Dyson compensates employees with onetime payment in absence of bonus

Dyson, a British company renowned for its innovative vacuum cleaners, hair dryers and other products, is reportedly offering a majority of the staff at its Singapore headquarters a one-time payment, in recognition of their exceptional contribution.

This one-time payment has been offered as a compensation for the missed performance bonus, which was the result of a significant impact on profits due to rising costs, despite an increase in sales in 2022. While the one-time payment is offered mainly to those employees facing challenges due to the increasing cost of living, the company has also declared that Dyson employees will receive a country-specific increment in the salary.

Global Chief Executive of Dyson, Roland Krueger, has commented that the company experienced a tough time in 2022. However, due to the teamwork and unity demonstrated by the employees, the firm was able to overcome the hurdles and strengthen its position.  Krueger also stated that persistent investment in technological innovation has allowed Dyson to emerge strong for the competition in 2023 as well as for future plans.

The revenue of the firm increased by 8.3% in 2022 to USD 7.7 billion due to a rise in demand for high-end vacuum cleaners and hair dryers. According to Dyson, this growth was despite unprecedented setbacks, including the chip and labor shortages, the Russia-Ukraine conflicts which led to the closure of one of the company’s branches in Russia and China’s extended COVID-19 lockdown.

The reasons for the growth in revenue included purchase of products directly from Dyson’s stores and website rather than third-party sources. The investments in R&D for new technologies in energy storage, software and connectivity, and haircare, among other fields, also resulted in a surplus of returns.

For the record, Dyson operates engineering and R&D work in Mexico, China, Malaysia and the Philippines. The family-owned firm has a 14,000-strong workforce worldwide, including a team of over 6,000 engineers.

Source Credit: https://www.straitstimes.com/business/dyson-makes-one-off-payment-to-90-of-staff-in-absence-of-performance-bonus-after-tough-2022