Alaska Airlines and Horizon Air employees received $100 million in bonuses Friday, with $62 million going to employees in the Puget Sound area.
About 16,000 Alaska Airlines and Horizon Air employees were paid a total of $100 million in bonuses Friday, with $62 million of that going to about 7,500 employees in the Puget Sound area.
For most employees, the bonus equates to more than 8 percent of their annual pay last year, or roughly an additional month’s pay. The average payout companywide is about $6,250 pretax.
In the Puget Sound region, where Alaska has its corporate headquarters and higher-paid managerial staff, the average bonus is higher, about $8,270 pretax.
The size of the bonus each year is based on meeting or exceeding specific companywide goals for safety, customer satisfaction, cost control and profit.
Most Read Business Stories
- Boeing overhauls quality controls: more high-tech tracking but fewer inspectors
- The nicest Sears you've ever seen isn't owned by Sears
- Why investors should pay attention to Amazon CEO Jeff Bezos’ divorce
- Alaska Airlines flight diversion leads to a 30-hour nightmare for passengers WATCH
- Facing populist assault, global elites regroup in Davos
On Wednesday, parent company Alaska Air Group announced a net profit of $814 million for 2016.
“It is our incredibly hardworking employees who truly make our airline the best in the industry, and we’re thrilled to be able to say thank you with a bonus for outstanding performance,” said Alaska Airlines CEO Brad Tilden.
In addition to the payout in Washington state, 2,450 employees in the Portland area will get a total of $14 million; 2,100 employees in Alaska will get a total of $9 million; and 1,800 employees in California will get a total of $9 million.
Another 2,000 or so employees are scattered throughout the airline’s route network, with just a handful in many less frequently served cities.
The payout is slightly up from last year, when Alaska Air employees got bonuses totaling $98 million, with $56 million of that in the Puget Sound area.
Alaska Air Group’s workforce swelled by nearly 3,000 when the acquisition of Virgin America closed in mid-December. Those employees have their own 2016 bonus plan, inherited from Virgin America, that will pay out later this month. Details of their bonuses are not yet available.