General Motors will pay out higher bonuses to the majority of its 69,000 salaried workers around the globe this year, according to The Detroit Free Press.
The newspaper says GM supervisors are expected to meet with salaried employees this week to disclose the bonus amount they have received for the prior work year. The company uses an unknown formula to determine the bonus amounts of salaried workers, which are largely performance dependent and can range from nothing for employees who underperform ta tens of thousands of dollars for employees making six-figures a year or more.
The Detroit Free Press spoke to a GM source familiar with the revised bonus amounts, who asked not to be identified as they were not permitted to speak to the media. The source said a salaried, white-collar GM employee making about $100,000 per year can expect to receive an $11,400 bonus for 2019 – up from about $10,000 last year. That’s if they meet all of their performance targets, of course.
“We had a very strong performance in 2019,” GM spokesman Pat Morrissey told the Free Press in a statement. “When GM wins, all of our team members win.”
GM Canada headquarters
Another GM source said the increased bonuses come as a relief to many white-collar GM workers, who were worried the 40-day UAW strike would have an impact on their compensation and bonuses for 2019 and beyond. The UAW strike also lead to concerns GM might make cuts to its white-collar workforce in order to meet the UAW’s demands.
GM employs 164,000 people around the world, 69,000 of which work on a salaried basis and 48,000 of which are located within the United States. GM also employs 46,000 unionized blue-collar workers, though these employees’ bonuses is calculated using a different formula. As negotiated in the 2019 national agreement, full-time UAW workers will receive $1,000 for every $1 billion of GM’s North American earnings before interest and taxes. GM reported a pretax profit of $8.2 billion last year.
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Comments
If they didn’t give the salaried folks bonuses there would likely be a ton of complaining as the UAW workers got $11,000 contract signing bonus (bribe) on top of their normal annual profit sharing bonus.
After all the cuts to salaried positions and forced buyouts at the beginning of last year, the ones left don’t complain. Most the non executives are still scared there will be another mass layoff of salaried employees soon.
Yes, those UAW crooks held them for hostage for strike back wages as well. Let’s see we go on strike and get 75% of our regular wages and hold out 2-months, but then we make sure the new contract includes the 25% that we lost plus more!
GM cut the times that are paid to the dealerships to to point most of the mechanics that fix the poor engineering that GM puts out barely make $30,000 a year. No wonder the dealerships have lost over half the mechanics that fix GM’s mistakes.
Too bad old salaried retirees are not compensated as well. They have been thrown out like old bath water.
If there’s anyone who does not deserve a bonus it is GM salary. 90 percent are yes men and the remaining 10 percent that are intelligent have no balls. Sad that the few that are capable of doing what needs done are kept under the thumbs of the idiots. Stop me when I’m lying.
And the higher up you go the worse it gets.
It’s BS union paying employees get screwed and we are the ones doing all the work and besides we stood out 40 days to fight for what we got and still did not get a whole lot but sorry ass management get that BS
Frank Sobil makes a relevant comment. The only time GM contacts a salaried retiree is to try and sell them a car or if GM wants them to contact a legislator on GM’s behalf. However, business is business, and it cuts both ways. GM has to compete for my car buying decision. GM was totally uncompetitive the last two times we bought a car. We bought one Ford and one Hyundai – both built in the USA with USA built powertrains.