Detroit (AP) — General Motors is likely to spend more than $500 million on employee bonuses and profit-sharing based on the company's performance last year.
GM will pay bonuses of at least $182 million to white-collar workers. They'll get 8 percent to 14 percent of their base pay under a formula obtained by The Associated Press. That payment is on top of $332.5 million in profit-sharing that GM agreed to pay factory workers.
GM would not release the percentages and wouldn't say how much it will spend on bonuses. But it's likely the average bonus for salaried employees will exceed the $7,000 that GM's 47,500 factory workers will get.
GM says the bonuses are needed to keep skilled workers. But the payments have drawn criticism from those who oppose GM's government bailout.
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