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UA employees shocked: (qtrly performance) Bonuses replaced with lottery (on "pause")

UA employees shocked: (qtrly performance) Bonuses replaced with lottery (on "pause")

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Old Mar 5, 18, 5:08 am   -   Wikipost
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Update 5 March 2018 per Chicago Tribune (and confirmed by internal employee memo
United walks back new bonus lottery system that angered employees
United Airlines on Monday reversed plans to begin awarding bonuses through a lottery system that angered employees.

Scott Kirby, president of the Chicago-based airline, said United was “pressing the pause button” on changes that would have handed out larger bonuses to only a fraction of its workers after hearing employees’ feedback since announcing the changes late last week.

Per Chicago Business Journal, 2 March 2018
​​​​​​​United Airlines employees shocked: Bonuses replaced with lottery

United Airlines President Scott Kirby sent shock waves through the employee ranks at the Chicago-based airline today.

Kirby issued an employee memo in which he announced that the Chicago-based airline is dropping the quarterly performance bonuses the carrier had been giving out to all employees qualified to receive them.

Kirby said in the memo, obtained by the Chicago Business Journal, that the bonus payouts are being replaced with a new program called "core4 Score Rewards," which Kirby said would include quarterly prizes like cash ranging from $2,000 to $40,000, luxury cars, vacation packages, and a grand of prize of $100,000 awarded to one eligible employee per quarter.
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Old Mar 2, 18, 4:07 pm
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UA employees shocked: (qtrly performance) Bonuses replaced with lottery (on "pause")

Per Chicago Business Journal

​​​​​​​https://www.bizjournals.com/chicago/...h-lottery.html

United Airlines President Scott Kirby sent shock waves through the employee ranks at the Chicago-based airline today.

Kirby issued an employee memo in which he announced that the Chicago-based airline is dropping the quarterly performance bonuses the carrier had been giving out to all employees qualified to receive them.

Kirby said in the memo, obtained by the Chicago Business Journal, that the bonus payouts are being replaced with a new program called "core4 Score Rewards," which Kirby said would include quarterly prizes like cash ranging from $2,000 to $40,000, luxury cars, vacation packages, and a grand of prize of $100,000 awarded to one eligible employee per quarter.

Last edited by WineCountryUA; Mar 2, 18 at 8:38 pm Reason: Posts containing exyernal links should contain enough information so as to be contributive to FlyerTalk itself.
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Old Mar 2, 18, 4:10 pm
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Originally Posted by travelexpert View Post
Aren;t you supposed to summarize the article?

Regardless, I'm locked out and can't read it - that site has a view limit.
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Old Mar 2, 18, 4:20 pm
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I had to double-check the calendar to make sure it's not April 1.
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Old Mar 2, 18, 4:32 pm
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Sounds like Kirby has been inspired by David Mamet. Perhaps he was watching the scene on new company incentives from Glengarry Glen Ross when the new bonus scheme came to mind? See:

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Old Mar 2, 18, 4:35 pm
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Kirby issued an employee memo in which he announced that the Chicago-based airline is dropping the quarterly performance bonuses the carrier had been giving out to all employees qualified to receive them.

Kirby said in the memo, obtained by the Chicago Business Journal, that the bonus payouts are being replaced with a new program called "core4 Score Rewards," which Kirby said would include quarterly prizes like cash ranging from $2,000 to $40,000, luxury cars, vacation packages, and a grand of prize of $100,000 awarded to one eligible employee per quarter.

Kirby went on to say that each quarter that United reaches at least one of the performance goals outlined in the memo, there will be a drawing for the prizes listed in the memo.
Seems like the good idea fairy paid a visit to the Willis Tower. Replacing bonuses with a chance to win a bonus (when eligible) is an odd motivational tool.
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Old Mar 2, 18, 4:44 pm
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hes using the same motivation from customers by adding 50 more RJ jets to the fleet.
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Old Mar 2, 18, 4:45 pm
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Stupid idea. Who even thought this would go over well?
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Old Mar 2, 18, 4:46 pm
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This is about the worst idea United could have come up with. I hope the employees strike over this - I'd certainly support them.

Originally Posted by HNLbasedFlyer View Post
I'm locked out and can't read it - that site has a view limit.
Use Incognito mode in your browser.
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Old Mar 2, 18, 4:50 pm
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It appears Scott Kirby hates customers and employees.
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Old Mar 2, 18, 4:55 pm
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Does anyone know what the performance metrics are?
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Old Mar 2, 18, 4:57 pm
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Originally Posted by ContinentalFan View Post
Does anyone know what the performance metrics are?
Some irrelevant numbers that are 100% driven by Kirby's bonus. He cares about nothing else.
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Old Mar 2, 18, 4:58 pm
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I'm actually offended by this.
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Old Mar 2, 18, 5:01 pm
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I bet they announce the metric after the qtr is over too
Some ideas to help him out:
1st qtr. Metric... new polaris lounge opened. Fresh fruit out DEN. Sorry employees... No lottery for you!
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Old Mar 2, 18, 5:01 pm
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Originally Posted by ContinentalFan View Post
Does anyone know what the performance metrics are?
d:00, mishandled baggage, completion %

The article is correct. Frontline employees are pissed. Thanks for uniting us across all workgroups on one side of an issue, Kirby.

As for the striking suggestion, most workgroups just signed a new contract so it’s probably off the table for most groups.
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Old Mar 2, 18, 5:03 pm
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What an idiotic idea. The expression "a bird in the hand is worth two in the bush" (or in this case a luxury car in the bush?) has been backed up with reams of research. People are generally risk averse, so when you offer them $1 for certain vs a 50% chance for $2, they will choose the $1. Many times they will choose the $1 over a 50% chance for $3, even thought the expected value is higher. In order to make this program even slightly preferable to employees, he would have to massively increase the amount of cash being distributed overall. Not to mention that there's no mention of if they're providing tax offsets for the non-cash prizes...I personally would hate winning a luxury car
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