Tuesday, April 13, 2010

No Bonus, No Increment & No Promotion

Recently, our management team (HQ) announced that there will be NO bonus, increment or promotions for financial year ending 2009, until further notice. The main reason is our company's direction for this financial year is profit making. The other meaning is company currently don't have enough money for bonus, increment and promotions. From the way the company spent money for the past 2 years, no wonder there is not enough money for bonus, increment and promotions.
I am disappointed. I am not happy with the way they spent the money for the past 2 years. Maybe because the previous company that I work with is very concern on cost savings and very cautious on spending the money. But, when come to bonus, increment and promotions, my previous company is quite generous (even though I hope they can be more generous).
I can see other colleagues also demotivated to work. Last year was a year where me and other colleagues at our branch working really hard to hit the given target. At the end of last year, we managed to hit the target which we thought was impossible to hit. That's why we all are very disappointed and demotivated when we knew that there will be no bonus, increment and promotions for 2009.
It's not fair. At our branch level, we practised cost savings and try our very best to control the expenses. Furthermore, we hit the impossible target. But, there's no bonus, increment or promotions for us.
I am wondering how about the rest of organizations in Malaysia. Do you receive any bonus, increment or promotions? Mind to share with me?

14 comments:

  1. Hi Yan,

    If your company is listed in stock market, probably you can find out it's economic health from the annual report. A lot of company has flat (some negative) earning growth since end of 2008. In order to make the net profit column more attractive to investors, one thing they can do is keep the current level of expenses, which is not increasing any salary. Then by slash off bonus, it is possible for the company to instead display a positive net profit growth from 2008-2009, if the bonus is amounted significantly against total income. It is also possible to find out how much compensation your top management (CEO and directors) is getting by comparing this and last year annual report, probably you can find out they re still receiving large bonuses. Some ceo of the company getting fat bonus, the amount can pay off 10-20 ppl's bonus and the company suffers.

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  2. Hi Zen, great to see you here :) Has been quite some time :)

    Hmm...after reading your comment, the first thing appeared in my mind is to get my company financial report. For 2008, there are top management who didnt get bonus as well. What I can say is the management team is not planing well (financially). So 'sayang'..wasted.. i see the way they spent $$$ in 2008 and 2009.

    Thanks for your comment :)

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  3. How did they waste money oh?? Really demotivated lor if something like this happened. I think it is industry wide, as the economy dont really recover well enough. T.T

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  4. Hi Kris, they spent the money unnecessarily (create multiple souvenir for customer, high class functions for customer (several times a year), expensive training session (but no result), outsource simple and easy work to outsiders but with very expensive invoices. And no control over the day to day operation expenses. There are some more... Maybe they need to build rapport with customer and provide a good image but there are always other less expensive and effective ways.. At least this is how I think.. hehehe... I complained so many.. hmmm.. also feel like the 2008/2009 US economic issue, now Malaysia feel the impact..

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  5. I worked in a GLC and we did received bonuses, increment + gain share. I also heard from a friend who worked in a GOC saying that there is no bonus for end of 2009. By the way, is it possible for all employee to get the company's financial report? Or it's only applicable for certain designation?

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  6. Hi SilentB, that's great that you've received bonuses, increment and shares some more ;p I know friends who received bonuses and increments from their companies. for the company financial statement, i found my company annual report up to 2008 but 2009 not yet. i found it from our company website. i can't find financial report... somehow, i believe we can get a company financial statement... :)i am still searching too..

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  7. What industry is your company in? If it is in a price competitive industry, I will not surprise this result. Better seek for another career.

    Just my 2 cents.^^

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  8. only listed companies will make the financial report public. For private company, maybe can obtain from www.ssm.com.my. Each financial report is RM15.

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  9. LSC, it's technology related industry. hehehe..another career.. my plan B and c :p

    Zen, Yes, mine is a public listed. tried to search for 2009 report but can't find it from company portal...

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  10. I am sad to hear that some of you didn't receive your bonus after working so hard for a year.

    In our company, a fixed % of company profit is allocated for staff bonus. As long as the company is making profit, the staff is certain to receive bonus. In this case, the staff don't have to be anxious if they are going to receive the bonus. If we all work hard to make the company profitable, everyone will have the chance to share the profit.

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  11. Hi Yap Ming Hui, it's an honour to see your comment here. I have read many of your books and also your articles on NST online. They are providing me with great financial guidance. Thank you :)

    Yes, it's really sad for no bonus and increment for 2009. Since early this month, my colleagues and me had very low motivation compare to last year. I admire the way you manage your company. I believe staff/human force is one of the most important factor for the success of an organization. And one of the way to keep employee happy is by rewarding them financially...

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  12. The honour is mine too. I can see that you have done a great job too in sharing your knowledge and experience at your blog.

    Don't be discouraged by a short term set back. Always invest into yourself to make sure that you can grab an opportunity when it arises.

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  13. My company freezed increment last year like most of the companies do. Got increment this year but not much. Better than nothing...

    Funny thing is my blog income increment is way better than company. I can perform, why my company cannot? ^_^

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  14. Yap Ming Hui - Thank you and I wish to share and learn more as well. Exactly, 'Invest in Ourselves'. Hope to see more of your articles, books and posting on facebook.

    Jayce - That's great that you still received your increment. Really envy your blog income... Had a glance at your technology blog - Interesting! Keep posting...

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