Scandinavian cell phone maker Nokia recently reported record-breaking fourth quarter results. The company is making money hand over fist (approaching $6 billion in 2006). Senior management is predictably getting big bonuses this year. However, employees are not getting the same bonuses and Nokia is not paying out a special “Connecting People” bonus despite the good results.

The Helsinki Sanomat reports “…a further cause of annoyance is the fact that the missed targets also translate to cuts in the bonus systems paid by individual business groups. Such bonuses are based on the net sales, business profit, and cash flow, among others. Nearly all of Nokia's 68,000 workers belong to the scope of bonus systems as well other than the Connecting People plan.” (See Nokia personnel fume over bonus cuts).

"Nokia workers have expressed their disappointment in regard to what they feel is an unjust situation on the company's intranet chat groups, where the company directors have also answered some of the questions.

Nokia President and CEO Olli-Pekka Kallasvuo explained the bonus criteria in a Friday video speech, which has since been available on the Nokia intranet.

 

The personnel representatives have already held talks with the management over the development of the Connecting People, bonus system, which is the most controversial. Nokia has promised to continue to discuss the development of the system world wide."