Swiss airlines pays out executive bonuses despite coronavirus pandemic

Swiss airlines pays out executive bonuses despite coronavirus pandemic
Photo: MICHAEL BUHOLZER / AFP
Swiss has paid out manager bonuses in October, despite the company undergoing significant losses and requiring public funding due to the coronavirus pandemic.

The bonuses, based on figures from 2019 and due to be paid out in October, were paid out to members of the company’s executive board. 

The payments are being made much later than expected due to the airline suffering liquidity problems, with the requisite cash only now being made available. 

Swiss, along with parent company Lufthansa, have experienced significant losses since the start of the pandemic and have received a number of public bailouts. 

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According to a request from the Tamedia news organisation, these are to be the last bonus payments currently due

Swiss told Tamedia that the payments were not strictly bonuses, but were instead “part of a variable wage component that is a fixed and binding part of the employment contract… due when certain key figures are exceeded.”

Results for 2019 were “very good” a spokesperson told Tamedia. 

Outgoing Swiss boss Thomas Klühr was the only member of management to waive his right to the bonus, saying that he would be unable to make up the losses for the company was he was leaving at the end of 2020. 

Klühr, along with the remainder of the company’s executives, waived up to 20 percent of their wages for six months in 2020 as a result of the pandemic, Watson reports. 

 


Member comments

  1. The fact that any of the public funding went into the pockets of executives is a complete joke to be honest. How can this even be allowed?

  2. Executives make more than enough money,they could have let go of their bonuses this year. This practice has to change or be prepared face serious anger and social unrest in the society.

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