© Stocksak. FILEPHOTO: Coffee flows into an Illy cup in a coffee shop in Rome (Italy), May 3, 2016. REUTERS/Alessandro Bianchi
MILAN (Stocksak). Illycaffe, the premium Italian coffee maker, will pay a cash incentive to its employees to help them manage their increasingly stretched finances, its chief executives told Il Corriere della Sera newspaper.
The Ukraine crisis has reduced economic growth expectations across the globe while soaring inflation is taking a heavy blow to household finances, especially in Europe.
Cristina Scocchia, CEO of Illycaffe, stated that the company would divide a 500,000 euro ($493,000), bonus pool among its 1,350 employees around the world by the end.
She said, “We need to combine profit and social values.”
Scocchia stated that the company’s logistics and raw materials costs had increased by 20% this year, but that it had decided to reduce its margins instead of raising final selling prices.
She also confirmed that the group would go public by 2026.
($1 = 1.0142 euros)