AutosStellantis allocates billions for employee bonuses, rewarding strong 2023 performance despite layoffs looming

Stellantis allocates billions for employee bonuses, rewarding strong 2023 performance despite layoffs looming

Illustrative photo
Illustrative photo
Images source: © Press materials
3:22 AM EST, February 16, 2024

The Stellantis Group emerged in early 2021 from the merger of the FCA and PSA corporations. It stands as one of the foremost players in the modern automotive industry, maintaining a solid performance despite the challenging economic circumstances. Indeed, its output has been substantial enough to justify regular employee bonuses.

The "pay for performance" bonus program was introduced almost immediately after the merger. In less than three years, Stellantis has allocated several billion dollars for employee bonuses and is now expanding this provision.

The slated amount is in the neighborhood of $2 billion, serving as a reward for a prosperous 2023. The corporation does not reveal the number of employees who will receive bonuses. However, it is acknowledged that nearly 95 percent of employees are involved in the "pay for performance" program.

Concurrently, the company does not eliminate the possibility of layoffs; however, even these will be executed with financial benefits. Given the ongoing transition to electromobility, Stellantis plans precise cuts in its workforce. In November 2023, the company announced voluntary buyouts for 6400 employees in the US.

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