Since Cummins is supposedly circling the proverbial bowel. What are the chances of no payout this March?
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That is correct if you have an 8% salary factor , salary factor varies by salary grade.
For engineers, a payout factor of 0.9 will result in a profit sharing of 0.9 x .08 x base salary and will be paid March 15th to everyone employed during 2019 including those who were just RIF'd... for those not employed for all of 2019 I believe your profit sharing will be prorated
You are correct, I'm far from a CMI employee. I ask the questions to gather a better understanding around the situation...no more, or less. I'm just trying to understand before I form an opinion. Thanks and if this is has crossed any lines, than please disregard.
This comment asking about "small" vs normal and what frequency does not appear to be from an actual Cummins employee. If you do work for Cummins please contact your line HR. This is a clearly defined benefit as to how and when it is award and other calculations. The payout factor was announced internally yesterday pending filing of the 10-K. So if you work for Cummins its concerning you don't know this information. My concern is that this is a non employee here for information or a spouse, if that's the case talk to your partner.
Honest question, someone please help me understand. When you say the variable comp payout will be small...what does that mean exactly? Like $100 or so, maybe $20, possibly $300...help my understand what "small" is compared to what "normal" might look like. And, what is the frequency of payout - is it monthly, quarterly or annually?
Thanks in advance
It was 1.4 lol, I think since q3 was a record quarter in 10 years. q4 was slim. but q1 and q2 in 2019 were normal so we should be above 1 this year, We will get something
Depends what Q4 turns out as, EBITDA gets released Feb 4th. Previous 2019 Qs had it at 1.2 factor I believe.
Yea we will get Variable compensation, it will be small though.
2015 we had same number of cuts and still got variable comp. It was small but still something.
It’s not a bonus it’s Variable Compensation, they have to mathematically prove they underperformed. They payout for 2008 was .63 in Corp before they changed the structure to overall measurement of the entire company. There will be a var comp payout they accrue for it, it just may be small.
It depends on who you are. Rest assured, Linebarger and senior staff (CLT) will all receive bonuses. I do know that back in 2008 or 2009, not only were bonuses not paid but, across the company pay cuts (10% I think) for the peons were made. Of course, I'm sure Linebarger and other CLT members still made their bonus.