United Airlines causes turbulence by dropping quarterly performance bonuses

United Airlines causes turbulence by dropping quarterly performance bonuses
14 Mar 2018

United Airlines’ president Scott Kirby’s decision to drop employees’ quarterly performance bonuses has reportedly a firestorm among staff.

Kirby said in a memo that the Chicago-based airline planned to replace bonus pay-outs with a new scheme called 'core4 Score Rewards', which will offer quarterly prizes. These prizes will include cash payments ranging from US$2,000 to US$40,000, luxury cars, holidays and a grand prize of US$100,000. The system is linked to the company's core4 training programme.

But many currently eligible employees will receive nothing, and airline sources told the Chicago Business Journal that Kirby's memo had made some staff furious as a result.

A United spokeswoman responded: "We believe that this new program will build excitement and a sense of accomplishment as we continue to set all-time operational records that result in an experience that our customers value."

Emma Woollacott

Emma Woollacott is a freelance business journalist. Her work has appeared in a wide range of publications, including the Guardian, the Times, Forbes and the BBC.

United Airlines’ president Scott Kirby’s decision to drop employees’ quarterly performance bonuses has reportedly a firestorm among staff.

Kirby said in a memo that the Chicago-based airline planned to replace bonus pay-outs with a new scheme called 'core4 Score Rewards', which will offer quarterly prizes. These prizes will include cash payments ranging from US$2,000 to US$40,000, luxury cars, holidays and a grand prize of US$100,000. The system is linked to the company's core4 training programme.

But many currently eligible employees will receive nothing, and airline sources told the Chicago Business Journal that Kirby's memo had made some staff furious as a result.

A United spokeswoman responded: "We believe that this new program will build excitement and a sense of accomplishment as we continue to set all-time operational records that result in an experience that our customers value."

Emma Woollacott

Emma Woollacott is a freelance business journalist. Her work has appeared in a wide range of publications, including the Guardian, the Times, Forbes and the BBC.

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