Yesterday afternoon, Fiat Chrysler Automobiles announced the amount of the bonus that group employees will receive in their February paychecks.
The 86 workers of FCA and CNH Industrial will receive 990 and 825 euros respectively, as the last tranche of the increase — linked to the production efficiency results for 2015, as established by the new remuneration policy introduced with the company contract last July.
Considering the 330 euros previously disbursed, wage increases in 2015 are around 1.320 euros, with an average among establishments of 4,5% of contractual wages. The overall wage increase in 2015 rose to 6%. Even better for Pomigliano and Verrone who have reached the highest peaks of the so-called World Class Manufacturing and will therefore receive the biggest bonuses: with a +7.2% equal to 1.584 euros.
In CNHI, the average bonus (in addition to the €330 already paid) is €825 (3,75% of contractual wages). In total, in 2015, it reached 1155 euros.
Satisfied with the comment of the General Secretary of Fim Cisl Marco Bentivogli: “We have debunked the two false myths that have always explained that to defend manufacturing in a mature economy like ours it was necessary to reduce wages and deteriorate working conditions. The FCA and CNHI affair demonstrates that working conditions have improved and can improve further and wages have increased”.
As IMF-CISL explain, the amount of the bonus translates into an increase well beyond the rate of inflation. The classic salary increases in basic pay linked to inflation would have resulted in increases not exceeding €28/€30 gross per year (inflation in 2015 is equal to 0,1%). The company and the unions have therefore sought new paths, finally arriving at a contractual system for the FCA group and CNHI which introduces a salary system capable of disbursing larger amounts by linking them to company performance.
But how were the increases quantified? To calculate the amounts, the 86 employees were divided into three professional brackets corresponding to 5 professional groups. Each band was assigned a basic salary on which the amount of the economic increase is calculated as a percentage based on two different criteria: the first linked to the efficiency of the single plant, the second to the operating result of the company's financial statements.
Speaking ofEfficiency of the Plant the remuneration element is annual and is calculated on the basis of the results obtained in the various plants and the achievement of the set target. The bonus is calculated during the year and will be disbursed at the end of February of the following year, after the annual final balance of the results. (see photo)
As far as the related salary element is concerned to 2015-2018 profitability to achieve the 2015-2018 business plan objectives, the amount is divided into a fixed portion and a variable portion.
Each year a part will be paid (equal to 6% of the basic salary) with quarterly payments (April, July, October, January):
– I^ Tier (5th professional group): annual € 308,00, quarterly € 77,00;
– Level II (4th and 3rd professional group): annual €330,00, quarterly €82,50;
– Band III (2nd and 1st professional group): annual €405,00, quarterly €101,25.
Finally, speaking of the variable quota, an additional quota will be paid for the achievement of the objectives. (see photo)
The variable portion of the annual salary amounts to between 6 and 14%. The overall wage increase (fixed share plus variable share) will therefore be between 12 and 20%. The variable portion is paid by the end of March 2019, after finalization of the 2018 economic results.
