French Brand Hermes Grants Over Rs 3,50,000 Bonus To All Employees

Hermes, a French luxury design company, has announced that at the end of the month, everyone on its staff will get an exceptional bonus of 4,000 euros (Rs 3,52,024). The Paris-based design firm specialises in leather goods, fashion accessories, home decor, jewellery, timepieces, ready-to-wear, and lifestyle products.

According to Le Monde, the bonus follows the 6% increase in salaries of employees based in France in 2022 and the 100-euro (approximately Rs 9,000) increase granted in January 2022 and renewed the following July.

Hermes CEO Axel Dumas stated during the presentation of the group's annual results that the 12,400 Hermes employees in France receive the equivalent of 17 months' salary annually, including profit-sharing and incentive bonuses.

The CEO added that this bonus payment is a component of the "value sharing" policy and that it coincides with a rise in the dividend paid to shareholders.

The news report further stated that the generosity stems from exceptional profits in 2022. Last year, the brand known for its hand-sewn handbags generated 11.6 billion euros in sales, or 23% more than in 2021.

The company Hermes was in the news a few weeks ago when the fugitive Hong Kong tycoon Joseph Lau sold dozens of mostly Hermes bags for HK$25.2 million ($3.2 million) in an auction by Sotheby's.

The sale included 76 Hermes bags and one from Chanel. Among the items sold were six diamond Birkins and an extremely rare bronze metallic Kelly.

Lau has bought more than 1,500 Hermes bags as gifts, and his family still owns more than 1,000, a representative for the tycoon said in a statement via WhatsApp, citing people close to the family.