After taking austerity measures last year to navigate the pandemic, Big Four firm Deloitte plans to hand out ‘thank you’ bonuses to all firm employees.
‘Thank you’ payments of between £500 and £2,000 will be paid to all UK staff below partner level at the end of April, with the amount paid determined by the employees pay grade, which is linked to their seniority level.
Deloitte UK CEO and senior partner Richard Houston said: “At the outset of the pandemic there was a huge amount of uncertainty around what it could mean for our firm and the potential impact on trading performance.
“I know that our firm has been in a fortunate position as we’ve been able to run our business and help clients respond to the substantial challenges and change brought about by the pandemic throughout FY21.
“We recognise that this wouldn’t have been possible without the hard work of all our people. We remain incredibly proud of the role each of them have had in the firm’s performance through this period – and are very grateful for everyone’s continued commitment in these challenging times.”
The bonus follows several measures taken by the firm last year to navigate the pandemic.
In 2020 Deloitte reduced its bonus pot, paused annual salary reviews and delayed pay increases for people promoted. It also temporarily reduced employer pension contributions.
Partners faced a 17 per cent cut, taking their distributable profits to £731,000. Deloitte partners saw the biggest percentage cut among the Big Four, however they still made more money than partners at rivals firms.
Deloitte is now in the process of undoing its pandemic austerity measures. Individuals promoted over the last year will receive a backdated pay increase to the time of their promotion, and employer pension contributions will revert to pre-Covid contribution rates a month ahead of schedule.
In 2021, bonuses will be paid as normal, and annual salary reviews will also resume this year.