French fashion and design brand Hermès has announced that it will pay its 19,700 employees a bonus of €4,000 (£3,519) this year.
Axel Dumas, chief executive officer of Hermès, presented the year-end bonus plan at an analyst meeting on Friday 17 February.
Dumas cited the brand’s net profit reaching €3.4 billion (£3 billion) as the reason why in a position to pay all employees worldwide a bonus. Hermès’ fourth quarter sales rose 23% year-on-year, excluding currency swings, driven by the Americas, which was up 40.8%, and Asia-Pacific, excluding Japan, which was up 24.7%. Full-year revenues rose 29% last year to €11.6 billion (£10.2 billion).
Hermès will also pay out €1.4 billion (£1.2 billion) to investors via its dividend of €13 (£11.43) per share, a 63% increase compared to its €8 (£7) dividend last year.
Dumas said: “In 2022, Hermès had an exceptional year thanks notably to the good performance of its international markets. This success reinforces our approach as an artisanal and highly integrated company, mainly in France: a design house that offers objects conceived to be functional, with an assertive style and uncompromising quality. The year underpins the relevance of our responsible and sustainable model.”
Last year, the group added 2,100 employees to its global workforce headcount, with average salaries rising by 6%. It has created 4,300 jobs over the past three years, including 2,900 in France, and has plans to hire more staff this year.