El Al pilots, executives raking in huge bonuses
El Al Israel Airlines could not have dreamed of better compensation for the damage caused by the Covid pandemic, which almost led to its collapse, than the consequences of the war, which have resulted in record profits over the past year, and boosted the company's market cap to NIS 3.4b. The long list of those benefiting from the turnaround in El Al's business performance includes the company's shareholders, led by controlling owner Kenny Rozenberg, its senior executives, and, as it turns out, the company's pilots too. An examination by "Globes" found that if the company's profit rate is maintained in the second half of 2024, and all the signs are that this will be the case, then El Al's pilots will receive bonuses worth a total of NIS 130m ($35m). This is in accordance with a clause in the collective wage agreement signed in 2018, when nobody imagined the airline earning so much money in one year. At the end of 2023, El Al employed 555 pilots, so each of them is expected to receive an average bonus of nearly NIS 250,000 ($67,500). Under the 2018 agreement, if El Al's annual pre-tax profit exceeds $100m, the pilots will receive 6% of that year's profits. El Al has already earned almost $300m before tax in the first half of 2024. Market estimates are that the third quarter will be even better than the previous two record quarters, the only question is by how much.<br/>
https://portal.staralliance.com/cms/news/hot-topics/2024-11-01/unaligned/el-al-pilots-executives-raking-in-huge-bonuses
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El Al pilots, executives raking in huge bonuses
El Al Israel Airlines could not have dreamed of better compensation for the damage caused by the Covid pandemic, which almost led to its collapse, than the consequences of the war, which have resulted in record profits over the past year, and boosted the company's market cap to NIS 3.4b. The long list of those benefiting from the turnaround in El Al's business performance includes the company's shareholders, led by controlling owner Kenny Rozenberg, its senior executives, and, as it turns out, the company's pilots too. An examination by "Globes" found that if the company's profit rate is maintained in the second half of 2024, and all the signs are that this will be the case, then El Al's pilots will receive bonuses worth a total of NIS 130m ($35m). This is in accordance with a clause in the collective wage agreement signed in 2018, when nobody imagined the airline earning so much money in one year. At the end of 2023, El Al employed 555 pilots, so each of them is expected to receive an average bonus of nearly NIS 250,000 ($67,500). Under the 2018 agreement, if El Al's annual pre-tax profit exceeds $100m, the pilots will receive 6% of that year's profits. El Al has already earned almost $300m before tax in the first half of 2024. Market estimates are that the third quarter will be even better than the previous two record quarters, the only question is by how much.<br/>
