Hermẽs Grants €4,000 Bonus to all Employees
The Paris-based luxury brand Hermẽs is set to give all worldwide employees a bonus of 4,000 Euro at the end of the month, according to CEO Axel Dumas. 2023 has been a great year of growth for Hermẽs, where sales have increased every quarter.
The bonus is also due to an increase in Hermẽs’s sales of 20%, to 11.6 billion Euro. This bonus follows a 6% increase in the salaries of France-based employees last year, in 2022. The company’s executives have stated that the bonus “goes hand-in-hand with the dividend distributed by shareholders.”
Growing Workforce
Known for their glamorous hand-sewn purses, Hermẽs employs 6,000 craftspeople and has created 2,100 jobs in one year. 1,400 of those jobs are currently held by Hermẽs employees in France.
The Hermẽs workforce has doubled over the past year, and the luxury brand has increased profit by 23% compared to 2022.
Continued Growth
Fellow luxury brands, such as Gucci, had a tough financial quarter in China, which could have been caused by the COVID-19 pandemic. However, Hermẽs’s sales increased by 25% in Asia (excluding Japan).
Axel Dumas stated that Hermẽs “continues to see strong desirability in China.” An analyst at Bernstein, Luca Solca, also commented, “Hermẽs overcame the Covid-related problems in the fourth quarter of 2022 and produced a very solid result.”
The Hermes Process
With popularity soaring, Hermẽs is probably best known for their famous Birkin bag. However, getting your hands on one of these could be more challenging than expected.
A standard Birkin 30 runs about $10,000 or significantly more. Hermẽs also limits how many Birkins customers can buy in a given year. However, if you want a glamorous purchase, look no further than this luxury black envelope bag.
Both the classic Birkin and this purse have a sleek, elegant look. This bag costs a fraction of what the Hermẽs Birkin does and still easily achieves that polished luxury look.
