60,000 employees at Southwest Airlines will be awarded a cumulative 12.2% of $667 million (£513 million), due to the organisation’s profit-sharing scheme.
All Southwest Airlines staff who were employed on or after 1 January 2019 have been automatically included in the organisation’s profit-sharing plan, through which they are eligible to receive a contribution if they accumulate 1,000 hours of service during the year.
The latest profit-sharing award, 12.2% of $667 million, amounts to approximately $81.4 million (£62,707,711) to be shared out among employees. This should lead to an average payout of $1,356.23 (£1044.79) per individual.
On 13 March 2020, eligible employees will receive 10% as a contribution to the profit-sharing plan, and the remaining 2.2% as a cash award. Some members of staff will receive the profit-sharing award as a pension contribution, as specified in their collective bargaining agreements.
Southwest Airlines based in Dallas has rewarded its workers through profit-sharing awards for 46 years, paying out a total of almost $5.8 billion (£4.5 billion).
Gary Kelly, chairman of the board and chief executive officer at Southwest Airlines, said: “Our employees delivered outstanding results despite a challenging year, and it’s a pleasure to reward our people for all they contribute to our continued success, we recognise their resolve, persistence, resilience, and devotion to each other, our customers, and our cause.”