The automotive industry is changing: despite challenging conditions, Daimler participates its employees in the financial year 2019 with a profit-share of up to 597 euros and a one-time appreciation bonus of up to 500 euros. This the Board of Management and the General Works Council agreed on. The bonus applies roughly to 130,000 eligible tariff-scale employees in Germany, who will receive it with their April pay.
“2019 has been challenging and required particular efforts from our employees. We want to honor their extraordinary commitment of the past year with a one-time appreciation bonus”, says Wilfried Porth, Member of the Board of Management of Daimler AG responsible for Human Resources and Director of Labor Relations & Mercedes-Benz Vans.
Michael Brecht, Chairman of the General Works Council at Daimler AG: “We are aware that many of our colleagues had to work with high tension and under difficult conditions this past year. Therefore, we have jointly agreed to pay an additional one-time appreciation bonus. We are grateful for everyone’s exceptional performance and commitment.”
A profit-sharing scheme for tariff-scale employees exists at Daimler since 1997. Calculation of the profit-sharing bonus at Daimler is settled in an agreement with the General Works Council. The profit-sharing bonus is calculated by a formula, which links the profit of Mercedes-Benz, Mercedes-Benz Vans and Daimler Trucks before interest and taxes (EBIT) with the return on sales. After the implementation of Project Future, there is still a consistent and joint profit sharing for the employees of Daimler AG, Mercedes-Benz AG, Daimler Truck AG and Daimler Brand & IP Management GmbH & Co. KG.
The operating profit of 4.3 billion euros for 2019 is below the operating profit of 11.1 billion euros for 2018. As a result, this year’s profit participation is lower than the bonus of 4,965 euros paid out last year.