This year again, the performance appraisal process, which is considered to be a priority in terms of employee recognition and motivation, took place at Continental Tobacco Corp., one of the largest employers in Sátoraljaújhely, with more than 500 employees. The company, which owns the tobacco factory in Sátoraljaújhely, has rewarded its employees with a higher amount than ever before, totalling HUF 230 million gross.
Continental Tobacco Group, the leading player in the Hungarian tobacco industry, has been using a performance management system (TMR) at its tobacco factory in Sátoraljaújhely for more than 15 years. The TMR evaluates employee performance based on objective criteria, focusing on both corporate and individual goals, as well as on competence.
Following this year’s performance reviews, the company distributed a total of approximately HUF 230 million gross in bonuses to 496 employees working at the tobacco factory and expansion plants, which on average corresponds to nearly 120 percent of their monthly compensation. The scale ranged up to 200 per cent, with the most outstanding performers receiving the equivalent of two months’ salary. The bonus was in addition to the Christmas bonus paid to all staff at the end of last year.
At the same time, Continental also implemented a pay increase in agreement with the Works Council and the employees’ union, as a result of which the basic salary of employees increased by 15 percent from 1 February and the annual amount of the cafeteria allowance by HUF 100 000.
Csaba Füzi, CEO of Continental Tobacco, said that the tobacco market is facing a number of challenges, both globally and domestically, including labour market difficulties. This is one of the reasons why it is important for Continental employees to be properly appreciated, both in terms of professional support and feedback, as well as remuneration. The TMR is a particularly important element in this respect and has been an integral part of the company’s incentive system over the past 15 years.