Profit Share

secretspy

secretspy

secretspy

Soldato
Joined
3 Oct 2005
Posts
6,337
Location
England
Just an interest to find out how many people do get profit share and does your company base it on performance or is it equally shared amongst everyone?

ours is based on performance but apparently its also based on how many days in the year that you have been absent due to sickness. which i think is unfair seen as you cant help being ill.

im planning a trip to canada in september and so i was really hoping for this money at the end of this month

but today the MD comes over to me and hands me a letter. because people in the field have lost us over £20K and the company stupidly spent thousands on our conference, there is no profit share at present and they have to review it over the next few months because apparently at the moment they cant calculate it correctly :(

it doesnt seem fair that people in the field got £100 xmas bonus but cos they lost the company so much money we dont get our profit share.
 
i know i'm just worried about money right now but i thought it was unfair how ours is judged by our work yet the people who have lost us so much just get handed it each year.
thats why i asked how others are done
 
one of the small benefits of working for John Lewis, is that you can always bank on getting a bonus this time every year, (get mine next week). Ours is based on the profits made throught the whole company, john lewis stores, waitrose, online and ocado. They then put some money aside for expansions, new products and the like, and we get what's left over. This year our's was worked out as 15%. So however much we earnt this year we get 15% of that as a bonus.
 
I didnt get a bonus this month for the past year, Asda did not meet there predicated profits, yet still made a profit but not enough. £280 is my bonus and Asda wont even pay it but the management is getting there bonus.
 
as our company was taken bought out a couple of years ago they didnt do a profit share last year.
this year however they have said that people who arnt in sales ( i.e me ) will get 5% bonus ( works out to be about £900ish ) if the company makes over £8.25mil profit.
it does seem a little bit unfair as i cant make much difference on the actual profit of the company. but then its a bonus, so no one is actually entitled to a bonus.
 
We get a profit share...used to be once every 3 months ....we now get it once a year.

Last one was 136 hours basic pay.....which worked out at about £970 after the stupid tax our gov stick on it.
 
secretspy said:
Just an interest to find out how many people do get profit share and does your company base it on performance or is it equally shared amongst everyone?

ours is based on performance but apparently its also based on how many days in the year that you have been absent due to sickness. which i think is unfair seen as you cant help being ill.
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Yes I get a bonus which is basically profit share and its given out dependant on performance. I think its perfectly fair that you lose some due to illness. Firstly it puts people off taking sick days when there is nothing wrong with you, and secondly when you arent at work, you arent contributing to the profitability of the comapany. Simple and fair.
 
The whole point of profit share is to align your interests with that of the shareholders. It would be more appropriate to have a 'market capitalisation' share rather than profit share. This is because it is not always in a company's best interests to make maximum profit is any given year, but it IS always in its interests to grow its market value.
However at the level of the shop-floor worker encouraging them to make the company as much profit as possible can't really do any harm.

Back on topic....There is no way you can expect to be paid a bonus if targets have not been met. This removes the point of an incentive scheme.
 
burns said:
I should be getting some of Mr Morrisons profits. They way they've done this year I probably owe him a fiver:rolleyes:.
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Haha snap \;

However I happen to know a ballpark figure I'm likely to be recieving and it put a decentish smile on my face :)
 
We have profit related profit share which is shared equally. For some strange reason since it was introduced we have only had it once, everytime after we have been told we haven't made enough profit which I find hard to believe since we make cookers and washing machines for: Idesit, Canon, Creda, Hotpoint etc....
 
Gilly said:
You can't gamble on having a bonus if its company performance related...
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Definitely. Company performance is very much a gamble at the end of the day, as it's rare most of us on here can have any real impact on it...

I'd also advise against banking on personal performance bonus' too, if only because you can't guarantee what's going to happen over a given period.

Treat a bonus as it is, free money that you weren't necessarily going to get and you'll be fine :)
 
Our bonus is based on loads of factors from Staff satisfaction, to debt/profit and everything in between.

By working hard we as a company have control over how well we do and how big our bonus is.

I still view it as a bonus so don't count on it. got 5.52% this year which is about £1150 for me :)
 
Dolph said:
Definitely. Company performance is very much a gamble at the end of the day, as it's rare most of us on here can have any real impact on it...

I'd also advise against banking on personal performance bonus' too, if only because you can't guarantee what's going to happen over a given period.

Treat a bonus as it is, free money that you weren't necessarily going to get and you'll be fine :)
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i completely agree, i was hoping for the money not thinking "yes im definitely getting it" seen as a couple of weeks ago we nearly lost the whole department!!!
 
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