Ikea Group has handed its employees a share of a €200 million (£156.94 million) bonus in to their pension schemes after hitting pre-agreed global sales targets.
The €200 million bonus will paid via its loyalty programme, Tack!, which launched in December 2013 to reward employees who have worked with the home furnishing retailer for more than five years. More than 3,700 employees will receive an additional contribution to the retailer’s Retirement Income Scheme, which is part of a Legal and General master trust.
Eligible employees from Ikea Group’s 18 stores in the UK and Ireland will receive a lump sum payment of approximately £1,229 into their pension pot regardless of their department, position or salary.
Part-time staff will also receive an amount, dependent on their hours.
Employees who have worked at Ikea for a full financial year but have not reached five years’ service will have an individual allocation set aside for them to be paid once they have completed five consecutive years of employment.
In December 2013, the organisation paid out €100 million via its Tack! prgramme. It has allocaed a further €100 million for 2014.
In addition, all 7,900 employees will also receive a bonus of up to 10% of their annual salary, with a full-time employee being paid an extra £1,446, based on the best performing unit.
Gillian Drakeford, country manager of Ikea UK and Ireland, said: “With this programme, we want to show appreciation and gratitude for our employee’s loyalty and contribution to the success of Ikea.
“Everyone, no matter what position we hold at Ikea, is important for our continued growth.
“We also want to thank and reward our employees for what has been a fantastic year of growth here in the UK.
“This growth did not come by itself but through the contribution of every one of our employees working together towards our business goals.
“We believe that Tack! and the One Ikea Bonus, together with our base salary forms an extremely strong compensation offer for our employees, making Ikea an even more attractive place to work.”