Germany: reassessing individual bonus payments

Germany’s businesses regularly discuss the issue of individual bonus payments and performance related bonuses that make up the variable part of employee remuneration. At Bosch, Deutsche Bahn, and Daimler for example, the trend is turning away from individual performance based assessments and towards bonus payments based on company results and other more ‘sustainable’ elements.
Enjoy this article for free while you’re in your trial period
You have access to our content for 1 month.

Since 2016 German multinational engineering and electronics company Bosch no longer pays individual performance linked bonuses to any of its 290,000 staff (c.f. article No. 9338). Similarly. Berlin headquartered railway company Deutsche Bahn (DB) has put its ‘Zukunft Bahn’ (Train of Tomorrow) program in place that is geared to raising DB’s overall service levels and comprises several internal and external measures including the doing away with of the system of individual bonus payments. “Going

Do you have information to share with us?
What you absolutely must read this week
The essential content of the week selected by the editorial team.
See all
2026 TRENDS — Tackling skills shortages and mismatches
mind HR is analysing the trends that will shape 2026. Skills shortages have become a central challenge for businesses, reflecting deep-seated shifts in the labour market as roles evolve rapidly...
Italy: government kicks off transposition of EU Pay Transparency Directive
On 5 February, the Italian government approved legislation transposing the EU Pay Transparency Directive, designed to tackle gender pay discrimination — a particularly acute issue in Italy. The...
10 February 2026
Romania: government imposes strict controls on labour immigration
On 26 January, the Romanian government adopted an emergency ordinance tightening the rules on the recruitment of foreign workers. The measure introduces an official list of labour shortage...
Germany: standoff over national plan to boost collective bargaining
Under the EU Adequate Minimum Wages Directive, Germany is required to produce an action plan to boost collective bargaining coverage. That plan has stalled, however, after being blocked by the...
9 February 2026
Most viewed articles of the month on mind HR
What readers clicked on the most last month.
What readers clicked on the most last month.
1
France: Crédit Agricole to tighten remote work rules
Crédit Agricole is to adopt stricter rules on remote work from mid-March onwards. The rules will be tightened for employees, but the maximum number of days working remotely will remain unchanged.
2
2026 TRENDS – Pay transparency becomes a reality for European companies
mind RH is taking a look at the trends that will shape 2026. Many countries remain behind schedule in transposing the EU Pay Transparency Directive, leaving companies in a state of uncertainty as...
27 January 2026
3
TRENDS IN 2026 — Reducing workplace absence at all costs: a major challenge for Europe
Workplace absence is on the rise across Europe, particularly among women, older employees and, since the Covid-19 pandemic, young people under the age of 30. Faced with this growing problem, some...
14 January 2026
4
Vincent Lecerf (Orange): “Equality and diversity are competitive advantages for us”
Following the signing of a new agreement on professional equality and diversity in December, the chief HR officer of French multinational telecommunications corporation Orange Group, Vincent...
13 January 2026
5
2026 TRENDS — Social dialogue, a major challenge in the deployment of AI in companies
mind RH is analysing the trends that will shape 2026. Artificial intelligence is emerging as a force that goes far beyond efficiency gains and productivity improvements. It is reshaping tasks...
4 February 2026
6
France: transposition of the pay transparency directive takes shape
The transposition of the European directive on pay transparency into French law is entering a decisive phase. The Minister of Labour, Jean-Pierre Farandou, wants to present the bill to Parliament...
21 January 2026