rewarding experience. If you have any questions, please feel free to contact us at the number indicated below.
Sincerely,
/s/ Molly Langenstein
Molly Langenstein
CEO and President
/s/ Molly Langenstein
Molly Langenstein
CEO and President
Contact Information
For questions, please call:
Kristin Gwinner
Kristin Gwinner
CHRO
(XXX) XXX-XXXX
Mr. Joseph R. Topper, Jr.
Page 4
I accept the terms and conditions of the offer as outlined above:
Please return a signed copy
Please return a signed copy
/s/ Joseph R. Topper, Jr.
Mr. Joseph R. Topper, Jr.
10 March 2021
Date
Date
Attachments
