2-6-2023 (TAIPEI) Taiwanese shipping companies are surprising their employees with substantial mid-year bonuses, defying the global cargo slump and reaping the benefits of earlier pandemic gains. Yang Ming Marine Transport, one of the leading shipping firms, has approved a bonus of NT$2.3 billion (S$101 million) for its workers, equivalent to up to 30 months’ salary, according to a report by the Economic Daily News on Thursday.
In addition to this mid-year bonus, employees will also receive a year-end bonus worth 12 months’ salary, paid at the beginning of 2023. Yang Ming stated in an email to Bloomberg that company regulations require the distribution of 1 percent of the previous year’s profit to employees as compensation. However, the exact amount given to each staff member is determined at the company’s discretion.
Similarly, Evergreen Marine, another prominent shipping company, has approved a bonus of NT$1.9 billion for its 3,100 workers, which equates to approximately 12 months’ pay. The bonus was approved at a shareholders’ meeting on Tuesday, as reported by the Economic Daily News.
These recent bonuses are in addition to the significant rewards given in January, when both companies distributed bonuses equivalent to around 50 months’ worth of salary. The bonuses were granted following record profits reported by the maritime giants. Yang Ming achieved a record profit of NT$334.2 billion in 2022.
Shipping firms have experienced a prosperous period over the past two years due to a surge in demand for consumer goods and increased freight rates during the Covid-19 pandemic. However, the current economic uncertainty has led to a decline in global shipping, dampening the industry’s growth.
Analyst estimates project a 94 percent decline in Evergreen’s net income in 2023, reaching NT$18.6 billion. Similarly, Yang Ming is expected to experience a 99 percent drop in profit, amounting to NT$2.2 billion.
Despite the challenges facing the shipping industry, these Taiwanese companies are demonstrating their commitment to their employees by sharing their success and distributing substantial bonuses, providing a much-needed financial boost during uncertain times.
