Porsche rewards employees with $7,000 bonus
While comparing Porsche to General Motors is beyond a stretch, we couldn't help but think about last week's UAW strike against the General while reading about Porsche giving away $7,350 in bonuses to over 8,000 full-time employees. Must be nice to be part of a profitable automaker – even if it's from sales of the Cayenne.
The automaker hailing from Stuttgart sold 97,515 cars during its fiscal year, ending on July 31. Those sales rose over the same period by 3.4-percent, bringing total income to $10.5 billion for the year. When the accountants finally get done doing the math, it's expected that Porsche will make a pretax profit that's considerably more than the approximately $3 billion it made last year. Good news for everyone involved, and it's certainly nice to see an automaker passing along the profits to its workers.
[Source: IHT]
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Reader Comments (Page 1 of 2)
Driver 2:47PM (10/06/2007)
Awesome move!
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wushu 2:50PM (10/06/2007)
How about giving loyal Porsche customer money back?
How about lowering the price of its overpriced cars and stop the price gouging on options?
Naw, this is Porsche AG, the company that became the World's Most Profitable Car Company off the back of its sucker customers.
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Rollolo 3:01PM (10/06/2007)
Talking about Toyota?
Chris 3:06PM (10/06/2007)
Wushu, if you don't like their pricing don't buy them, idiot. They're not the only maker of sports cars. It's called a free market economy. They can charge whatever the hell they want.
Evotec 3:15PM (10/06/2007)
if you dont agree with their policy dont buy their products.
BTW GM hired Bob Nardelli for millions and nobody is talking about..
Ken 3:59PM (10/06/2007)
They are a business and entitled to do what they please with profits. Why should they give money back to the 'poor' saps who have the discretionary income to buy one of the cars in the first place?
Porsche is not a charity - they are a for-profit company that does things better than others and sells a lot of cars as a result. They are rewarding their employees as more companies should do!
geo.stewart 4:00PM (10/06/2007)
since when did GM hire NArdelli? He just joined Chrysler.
Tai 10:08PM (10/06/2007)
There's a reason why they call them options. You don't have to pick them.
Eddie 3:07PM (10/06/2007)
How is a 911 Turbo overpriced?
$120,000ish and comparable performance to cars over $200,000. I call that a damn good deal.
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Random Task 3:43PM (10/06/2007)
They better complete their purchase of VW, or by the next downturn in the economy Porsche will be hurting just like all the times before.
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Andrew 6:04PM (10/06/2007)
You do understand that any downturn will always result in an upturn for a few? There are always some that prosper even during a depression. And the US is just one *foreign* market where Porsche operates. It would have to be a severe global depression of enormous magnitude for it to affect Porsche. And if that happens it'll be so bad we're all screwed!
Ken 3:54PM (10/06/2007)
Guys, this is $40,000,000 - its a drop in the bucket for the company, but a huge reward to employees.
Sounds like a good move to me! Keep people happy and productive.
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Michael Hippenhammer 3:58PM (10/06/2007)
It is really nice to see a company that values their employees. Most companies would give that money to the shareholders and what you end up with are employees that don't take stake in the product they build. Give me a big bonus like that and you bet I will work harder at my quality of workmanship.
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howard 1:20AM (10/07/2007)
What your saying is you don't give your employer an honest days work for an honest days pay! SHAME, SHAME! YOUR EMPLOYER GIVES YOU A PLACE TO MAKE A LIVING, WARM/COOL WORKING CONDITIONS, FAMILY BENIFITS AND ALL THE OTHER THINGS THE AMERICAN WORKER HAS COME TO DEMAND AND YOU SAY YOU WOULD DO A BETTER JOB FOR A BONUS! I HOPE YOUR BOSS READS YOUR NAME ON THIS BLOG AND CUTS YOUR PAY ACCORDING TO YOUR HOURLY OUT PUT AND I'LL BET YOUR UNDER 30 YRS OLD AND WANT WHAT MOM AND POP WORKED 40 YEARS TO GET, TOMORROW!
geo.stewart 6:54PM (10/06/2007)
Howard, get over yourself.
There is doing your job and there is going for broke. Someone can do all that is expected of them and bring home the paycheck they are promised for doing that job. Then, if your company rewards performance in a way meaningful to you, you can do more in anticipation of a reward (promotion, bonus, name your perk). Why go beyond the call if there is no payoff for you. Otherwise, just work for free and let the company reap the rewards of your toil.
My father didnt work for free and neither did his father so dont say its a generational thing.
Vivek 8:52PM (10/06/2007)
You do know that shouting in caps warns everybody to ignore you right?
TEM 4:43PM (10/06/2007)
With profits supposedly at 25 grand a car, they should do this more often.
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Bill 5:25PM (10/06/2007)
Shows you how overpriced those cabbage burners are.
I hope none of the awarded employees were the slugs who built my crapola 1985.5 Porsche 944. That piece of junk was second only to the colossal junker 1973 Audi 100 that I bought. Both were new and both were in the dealer's more than in my garage.
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Andrew 6:04PM (10/06/2007)
You do understand that any downturn will always result in an upturn for a few? There are always some that prosper even during a depression. And the US is just one *foreign* market where Porsche operates. It would have to be a severe global depression of enormous magnitude for it to affect Porsche. And if that happens it'll be so bad we're all screwed!
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Carlos 9:47PM (10/06/2007)
When I graduate with my ME BS degree I would love to work for Porsche.
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