Good Job More than 40,000 United Airlines "front-line" workers will receive a $100 bonus because the carrier's on-time performance topped the Transportation Department's monthly performance rating for March, the Chicago-based airline said Thursday. [Chicago Tribune]
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A corporation giving bonuses that actually make sense?
I hope these are the skycaps, luggage handlers, and gate agents getting this money.
I hate to always be negative, but wasn't there an article a couple of weeks back which pointed out that the main reason there were fewer late flights is because there are fewer flights at all these days?
Less flights = less late flights.
Someone at United already got a bonus a couple weeks ago when my iPod touch never made it to lost and found. Must be a nice way to supplement income, stealing all the lost electronics left behind on aircraft. (yes, it's totally my fault for losing track of it, no I don't think it's unreasonable to expect the business to actually have a functional lost and found system with employee accountability for items found)
@legotech: Unfortunately, there is very little a company could do to combat the type of theft you are describing.
Having lived in Chicago and experiencing O'Hare airport multiple times per year, I do not believe this story. =(
However, good job United. I think UAL is one of the very small, exclusive group of airlines that is actually profitable. It's great that they're rewarding the front-end people on performance and recognizing how they help bring value to the brand. I took advantage of a few of their flight fire sales this year, and now I feel even better about it. =D
@FatLynn: Uh, besides keeping their employees honest. Institute a corporation wide program that rewards good behavior (turning in found electronics) and punishes bad (firings, black marks in employee files). Plant electronics on flights as leaving, and check employees afterwards. Publicize this policy so you aren't entrapping employees, keep them honest.
@FatLynn: Judging by the "front-line" designation, as well as the sheer number of them, I don't think they could be left out.
@SexCpotatoes: The thing is, when something is lost and found, you have no way of knowing who did the keeping. It could easily have been a passenger.
When I worked in retail, customers who lost stuff generally accused us of keeping it but the sheer fact of the matter is that almost none of the items lost in our store ever found their way into an employee's hands to begin with.
@redskull: True, but the award was for beating all of their competitors-in theory, the recession would reduce delayed flights across the board.
@FatLynn: it sure is! but in celebration of the easter holiday, the bonuses will be hidden inside customers' checked bags.
at least at PHL.
So United spent 4 million as a bonus for 40,000 employees that actually deal with customers and implement the strategies thought up in HQ. Meanwhile CEO's get 40 million even if they produce negative results.
I wonder how much the service provided would be improved if the front line employees had a carrot of $500 at the end of the year for being #1 for on time performance, and $500 at the end of the year for being #1 for customer service.
@SexCpotatoes: I think that you could have some serious problems trying to implement the second half of that policy. It's underhanded and shady by management and shows initial distrust of their employees, you don't want to give the impression that the people working on the planes are scum. Further it would probably cost more to implement than it would save.
It would be far cheaper, safer and look better for the company to use just a bonus for good behavior.
Also, in this case an employee might not have been the one to find the iPod touch. Sometimes the turnover is so quick another passenger probably found it and kept it.
@Tmoney02: After all this talk of "retention bonuses". I wonder what it would look like if they called it what it was: a partial salary deferment.
I think they call them "retention bonuses" so that they can complain to their friends that they "only" make $150,000 a year (or for the real martyrs: $1) and then get the rest of their 20 million later.
I wish there could be a law stating that the term "Bonus" had to be justifiably tied to measurable performance metrics. I.e.: "I'm still here after 365 days" is not justifiable.
A... hundred... dollars? So once they ding you for taxes, you should be able to go to the movies. By yourself. That's more a slap in the face than a bonus.
@SexCpotatoes: And are you willing to pay more for your ticket to prevent a problem experienced by other passengers?
@Blinky987: of course they're profitable. they raided their employees' pensions in 2005, leaving you & i to hold the bag. thanks guys!
oh, & once they got that monkey off their back, what was their first course of action post-bankruptcy? why, divvying up the spoils, of course!
I work at UA and in January, we got the $100 bonus. After taxes, it's about $64 take-home. As with any bonus, it's taxed at the highest withholding percentage. The previous bonus program was based on profitability, and for management (the cubicle workers that are not in a union) it is still based on personal performance and profitability.
We've been told that being on-time is worth $XXX per year in bookings, so in effect $4 million in bonuses for being on-time is eclipsed by the net new bookings that result in being #1 on time.
I'll be spending my bonus in Europe next month, the international booking dropoff has made standby travel a bit easier.
@nakedscience: But the psychology of rewards is that the person judges the reward based on their perception of the value of what they've done. If someone said, "I'll give you a piece of bacon if you mow the lawn," you wouldn't go, "I love bacon. Deal." You'd think the reward wasn't worth the effort.
In the workplace, people want to be fairly compensated and rewarded for their effort. If they get "some" compensation or reward, they will judge it based on their effort. If they judge it too low, they will be offended rather then just thinking, "$50. Score!"
@FatLynn: Nice to see a bonus go to someone who actually worked to deserve it. Although I think it's sad that people that actually deserve a bonus are getting a C-Note and jackasses that don't get enough money to buy an island in the Bahamas.
@snowburnt: I did type "publicize the policy" so the employees know they are being checked on to be honest. Most of the time, this is enough to keep people honest, let them know they will randomly and secretly be tested, and they'll be on their best behavior. Note I did not say record them or spy on them or give them body-cavity searches.
@FatLynn: There should be lost and found prevention strategies inherent in any business that deals with such a rapid passenger turnover and luggage handling. The fact that airport security workers and baggage handlers have carte blanche to thieve anything from any luggage they see.
@SexCpotatoes: I know what you typed and it doesn't make it any less disgusting, you're just making it "publicize"d that it is management's "policy" to inherently distrust all of their employees. This leads to lower morale and would probably actually lead to worse things happening than a flight attendant failing to turn in a lost piece of electronics.
Whenever management takes a stance that sets them on a pedestal above a thieving working class, it's bad policy that will create an inherent divide between the two levels of company. It's policies like that that make unions strike. Management shouldn't be the parents, they should be the leaders and the facilitators of the front lines.
@deadandy: The people are getting paid regardless of the bonus. They're already receiving what they consider to be fair compensation.
The extra $100 is icing on the cake, a pat on the back for a job well done. The problem is they're giving it to 40,000 people. Everyone's getting the same bonus and management isn't getting more than anyone else.
And hell, depending on the size of the lawn and type of lawn mower I'd mow a lawn for a piece of bacon, especially if you tempt me with the smell of it.
@snowburnt: As long as you DO reward good behavior and aren't just punishing bad behavior, this looks pretty positive to me.
I've tried courtesy, reasoning, and strict adherence to United's policies in an attempt to get good service from them to no avail. Apparently, I should have gone with bribery.