- Workday said it would pay employees below the vice president level the equivalent of two weeks of pay as a cash bonus to help support them during the fallout of the new coronavirus.
- The software company expects the move will add $80 million in expenses in the quarter.
- Workday is headquartered in California, where Gov. Gavin Newsom has urged people over 65 or with chronic health conditions to self-isolate
Workday will pay its lower-level employees the equivalent of two-weeks pay as a cash bonus to help support them during the fallout from the COVID-19 pandemic.
The move, which excludes executives at the vice president level and above in addition to "certain senior individual contributors," is expected to add about $80 million to Workday's first quarter and full year 2021 expenses compared to initial guidance, the company said in a financial filing. Workday, which provides human resources software, reported 12,200 total employees as of the end of January and said it also employs contractors. Workday plans to pay the bonus in its first fiscal quarter ending April 30.
In a blog post, Workday said it hopes the pay can "help alleviate some of the pressures" brought on by school closures and other changes. Workday said it would also create a relief fund "to help employees who may need additional support and have significant hardships that go above and beyond." The company will also expand benefits like paid sick leave for employees infected with COVID-19 and Care.com coverage for back-up childcare. It's also giving employees one year of access to the meditation app, Headspace.
Many American companies are seeking ways to help employees stay afloat as the new coronavirus has ground normal operations to a halt across the economy. Shopify said it would give its employees a $1,000 stipend to furnish their home-offices and gig economy companies like Uber and Lyft said they would compensate contract drivers impacted by the virus in part to keep them from working while sick.
Workday is headquartered in California, where Gov. Gavin Newsom has urged people over 65 or with chronic health conditions to self-isolate and has encouraged businesses to shut their doors to stem the flow of new cases.
Workday previously moved its internal sales meeting scheduled for earlier this month to a digital format as coronavirus fears grew. The meeting was expected to draw about 3,000 attendees to Orlando, Florida.