Daily Trends Now
Daily Trends Now


United Airlines To Replace Employee Bonuses With Lottery

United Airlines To Replace Employee Bonuses With Lottery

The new program, which has caused massive unrest among the employees, was announced via a memo last Friday by the President Scott Kirby.

Following swift backlash from employees, United Airlines has scrapped its plans to replace quarterly employee bonuses with a lottery-based employee reward system.

When United first unveiled its plans for the program, called "core4 Score Rewards", the airline said it hoped offering meaningful rewards would "build excitement and a sense of accomplishment with more bang for the buck".

While the bonuses were discretionary and not part of any contract, "it starts to become a counted-on piece of income, and now that income might not be there", said Mike Klemm, whose International Association of Machinists and Aerospace Workers represents around 28,000 United employees.

The system would have replaced quarterly, performance-based bonuses and rewards for flawless attendance with a lottery-based system, where eligible employees would be entered into a drawing for a variety of prizes if the company hit one of its performance goals during a calendar quarter.

Under the sidelined proposal, called "core4 Score Rewards", if quarterly performance goals were met, the company would draw 1,360 employee names for cash, auto and vacation prizes ranging from $2,000 to $40,000 in cash value.




The dust-up over the bonus lottery showed that United is struggling to overcome a legacy of poor labor relations since its 2010 merger with Continental Airlines.

According to a report at Business Insider, which has seen the memo announcing the program, the maximum number of employees who will receive a bonus payout during a quarter will be 1,351, of which 73% will receive a $2,000 cash prize.

"They took away our quarterly incentive bonuses, and changed it to a deplorable new system that only rewards an elite few", said the petition. Other employees would have gotten prizes including 50 vacation packages or 10 Mercedes. It took so many years for people to feel good about what was happening. Chicago-based United employs about 88,000 personnel worldwide.

The post also complained that employees did not receive a $1,000 bonus after the new tax law passed.

So, we are pressing the pause button on these changes to review your feedback and consider the right way to move ahead.

Instead, the airline will be reaching out to employee work groups to make changes that "better reflect [employee] feedback".

follow

editors' picks

March 06, 2018
Faye Dunaway reflects on 2017 Oscars Best Picture flub
Despite the infamous incident The Academy has chose to retain accounting firm PwC despite the now infamous Best Picture flub. And they said, it's okay. "Sorry guys, we're out of Oscars ", he said.

March 06, 2018
Congress respects the people's mandate: Rahul Gandhi on northeast polls
She said the result in Tripura was due to CPM's "surrender" and the "failure" of the Congress to agree to an alliance. The elections in 59 seats of the 60-member Assembly were held on February 18.

March 05, 2018
Kell Brook has both eyes on another world title
Jumping up the weights like he did, I don't think that was a big surprise, because "Canelo" punches so hard and is accurate. Brook has been a natural 154lbs fighter for the last 12 months, and it would definitely favour him at that weight.

March 03, 2018
Oosthuizen leads after day one of World Golf Championship in Mexico
Indians have enjoyed success here for three straight years, with Chawrasia winning in 2017 and 2016, and Lahiri in 2015. Mickelson has 28/1 odds for this week and I think he can possibly pick up his first win since 2013.

March 03, 2018
Dana White says Brock Lesnar is likely to return for UFC fight
White appeared on Sirius XM NASCAR Radio on Tuesday with Kevin Harvick and was asked about the odds of a Lesnar return to the UFC. Lesnar hasn't set foot inside the Octagon since his UFC 200 bout with Mark Hunt , which he won via unanimous decision.

March 01, 2018
California Democrats snub Feinstein
For the first time, California's senior senator Dianne Feinstein failed to win the backing of her party in a reelection bid. The state party will not officially endorse either candidate, however, since both failed to meet the 60 percent threshold.

February 26, 2018
Scott Gimple Promises Huge Changes In The Walking Dead Season 8
Yet, I still suspect much of it is because of who it is and because none of us saw it coming before the mid-season finale . Yes, that shot in the closing minute was certainly the "WTF!" moment of this particular episode.

February 25, 2018
Allu Arjun and son Ayaan re-create Priya Prakash Varrier's finger gun act
Actor Allu Arjun and Allu Ayaan recreate Priya Prakash Varrier's bullet kiss Scene and it is adorable. Now stepping ahead, he managed to reprise the magic of the song along with his son Allu Ayaan .

February 24, 2018
Europe 'Beast From the East' Weather to Bring Cold, Snow
Today, Friday, is expected to be mostly dry with a mix of cloud and sunny spells; the best of the sunshine is likely in the north. Met Éireann have forecast a cold and frosty night on Friday, with temperatures reaching as low as -1C.

February 23, 2018
NRA Chief Singles Out Sen. Murphy During Speech At CPAC
She went on to speak directly to reporters covering the event in National Harbor, Maryland. Chris Murphy of CT were eagerly blaming the NRA . "They hate the NRA ".