A MESSAGE FROM JIM DICKENSON:
Despite the hard work of employees and another record breaking year in safety, this year has brought with it an unprecedented spike in fuel prices. As a consequence of these extraordinary fuel price increases, our Board took prompt action during their May Board meeting to pass on to our customers a fuel rate increase to cover a $60M projected deficit in our fuel fund. This Board action was taken to prevent severe adverse impacts to JEA's financial metrics. If not for this mid-year Board action and the resulting revenues from the July 1st fuel rate increase on our customer’s bills, our Adjusted Net Revenue (projected to be only 39% of its budgeted amount) would fail the test criteria and would be insufficient to allow for an annual AAA/CCP payout at any level for FY2008. As you are aware, the AAA/CCP programs are established at the beginning of the budget year and mid-year revenue additions due to unplanned rate increases cannot be included to achieve the budgeted net revenue goals. This is the first time the Adjusted Net Revenue Test has resulted in reduction or, in this case, the elimination of an incentive payout.
These are difficult economic times that are severely impacting our business and ultimately our customers. I ask that all employees consider the extraordinary times and, despite the disappointment, continue to serve our customers and community well during a very difficult period.
Good!
I second that!!!!!!!! ;D
As long as you are not a hard working JEA employee...
^ Yea, I agree, BT.
This news is most unfortunate if you're a JEA employee, have done your job very well, and are deserving of a bonus. Any kind of bonus, above and beyond your regular salary, is welcome and sometimes very much needed.
Just because we're not happy with the seemingly "stu-pud" JEA utilities rate increases doesn't mean we need to be all evil to the average-joe employee there.
At the same time, it *is* nice to know that they're not raising my rates just to (again, seemingly) pay out bonuses to everyone. At least there's a glimmer of fiscal responsibility there.
I agree. I think it would have been grossly unfair to give out a hefty "safety incentive pay" all while increasing rates 16% for rising fuel cost., It is an indicator of how crazy energy prices have become because there's only two or three times in the past few decades they've cut out the bonus.
Bonuses are based on performance. Performance above and beyond your normal job duties. Performance that also increases earnings or service. While many employees depend on bonuses, it is not guaranteed income. This year, in this economy, many employees are not or did not receive bonuses that they have in the past. This is very fiscally responsible of JEA (I am shocked!). I would be interested in knowing if this applies to ALL JEA employees, for instance will "upper management and executives" still be getting a bonus? If so then I believe in this case outrage and sympathy is well deserved.
Quote from: uptowngirl on August 01, 2008, 09:04:03 AM
Bonuses are based on performance. Performance above and beyond your normal job duties. Performance that also increases earnings or service. While many employees depend on bonuses, it is not guaranteed income. This year, in this economy, many employees are not or did not receive bonuses that they have in the past. This is very fiscally responsible of JEA (I am shocked!). I would be interested in knowing if this applies to ALL JEA employees, for instance will "upper management and executives" still be getting a bonus? If so then I believe in this case outrage and sympathy is well deserved.
I agree completely... standards of performance and expectations are set at the beginning of the year. But if you exceed those expectations it seems fair to "expect" those bonuses. The increase in oil prices and increase in rates do not reflect the employees hard work, attention to detail, and overall efficiency of the workers attempting to earn their bonus.
BT I agree with you. Unfortunately I have no idea what standards were set at the beginning of the year. If 9and this is probably a big if, knowing the city and the JEA board) earnings were part of that standard then raising costs would impact that. Perhaps not fair as it is out of the control of the employees, but real none the less. I remember our company not paying out bonuses one year because earnings in ONE quarter were off by something like .00987%, even thought business had increased and customer service scores were up. Since JEA only provides limited services, it is much harder for them to try and pay items such as bonus in an economic downturn without directly impacting customers in a very noticeable way. Companies that are very diversified in their consumer offerings can add cost here or there and customers just don't really notice.