In this March 23, 2020, file photo, workers head out a gate at a Boeing airplane manufacturing plant, where a mural of a jet covers a massive door behind in Renton, Wash. Boeing Co. has said it will dole out annual performance bonuses next month to most employees despite losing $12 billion over the last year during the coronavirus pandemic. Most of the company's employees did not receive annual bonuses last year after it lost $636 million in 2019 because of the grounding of the 737 MAX by the Federal Aviation Administration, The Seattle Times reported. (AP Photo/Elaine Thompson, File)
Boeing Co. has said it will dole out annual performance bonuses next month to most employees despite losing $12 billion over the last year during the coronavirus pandemic.
Most of the company's employees did not receive annual bonuses last year after it lost $636 million in 2019 because of the grounding of the 737 MAX by the Federal Aviation Administration, The Seattle Times reported.
In response, the company in February changed the structure of its incentive plan, tying its financial goals to the timing of the first delivery of a 737 MAX after its ungrounding. The company's bonuses were previously paid out based on profits.
Boeing CEO Dave Calhoun told employees on Thursday that the company's board of directors “recognizes the important strides the team has made.”
The 737 MAX was ungrounded in mid-November and the company delivered the first one on Dec. 8, ensuring there would be a bonus under the new incentive plan.
The bonuses are expected to be distributed next month and will vary depending on the department.
Employees also receive personalized performance scores from their managers, which adjust the payout.
For example, a commercial airplanes employee with a high performance score of 6%, will receive a 2020 annual bonus equal to 58% of 6%, or 3.5% of gross annual salary.
Executive Vice President of Human Resources Mike D’Ambrose told employees that despite the challenging year, the “team demonstrated resilience.”
The company declined comment on how incentives at the management level are structured.
Separate figures made public on Monday show that the company shrank last year, overall and in Washington state.
The company's operations in Washington state were hit hardest because its commercial airplanes unit suffered the biggest financial hit from the MAX grounding and the huge reduction in air travel due to the pandemic.
Boeing said it shed 14,000 company jobs in Washington state, leaving the company with 56,908 jobs in the state.
Overall, the company cut about 20,000 jobs, dropping total employment to 141,014 positions, company officials said.
A big-screen adaptation of the anime “Chainsaw Man” has topped the North American box office, beating a Springsteen biopic and “Black Phone 2.” The movie earned $17.25 million in the U.S. and Canada this weekend. “Black Phone 2” fell to second place with $13 million. Two new releases, the rom-com “Regretting You” and “Springsteen — Deliver Me From Nowhere,” earned $12.85 million and $9.1 million, respectively. “Chainsaw Man – The Movie: Reze Arc” is based on the manga series about a demon hunter. It's another win for Sony-owned Crunchyroll, which also released a “Demon Slayer” film last month that debuted to a record $70 million.
The Federal Aviation Administration says flights departing for Los Angeles International Airport were halted briefly due to a staffing shortage at a Southern California air traffic facility. The FAA issued a temporary ground stop at one of the world’s busiest airports on Sunday morning soon after U.S. Transportation Secretary Sean Duffy predicted that travelers would see more flights delayed as the nation’s air traffic controllers work without pay during the federal government shutdown. The hold on planes taking off for LAX lasted an hour and 45 minutes and didn't appear to cause continued problems. The FAA said staffing shortages also delayed planes headed to Washington, Chicago and Newark, New Jersey on Sunday.
Boeing workers at three Midwest plants where military aircraft and weapons are developed have voted to reject the company’s latest contract offer and to continue a strike that started almost three months ago. The strike by about 3,200 machinists at the plants in the Missouri cities of St. Louis and St. Charles, and in Mascoutah, Illinois, is smaller in scale than a walkout last year by 33,000 Boeing workers who assemble commercial jetliners. The president of the International Association of Machinists says Sunday's outcome shows Boeing hasn't adequately addressed wages and retirement benefits. Boeing says Sunday's vote was close with 51% of union members opposing the revised offer.
The stunning indictment that led to the arrest of more than 30 people — including Miami Heat guard Terry Rozier and other NBA figures — has drawn new scrutiny of the booming business of sports betting in the U.S. The multibillion-dollar industry has made it easy for sports fans — and even some players — to wager on everything from the outcome of games to that of a single play with just a few taps of a cellphone. But regulating the rapidly-growing industry has proven to be a challenge. Professional sports leagues’ own role in promoting gambling has also raised eyebrows.
Tesla, the car company run by Elon Musk, reported Wednesday that it sold more vehicles in the past three months after boycotts hit hard earlier this year, but profits still fell sharply. Third-quarter earnings fell to $1.4 billion, from $2.2 billion a year earlier. Excluding charges, per share profit of 50 cents came in below analysts' estimate. Tesla shares fell 3.5% in after-hours trading. Musk said the company's robotaxi service, which is available in Austin, Texas, and San Francisco, will roll out to as many as 10 other metro areas by the end of the year.
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