Employees At Ford Get $1000 Bonus
Despite bearing the brunt of a $2.7 billion loss, Ford has still decided to give every hourly union employee, working for Ford in USA and Canada, a $1,000 lump sum bonus.
In an e-mail addressed to the concerned employees, Ford Motor CEO Alan Mulally stated that despite losses, Ford has managed to achieve all targets everywhere except in Asia and the Americas. He appreciated the employees for their effort and accomplishments. However, he added that the merit pay raise will be postponed from April to July.
This bonus will be given to all hourly employees, including the ones that took a voluntary buyout, as long as they continued to put in at least 40 hours a week at the end of 2007. The amount that employees will actually get in hand will defer as the bonus amount will be subject to deductions for income withholding orders, bankruptcies, health care dependent audits and disability audits as applicable. Salaried workers will get a bonus as deemed appropriate depending on their employee salary grade and leadership level and they will also be subject to deductions.
The company claims that despite the losses that they have incurred, company objectives including quality, cash flow and cost performances, have been on par and the company is in the process of performing a turn around. This is obvious when one estimates their losses at the end of 2007, which stand at 2.7 billion dollars, in light of their losses at the end of 2006 which stood at a staggering 12.6 billion dollars.
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