On the heels of record profitability, Emirates has announced a profit sharing formula for its workforce. The Dubai-based carrier has done a good thing in recognizing the fundamental importance of its workforce to its success and the generous bouns is certain to build and maintain staff loyalty.
Emirates Announce Generous Employee Profit Sharing For Second Year In A Row
After announcing a record $4.7 billion profit in 2023, Emirates will share the wealth its workforce of over 110,000 workers. Employees will receive a bonus equal to 20 weeks’ worth of basic salary, essentially (and not exaggeratingly) a massive bonus.
Emirates employees are not unionized and have no job protections. Thousands were laid off via email during the pandemic and that did not just abruptly end their livelihoods, but also their ability to reside in Dubai. But Emirates has been generous to employees in the past and last year also shared a generous bonus equating to 24 weeks of basic salary (i.e. overtime or other extras are not factored in).
Why only 20 weeks instead of 24 weeks when profits increased by 62% over 2023? Well, I think 2023 was sort of a mea culpa for Emirates; a chance to make up for the pandemic years. Workers may still have no substantive rights, but money makes a lot of problems go away.
I quite agree with One Mile At A Time that this truly means the world to so many flight attendants (including one I know from South Africa, who is over the moon). Many flight attendants live in Dubai alone with the rest of their family in their home country. Their position at Emirates not only sustains them, but provides vital support for their families at home. What a true blessing this bonus will be, and also a proper recognition that the allure of Emirtares is its excellent staff (particularly its flight attendants, but its ground staff as well).
Congrats to Emirates for the record profit and kudos for taking care of your workers in this respect.
image: Emirates
The other important thing to note is that the money is TAX FREE. If I was to get such a bonus, I ‘d lose 60% of it to taxes, pension contributions etc (and that’s in the ‘free market’ UK, there are places where marginal tax rates are even higher); the motivation to go the extra mile is on a completely different level for those who actually see all of it land in their pay packet.
@PM … Yes , but the money you pay in taxes is always well spent .
If the taxes pay for my own salary and pension, they clearly are doing something right!
Hehe, I’m only the 3rd comment here. Which means that this blog’s audience only lives for negative and/or shaming posts
LOL…unfortunately I believe there’s a lot of truth in what you say. I’m waiting to read the Pete Buttigieg story b/c I know the closet cases that constantly make childish little comments (that somehow always seem to get back to gay sex) are going to have a field day. Regardless of what the article says, they will bring it back to Secretary Buttigieg’s sexuality. It’s a shame, not only because it lowers the level of this blog, but it also makes people like myself think twice before I invest any time in it.
Sadly Klimt sees those people as his brethren. So they can call Indians dot heads and still post here, but ask Matt why he doesn’t call for emirstes to be banned from flying over Russia, he gets hurt in the feels
@Michael: pay no attention to this bitter little poster, who is blinded by his jingoistic monomania and has no idea what he is actually talking about.
You’re (sadly) quite right about the comments in any Mayor Pete thread. But what a great look at what it looks like to be closeted and bigoted in 2024. These will continue and only magnify until he’s elected POTUS.
A discretionary bonus after the fact is certainly generous. It is certainly not an incentive plan. You can’t incent employees to modify their past behavior. Defining some form of profit-sharing treats employees like partners / adults. An example of this can be found in this Forbes article: “The Key To An Effective Incentive Plan” Possibly that will be a next step for the airline.
Generally speaking, with the possible exception of certain sales roles where staff can demonstrate a direct contribution to the top line of a business, monetary incentives don’t tend to be particularly effective in creating and sustaining high performance. There’s copious research on that, generally speaking Hertzberg’s conclusion that money is a ‘hygiene factor’ is still considered to be current/valid.