Boeing has made a significant change in the way it awards employee bonuses. The company has shifted its focus to safety and quality metrics, after facing a series of controversies in recent times. Previously, financial performance dominated bonus calculations, accounting for 75% of the total award. The remaining 25% was linked to operational objectives, including safety and quality.
However, from now on, 60% of annual bonuses in Boeing’s commercial airplane unit will be tied to safety and quality metrics. The new system comes into effect immediately, with this year’s bonuses focusing solely on safety and quality metrics. These metrics will include factors such as employee safety, reworked tasks, completed work required for delivery of existing airplanes, and overall adherence to quality standards.
In a webcast to employees, Boeing COO Stephanie Pope emphasized the importance of aligning incentives with the company’s core values. “It’s very, very important to drive the outcomes that we’re all committed to, and that’s to deliver a safe and quality product to our customer,” she said.
This announcement is a clear indication that Boeing is prioritizing safety and trying to regain public trust after a series of incidents that raised concerns about the company’s manufacturing and quality control processes. By directly linking employee compensation to safety performance, Boeing hopes to incentivize a cultural shift that prioritizes the well-being of passengers and the integrity of its aircraft.
