Working for one of the world's premier sports car manufacturers just got a whole lot sweeter.
If you've ever worked in the corporate world, you likely know about the joys of profit sharing programs. For those uninitiated, let us break it down for you. if your company has a good or bad year, it's the result of a team effort, and everyone plays their part in the machine.
If it was a good year, a company that offers profit sharing will pay out a bonus – usually a percentage of that employee's yearly salary – based on just how well the company did, and, occasionally based on the employee's department or specific role. It's especially nice as the payouts usually fall around Christmas or tax time, which helps with holiday bills or comes as a sort of second refund.
Well, Porsche believes in profit sharing, and they had a good year last year – real good. As a result, their employees will be receiving a bonus of up to €9,700, or $11,000, give or take. The lion's share of that money will be paid as a cash bonus, while a much smaller percentage will be paid into employee pension funds, making retirement just a little sweeter when those employees reach it.
This comes after a banner year for Porsche. Revenue leapt 10%, while both operating profit and vehicle deliveries increased by a not-too-shabby 4%. In fact, this is the second year in a row that employees – about 25,000 according to the press release – will be receiving this substantial bonus as a reward for their hard work.
The bonus for 2017, paid out around this time last year, was just over a hundred Euro less than this year's. Just a few months ago, employees received a bonus of €356 to celebrate Porsche's 70th anniversary. The idea of working for Porsche has always seemed cool to us, and it just got a whole lot cooler.
This reward is in recognition of the extraordinary dedication and commitment of all staff at Porsche. The bonus itself will consist of two main parts: €9.000 will be paid to the Porsche workforce as a performance bonus for the 2018 financial year. €700 will be set aside as a special contribution to the Porsche VarioRente pension scheme or a personal pension fund.
The sports car manufacturer increased deliveries by 4% to 256,255 vehicles in 2018. Revenue leapt by 10% to €25.8 billion; at the same time, net operating profit rose by 4% to €4.3 billion, and return on investment was 16.6%. The workforce grew by around 9%, to 32,325 employees.
Blume: “It’s all the result of a great team effort”
The bonus for the 2018 financial year will be paid to around 25,000 Porsche AG employees, adjusted to take account of their individual working hours and years of service with the company. “2018 was extremely challenging, and stretched our team to the limits at times. Despite this, we were still able to exceed the previous year’s excellent figures for revenue, profit and deliveries, and to launch yet more outstanding vehicles onto the market,” says Oliver Blume, Chairman of the Executive Board of Porsche AG. A prime example of this was the eighth generation of the iconic 911, which celebrated its world première in Los Angeles in November. The company is also right on track for starting production of the Taycan, thanks to meticulous preparations. Blume: “It’s all the result of a great team effort, and we are really proud of our colleagues. The passion and commitment they show every day will stand the Porsche brand in excellent stead for the coming years.”
The special bonus will be paid with the April salaries. It is not specifically based on different pay levels, but set at a fixed rate. “That’s our understanding of equal opportunity; we know that every single employee in this company contributes towards its success, and our approach to these bonuses reflects that awareness,” says Andreas Haffner, Member of the Executive Board for Human Resources.
The special bonus for 2018 is higher than 2017
Chairman of the Group Works Council, Werner Weresch: “My colleagues have made an outstanding contribution to Porsche, and the bonus is a way of recognising the dedication they have shown in achieving these results. The whole thing has been a genuine team effort. Many thanks must go to the entire workforce for their commitment and their flexibility.”
The special bonus for 2018 is higher than the special and anniversary bonus for 2017, which totalled up to 9,656 euros. There was a special payment of 9,300 Euro for the 2017 financial year. In addition, Porsche employees received an anniversary payment of 356 Euro on the occasion of "70 Years of Porsche Sports Cars".