A ray of light in these dark times as employee-owned firm announces huge staff bonus
As Britain continues to endure the Cameron-Clegg-Coalition nightmare, it seems moments of joy are few and far between. That is why we must make the most of every one that comes along.
Today we had a cracker – on the day that David Cameron announced the continuation of his repressive anti-growth policies, no less.
The John Lewis Partnership, which includes the Waitrose group of supermarkets, has announced a 17 per cent bonus for every single member of staff, after reporting a rise in profits.
That is equivalent to nine weeks’ extra salary, and is an increase from the 14 per cent paid out last year.
The firm is one of the few in the UK that is actually owned by its employees. The success proves something that this blog’s author has been saying for many years – that the best possibly business model is on in which everybody working at a firm is a shareholder in it. If everybody has a stake, everybody takes some of the profit.
No less than 84,700 people will receive this bonus. They will take that money and spend it in their local communities, on things that they need. That money will then go on to keep other businesses alive, and it is to be hoped that the fiscal multiplier process means it could create more wealth, helping the UK economy.
That is worth much, much more than the empty words David Cameron was throwing out during his speech earlier today – a speech on which this blog has already poured its disdain.
And let’s bear in mind that the amount these partners are getting is a much more honest figure than the bankers’ bonuses, for which Mr Cameron and his part-time Chancellor, Mr 0sborne, have been fighting so vigorously. The John Lewis staff actually deserve the money they are getting because it is based on the profits they have generated. The bankers’ bonus is based on nothing more than what they want.
If the UK is going to climb out of the current depression, it needs a few more companies like John Lewis – and a lot fewer politicians like David Cameron.
Cameron talked today of there being ‘NO Money Tree’ to solve the UK’s crisis..Well ‘scuse me ‘Call-Me-Dave…..You should have gone to Specsavers’ Cos even shortsighted as I am..I can see a money tree clearly…the £70bn of tax evasion and avoidance…shake that tree and see how many juicy apples fall….and also not forgetting the Squillions held by The Queen and The Crown..heck they could pay off the National debt and still have planty left for Loster Lunches with best Champagne!
the staff working for John Lewis Partnership work hard and put there all into it as they know it will benefit them and that’s how it should be. M&S get a bonus BUT only if they do well with the mystery shopper the same with Sainsbury’s and both company’s want there pound of flesh, I know sometimes the staff at these shops have not got the bonus but the shareholder have, and they failed on thing’s like not smiling or litter in the car park. so all I can say is well done to the John Lewis staff.
Then you could work for a Tory owner as I did in the 70s and 80s in the motor trade.I started there as an apprentice mechanic in 1971, I was told we make bonus on our time rates, you have 3 hours to do a full service that is what the customer is charged regardless. I could do a full service in half that time. On some jobs I could make 2 thirds. Mainly for every 8 hour day I worked he was paid for 16 hours, plus on good days. A time served mechanic was charged out at that time, at £7 per hour. My time was charged at time served at the age of 15 plus. My weekly take home pay was £3.50, my first full weeks wage was £1.93. I had worked on my fathers removal vans during the school holidays, I made spending money doing house removals with him. The business was known as blah blah and son, We argued when I left school and he told me to go and find a job, I did. I made my money doing foreigners while I worked for the Tory ( I had too ) I made a lot of friends while there who I still see today, I enjoyed my time there. In all the years I worked there I received 1 bonus. That Tory twat was a thief, a Mason, a tax evader, He thought that every morning when I walked into work I should have tugged my forelock and praised him for giving me the opportunity of working for him.His accountant who fiddled his books every week, was also a Tory, a councilor no less, even mayor at one time. Times have not changed they have got a lot worse. It won’t be long before the death camps are back in fashion. The Nazis A WARNING From History..
A bit of good news for once. We need more employee ownership,workers on
boards and more co-operatives.
The “bonus” paid by JLP is different in spirit to common form that has had such a corrosive influence on society in general. The FT reports:
“Each year’s bonus for partners is decided by the John Lewis Partnership’s board, based on the surplus after investment is subtracted from the final profit for the year. This is then calculated as a percentage of total salaries, and paid to all partners as a uniform percentage.”.
There is no pitting one person or department in competition with another for individual gain that leads to cutting corners, shoddy service and outright fraud as we have seen with all the mis-selling scandals.
What’s wrong with doing a good job because its pleasing in itself to do so – giving and not taking without scruples?
I was recently reading a biography of Ernest Bader (“The Man Who Gave His Company Away”) to the workers in the early 1950’s which became the “Scott Bader Commonwealth”
His commonwealth I think was heavily influenced by a passage in the NT:
“All the believers were one in heart and mind. No one claimed that any of his possessions was his own, but they shared everything they had.
It’s now a £180 million pound business owned by the workers.
http://www.scottbader.com/latest-news/353-scott-bader-celebrates-60th-commonwealth-anniversary.html