How much is the salary of the President of Vietnam Airlines when the airline is losing more than 1 billion USD?
Vietnam Airlines Corporation (Vietnam Airlines, stock code: HVN) has just announced its consolidated financial statements for the first quarter of 2022 with a loss of up to 2,685 billion VND. Thus, by the end of March 31, the accumulated loss of this airline amounted to 24,500 billion VND (estimated more than 1 billion USD).
Although revenue in the first 3 months of 2022 reached VND 11,600 billion, up 55% compared to the same period last year. This is also the highest level of revenue since the second quarter of 2020, when the Covid-19 epidemic severely affected the aviation industry.
Vietnam Airlines for the 9th time in a row recorded a profit after tax that did not reach 0 dong
However, despite the high increase in revenue, the cost of goods sold still exceeded revenue, causing Vietnam Airlines to have a gross loss of nearly 1,600 billion dong. Accordingly, after deducting other expenses, profit before tax brought a negative figure up to 2,621 billion dong. This is also the 9th consecutive quarter that the national airline has recorded a profit after tax that has not reached 0 dong.
Faced with accumulated losses of more than 1 billion USD, being delisted on the Ho Chi Minh City Stock Exchange (HoSE) according to regulations is a possible risk when up to now, shares of Vietnam Airlines is still under transaction control.
Since then, many people have wondered with the above business results, has there been any change in the remuneration of the leaders of Vietnam Airlines?
In fact, in the enterprise’s independent financial statements, there is no information on the salary and remuneration fund for the Board of Directors (BOD) and the Supervisory Board. However, at the end of March, the Committee for the Management of State Capital at Enterprises sent a document to the group representing the State capital at Vietnam Airlines about the salary in 2021 and the salary and remuneration plan in 2022.
Accordingly, in 2021, based on the production, business and labor targets implemented in 2021 of the parent company – Vietnam Airlines (negative pre-tax profit of VND 12,688 billion), the salary fund of the members of the Board of Directors. and the Supervisory Board at Vietnam Airlines is calculated at 60% of the average salary (including safety bonus, if any), the actual remuneration of each respective title performed in 2019.
Specifically, Mr. Dang Ngoc Hoa, Chairman of the Board of Directors of Vietnam Airlines, received a salary and remuneration of nearly 91.5 million VND/month, equivalent to nearly 1.1 billion VND/year. Mr. Le Truong Giang, Ta Manh Hung, Member of the Board of Directors and Ms. Nguyen Thi Thien Kim, Head of the Supervisory Board received salary and remuneration of over 73 million VND/month, equivalent to 878 million VND/year. Mr. Mai Huu Tho, Member of the Supervisory Board, receives salary and remuneration of nearly 46 million VND/month, equivalent to 549 million VND/year.
Mr. Dang Ngoc Hoa, Chairman of the Board of Directors of Vietnam Airlines
It is known that the total salary for members of the Board of Directors, full-time controllers and remuneration for members of the Board of Directors and part-time controllers of Vietnam Airlines in 2021 is 4.6 billion VND.
In 2022, after taking into account the objective factors caused by the Covid-19 epidemic affecting labor productivity and profit, based on the level of loss reduction compared to the implementation in 2021, the State Capital Management Committee at Enterprises determine that the salary of the Chairman of the Board of Directors of Vietnam Airlines is 70 million VND/month lower than 2021, equivalent to 840 million VND/year.
The members of the Board of Directors receive a salary of 60 million VND/month, the Head of the Supervisory Board 60 million VND/month, equivalent to 720 million VND/year; controller VND 50 million/month, equivalent to VND 600 million/year.
Meanwhile, the remuneration of members of the Board of Directors and part-time controllers is equal to 20% of the corresponding salary of members of the Board of Directors and full-time controllers. In case this year, Vietnam Airlines adds a member of the Board of Directors or a controller, the salary of the manager is determined by the salary of the corresponding title.
It is expected that the total salary for members of the Board of Directors, full-time controllers and remuneration for members of the Board of Directors and part-time controllers of Vietnam Airlines this year will be nearly 4.2 billion VND.
at Blogtuan.info – Source: cafebiz.vn – Read the original article here