J&J Reportedly Cutting Bonus Targets - TheStreet

J&J Reportedly Cutting Bonus Targets

Johnson & Johnson plans to cut the yearly performance-bonus maximums for 38% of its work force and freeze salaries for certain workers, a report says.
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NEW BRUNSWICK, N.J. (

TheStreet

) --

Johnson & Johnson

(JNJ) - Get Report

plans to cut the yearly performance-bonus maximums for 38% of its work force and freeze salaries for certain workers, the

Wall Street Journal

reports, citing an internal announcement and other company documents.

Performance-bonus targets will increase for 27% of J&J's 115,000 employees, remain the same for 35% and decrease for 38%, according to the J&J announcement. For various types of yearly stock bonuses, "more people will be impacted with decreases," the announcement said.

Johnson & Johnson told workers last month it was making the moves to standardize compensation across its various businesses and regions, thereby making it easier for its workers to move around within the company, the

Journal

reports. One J&J documents said changes in the U.S. will bring bonus targets in line with market levels.

"The cost savings from this program are minimal. It is not why we implemented the program. This program is about creating a global compensation program that is consistent and equitable for our employees across the company," a J&J spokeswoman told the

Journal

.

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