Definition of the word claw back

The term "claw back" originated in the business world in the late 1970s or early 1980s. It refers to the process of recovering money, resources, or benefits that have been incorrectly or excessively paid or granted to organizations, individuals, or entities due to error, fraud, or other justifiable reasons. The phrase "claw back" comes from the idea of an animal using its claws to recover or reclaim something that has been taken away or wrongfully held by another. In corporate contexts, "claw back" is commonly used in the context of financial or management incentives, such as bonuses, stock options, or compensation packages, to ensure that they are only paid out when earned fairly and legitimately.