This is the first profit share payout for the National Airline since the plan was approved in principle by the Board in the last year.
Stefan Pichler, Managing Director and CEO comments: “It was one of my key short term objectives to get this great initiative activated for the last financial year. We want to become the employer of choice, and an organisation which rewards its people for good performances. We all have to share good and bad times together. And when we deliver on our key business objectives, everyone should benefit.”
“This profit share payout is testament to the team’s commitment, culminating in a solid financial result 2013 for the Airline Group. I thank each and every one of our people for the achievements we’ve made as a team, and I thank the Board of Directors for their approval of this payout. I have high hopes that this is only the start of a journey of exceptional performances every year, so we can share in the success even more in the future.”
He adds: “It was not an easy decision to make as we need every dollar to fund our new and enlarged fleet and also want to pay off our debts as quickly as possible. But, it is a commitment to our future as the winning team of Fiji Airways!”
A total number of 810 non-management employees will each receive F$1,400 (US$765) each. This number includes employees of Fiji Airways’ wholly owned subsidiary Pacific Sun (soon to be Fiji LINK). The total profit-share payout amount for staff is F$1.04m (US$568,000).
Fiji Airways’ and Pacific Sun’s 67 management staff will receive a management bonus of F$4,000 (US$2,187) each, subject to taxes and superannuation deductions as required. Those management bonuses will total $0.258 m.
In addition, non-management staff for both airlines already stand to earn quarterly KPI-related bonuses of up to $1,200 per year, on achievement of key business objectives. In 2013 alone, Fiji Airways paid non-management staff a significant amount in KPI-related bonuses.
Pichler adds: “Our quarterly KPI payouts and our now implemented profit-share program reward people and focus on the basics of what makes a great airline – safety, operational excellence and great customer service. We firmly believe that these incentives will lift our game, so we’re able to serve our customers better.”
He continues: “All stakeholders of Fiji Airways should be united in their efforts to make our company a world class boutique airline, and to run safe and secure airline operations. We are all sitting in the same boat and in order to get to our common destiny, we have to row in one direction, in a coordinated way. That’s why we need to share our profits and reward target achievements!”
The Air Pacific Group, which includes Fiji Airways, Pacific Sun and a stake in the Sofitel Denarau Resort and Spa, recently reported a net profit after tax of $14.5 million for the nine month period ended 31 December 2013, compared to an operating profit before income tax of $17.8 million for the preceding twelve month period ended 31 March 2013. The nine month performance was driven by an increase in passenger numbers by 2.5% with an additional revenue of 1.0%.
NADI, ( FIJI AIRWAYS)