Finnish telecommunications equipment maker Nokia is to launch a probe into its connecting people bonus system, Finnish provincial daily Keskisuomalainen reported Wednesday.
Nokia workers expressed outrage last week upon learning that they would not receive bonuses even though the company reported record profits.
Arja Suominen, a Nokia spokeswoman, told Keskisuomalainen that the company would start a global debate on developing the bonus system.
All full-time Nokia employees are eligible for Nokia connecting people bonus, with the exception of senior executives, who benefit from equity incentives.
Source: NewsRoom Finland
First question obviously is why?
Second … just how large of a bonus is this and what do employees have to do to earn it?
UPDATE: More, a lot more, information over at the Helsingin Sanomat:
Nokia workers have expressed their disappointment in regard to what they feel is an unjust situation on the company’s intranet chat groups, where the company directors have also answered some of the questions.
Nokia President and CEO Olli-Pekka Kallasvuo explained the bonus criteria in a Friday video speech, which has since been available on the Nokia intranet.
The personnel representatives have already held talks with the management over the development of the Connecting People, bonus system, which is the most controversial. Nokia has promised to continue to discuss the development of the system world wide.
Shop steward Kivari is of the opinion that the present bonus discussion is a good example of the problems inherent to flexible wage systems.
"In our society in general, there is more and more talk about added flexibility, and a result-based rewarding system is just that. But the system has to work both ways. Good performance should be rewarded. Otherwise there is little hope that it will act as an incentive to improve productivity", Kivari concludes.