A company with 60,000 employees revealed this year's Tet bonus, the spending amount is in the thousands of billions.

Mobile World - a retail company with more than 60,000 employees decided to pay out Tet bonuses several times higher than the same period last year.

With better business results, Mobile World "generously" allocates year-end bonuses for employees - Photo: MWG

The explanatory notes to the consolidated financial statements for the third quarter of 2024 recently announced by Mobile World Investment Corporation (MWG) recorded a provision for employee bonus expenses of nearly VND 1,700 billion at the end of September this year.

This figure is 2.5 times higher than the 671 billion VND at the same time last year.

At the recent meeting to update MWG’s Q3 business situation, an investor asked the company’s management about the above-mentioned sudden increase in employee bonuses. In response, Mr. Vu Dang Linh - MWG’s CFO - explained that this was an advance payment to reward employees.

According to Mr. Linh, many businesses often pay out bonus funds quarterly, but with MWG, this amount is divided annually and will be paid at the end of the year.

"In 2023, business results were not favorable, so the company only awarded one month's salary to employees, which is the lowest level in the past 15 years," Mr. Linh replied to shareholders. But in 2024, business results were more positive, so the board of directors wanted to increase the employee bonus fund to encourage morale and take care of employees' lives.

"This is something that needs to be done and should be done so that the company can develop sustainably in the long term," the financial director of Mobile World emphasized, saying that looking at the absolute number of provisions in the financial report, it will be seen as very large. However, for a company with 50,000 - 60,000 employees like Mobile World, the amount of money spent on each employee is not much.

According to the financial report, at the end of September this year, MWG had a total of 60,258 employees, a decrease of nearly 5,200 people compared to the end of last year.

Thus, with a provision of nearly VND1,700 billion, it is estimated that MWG will pay a bonus to employees for Tet at more than VND28 million per person. Last year, the average bonus of Mobile World for employees was quite low, about more than VND10 million per person.

The expected bonus this year of Mobile World is higher, in addition to the reason of positive business results, partly due to the restructuring of this enterprise's personnel.

Since the beginning of the year, the company has laid off more than 5,000 people, with the largest number of layoffs occurring in the first quarter. After that, it slowed down. In the fourth quarter, store closures decreased, and the number of employees subject to layoffs was no longer large.

What did the Chairman of Mobile World say about selling shares?

Also at the investor meeting, Mr. Nguyen Duc Tai - Chairman of MWG Board of Directors - mentioned the recent transaction of selling a total of 2 million MWG shares.

The Chairman of MWG reassured investors not to worry about this issue, as the sale of shares was for personal purposes. At the same time, the number of 2 million shares is "nothing" compared to the amount of more than 200 million MWG shares held by Mr. Tai.

"The fact that I sold 2 million shares may be a lot for some people. However, if calculated based on the total number of shares owned, this number is nothing," Mr. Tai emphasized.

Source: https://tuoitre.vn/mot-doanh-nghiep-60-000-nhan-vien-he-lo-thuong-tet-nam-nay-muc-chi-ca-nghin-ti-2024111315082219.htm