Delta Pays Out 1.1 Billion Dollars in Profit Sharing to All Its Employees

Delta Pays Out 1.1 Billion Dollars in Profit Sharing to All Its Employees

Delta Airlines has come with a new incentive. It is all set to pay all its employees and staff members a handsome sum of money, which is worth 1.1 billion dollars. This money is being awarded to all employees and staff members as a means of sharing profit that the airlines earned. This money is inclusive of 392 million dollars and more, which is being given to its employees and staff members that operate from the metro city of Atlanta.

The company however revealed that this year the payout given to the staff members and employees was less as compared to the previous year. The company stated that during the last year the company awarded a sum of 1.5 billion dollars to all the staff members and employees that included an amount of 541 million dollars.

Delta Airlines also stated that despite the less amount of payout in the current year, it has brought about a great impact on the economy of the metro city of Atlanta – not only Atlanta, but in all other cities too where the airline operates in larger hubs.

Reports tell that the airline has witnessed a decrease in its revenue. In the year 2015, it generated a profit that was worth 4.5 billion dollars, but in the year 2016, it generated a profit of 4.4 billion. The company has also said that it is facing a few hurdles and pressures owing to the facts that the cost of fuels is hiking, pay that is given to the employees, and increasing number of pilots.

Delta Airlines has its base in Atlanta and houses approximately 32,000 employees in this metro city. An economist from the Georgia University, Jeff Humphreys has performed a few calculations. According to him, the impact of this profit sharing on the staff members and employees is approximately 957 million dollars. All this revenue is inclusive of the profit made by different businesses like restaurants and retailers that make more money because of the hike in the expenditure by the employees of Delta Airline and the same money is being re-used in the city again.

Humphreys also revealed that this sharing of profit by Delta has supported as many as 4000 jobs that are outside the company. From the last 5 years, Delta Airlines has paid about 5 billion dollars in terms of sharing the profit.

In addition to this, the employees and staff members of Delta Airlines are getting a rise of 6 percent in their base salary, which is going to begin from the month of April this year.

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