Long-term incentive plan for Finnair personnel and management aims at rewarding personnel for the rebuilding of the company

The rebuild of Finnair will take years, and it requires hard work and dedication. Securing the company’s future demands a long-term contribution from all Finnair employees.

Release time : 2020-10-14 10:32:49

source : Travel Daily News

Finnair is in the middle of the largest crisis in aviation’s history and is facing a challenging financial situation due to the impacts of the COVID-19 pandemic. To emerge from the crisis the airline has launched a comprehensive adjustment and cost-savings programme. The programme includes, among many other actions, jointly agreed decreases in personnel costs for several personnel groups. Top management remuneration does not include variable salary elements from 2020-2022.

The rebuild of Finnair will take years, and it requires hard work and dedication. Securing the company’s future demands a long-term contribution from all Finnair employees.

Finnair has prepared a long-term incentive programme for those personnel groups with whom it reaches agreements on permanent cost savings that support Finnair's recovery. Finnair has now launched this incentive programme, which starts during this year and ends in the third quarter of 2023.

“Finnair is facing an extremely difficult situation due to the COVID-19 pandemic. The company must make painful decisions to emerge from the ongoing crisis which is reshaping our industry. Getting through this phase requires renewal so that Finnair can be competitive in the years to come,” says Jouko Karvinen, Chairman of the Board, Finnair. “Finnair has launched an incentive programme for personnel and management, aiming at in due course rewarding the Finnair team for their contributions to Finnair’s future. The targets and key performance indicators we have set for the programme are ambitious and in line with the company’s best interests. They are also aligned with the interests of the company’s shareholders.”

The programme for personnel will result in an incentive being paid to participating groups if Finnair succeeds in rebuilding its business over the coming three years in line with the set performance indicators and targets. At maximum the incentive pay-out can amount to