Vice President Communication
Väderstad is choosing to pay out the profit share from its record year in 2019 in extra leave. This is one way to finance this summer’s extended production stoppage – to the delight of many employees with children off school for summer.
At Väderstad employees receive part of an annual profit share, provided the company has reported positive results. This year, the profit sharing resulted in seven days, but the company chooses to increase up to a total of ten days off for employees who have been employed throughout the year. Väderstad reported a record financial year last time around. However, 2020 has developed into an unusual year with the global Covid-19 pandemic leading to some shortages of materials, which have caused us to shut down our production for six weeks (week 26-31) this year instead of four weeks as normal. The company does not want to make use of the state support provided by the government for short-term lay-offs at this time.
“There are other industries and other companies that need that support more than us. We have a record financial year behind us and are part of an industry that has not been as hard hit by COVID-19 as many others. So instead of burdening the public, we are choosing to pay out the profit share from 2019 as leave instead of money, which allows us to solve the issue of the two extra weeks that our factory will be closed this year,” says President and CEO Mats Båverud.
Employees who have earned a full profit share and have worked on full pay between 1 October 2018 and 30 September 2019, will receive two extra weeks of leave – in addition to their regular holiday entitlement.
“For me, the profit-share days are a real godsend. I have two children aged 8 and 9 years and I don’t have any parental leave left for the summer. Personally, I appreciate getting free time instead of money. Thanks to the profit-share days I will get more leave together with my children both this summer. And since Christmas falls awkwardly this year, the great thing about this arrangement is that I can also take more leave around Christmas. Thanks to these profit-share days, the rest of the year has worked out really well for me,” says Jan Friberg, a product engineer for seed drills at Väderstad.
Production staff who do not have a full profit share because, for example, they have only recently joined Väderstad, but who are nevertheless affected by the extended production stoppage, will be offered up to five days of extra advance holiday.