Peugeot Citroen to extend bonus scheme

EXCLUSIVE: The PSA Peugeot Citroen Group is to extend its performance-based bonus scheme to include employees in its parts and logistics warehouse.

The programme will be introduced to these 200 employees from the end of December 2012.

The car manufacturer previously offered the bonus scheme to all other employees within its 3,000-strong workforce.

The bonus is linked 50% to group performance and 50% to individual performance. Objectives for the group and for individuals are marked out of 50 points. Payout of the individual bonus is triggered by the payout of the group bonus.

From 2013, all employees will agree their individual performance targets in consultation with managers and work towards their first potential payout by Christmas 2013.

Stephanie Palmer, head of reward, relations and development at the PSA Peugeot Citroen Group, led negotiations with trade union Unite, which represents the 200 warehouse employees.

She said: “There is a pay rate for the job and everybody who does that job gets exactly the same pay.

“A couple of years ago, these employees did accept that they would have appraisals and performance ratings, but they weren’t actually linked to anything.

“As part of this pay deal, we agreed to introduce the bonus. It is to encourage engagement and participation.”