Southwest employees get six-week bonus from profit-sharing
Zach Wichter covers the aviation industry for TPG. He previously worked for The New York Times.
Feb. 06, 2020
•
2 min read
Southwest employees get six-week bonus from profit-sharing
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Eligible Southwest Airlines employees will get a bonus in March equivalent to about six weeks of pay, thanks to the airline's profit-sharing program.
The company said it will spend a total of $667 million on the incentive this year, up from $544 million in 2019.
That sum includes money from the airline's settlement with Boeing over its grounded 737 MAX fleet.
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“Our employees delivered outstanding results despite a challenging year, and it’s a pleasure to reward our people for all they contribute to our continued success,” Gary Kelly, Southwest's CEO, said in a statement. “We recognize their resolve, persistence, resilience, and devotion to each other, our customers, and our cause.”
For comparison, Delta Air Lines announced last month that it would contribute $1.6 billion, or about two months' pay, to eligible employees on Valentine's Day. American Airlines will spend $213 million on its profit-sharing program this year, and United Airlines will pay out about $491 million.
Southwest has offered profit-sharing to its employees for 46 years. The airline said it was the first carrier to create such a program.
Featured image by Wieck
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