Air Canada Announces Senior Executives Voluntarily Returning 2020 Bonus

Montreal-Air Canada said senior executives at the company have chosen to return the 2020 bonus in response to “public disappointment.”

The airline said in a news release that Air Canada’s president and CEO and executive vice president volunteered to return the bonus and share the unit of gratitude.

Former president and CEO Karin Rovinesk, who retired in February 2021, said he would also donate his share to the Air Canada Foundation.

The statement does not include middle managers who volunteer to provide bonuses, with bonuses accounting for more than $ 8 million of the $ 10 million bonus program.

Treasury Minister Chrystia Freeland complained Wednesday that the company was given millions of dollars in packages to airline executives when it negotiated a federal bailout, saying the bonus was “inappropriate.”

An investment called last Monday that the airline disclosed its annual power of attorney to shareholders, gave people bonuses, and contributed to the airline’s survival over the past year as air travel plummeted during the COVID-19 pandemic. I gave people a home document.

“Air Canada’s leadership team is fully focused on recovering Air Canada from the coronavirus pandemic and preparing to welcome colleagues and travelers on vacation as soon as possible,” said Sunday. The statement states.

“Airlines look forward to continuing to work with all stakeholders, especially the Government of Canada, in many ways, including a safe resumption of the industry.”

In April, the airline and government agreed on a $ 5.9 billion loan package that included funding to help passenger ticket refunds, but with executive compensation up to 12 months after the loan was fully repaid. Limited to $ 1 million.

The government also paid $ 500 million for a 6% stake in the country’s largest airline.

From December 2020, according to the company, in early 2020, senior management and 3,200 executives voluntarily agreed to reduce their base salary by a total of $ 11.5 million.

Freeland Transport Minister Omar Argabra said Canadians “is right to expect government-funded companies to behave responsibly, especially with regard to executive compensation, during a pandemic.”

“Air Canada could have avoided this situation altogether, but this step in the right direction by the top five executives to repay the 2020 bonus and share the thanks units received. “I admit,” they said in a joint statement on Sunday night.

Canadian Press

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