Work in a restaurant in the UK in a salaried management position that also comes with quarterly performance related bonuses. From April 1st the national minimum wage is going up to £10.42 an hour so the company is looking at a wage increase for everyone across the board. We have been waiting for a month for news of our pay rises. On Friday 31st March we got the word.
The news seems great at first, until they also tell us that they’re changing the bonus system. Some people are not able to hit their targets and are not getting their bonuses, so the bonuses are being cut by 50%. The 50% that has been removed is now being added to our monthly salary.
The company has framed this as ensuring we get more guaranteed cash in our pockets. However, my restaurant consistently performs well and hits targets. So the way I see it that 50% bonus money is now a part of my salary. If I factor that in then the 7% rise the company has offered me is only really around 2.5%.
All of the senior staff are in similar positions. Offered a seemingly decent raise that falls apart the moment we factor in the 50% they are removing from the bonuses. For those who can’t hit their bonus targets for whatever reason it is great news. For us it feels like we are being punished for working hard and performing well, effectively being made to pay for our own pay rises.