IKEA Group Invests Another €108 Million into Co-worker Retirement Funds

IKEA Group says "Thanks" to co-workers for another year of growth and success

BURLINGTON, ON, Dec. 5, 2016 /CNW/ - IKEA Group says thank you to its co-workers through Tack! – the IKEA Group loyalty program. IKEA Group will pay its co-workers another €108 million ($153.5 Million Canadian) into their retirement savings programs, for their loyalty and contribution. The Tack! program launched in 2014 based on the wish of IKEA founder Ingvar Kamprad's and his wish to share in the success of IKEA with all co-workers around the world.

"At IKEA Canada it is our co-workers that are the key to developing our business, meeting our customers, and delivering results," said Stephen Bobko, Country Human Resources Manager, IKEA Canada. "Fiscal year 2016 was another exceptional year and we would like to thank our co-workers for their contributions to our ongoing success."

In Canada, the Tack! loyatly program operates as a deferred profit sharing program. As part of the program, IKEA Group co-workers annually receive an extra pay-out in addition to existing RRSP contribution programs. Every full-time co-worker in Canada who has worked for IKEA for five years or more, receives the same amount regardless of their position or salary level. This year, co-workers will receive lump sum of $1,235 into their RRSP program. Eligible part-time co-workers will receive a proportional amount in relation to hours worked.

In addition to Tack! all IKEA Canada co-workers are eligible to participate in a performance driven bonus program that can earn co-workers up to an extra month's salary a year.

"As IKEA Canada looks to double the number of stores across the country, there will be a need to attract high-potential co-workers and leaders to our organization," continued Bobko. "Programs such as Tack!, our bonus program, competitive wages and benefits, and social and community engagement opportunities strengthen our position as a great place to work and help us attract values driven co-workers to fuel our continued growth."

Since Tack! was introduced three years ago a total of €413 million has been allocated to the program. The global funding is divided between all IKEA Group countries, based on each country's proportion of the total salary and wages.  A pre-requisite for a funding of the
program is that IKEA Group reaches its goal results.

ABOUT IKEA CANADA
IKEA is a leading home furnishing retailer with 375 stores in more than 50 countries worldwide, which are visited by 884 million people every year. IKEA Canada has 12 stores, an eCommerce virtual store, 6 Pick-up and order points in Quebec City and southern Ontario and two Collection Points in Halifax and Saskatoon. The company also recently announced plans to open stores in Halifax and Quebec City. Last year, IKEA Canada welcomed 28 million visitors to its stores and 88 million visitors to the IKEA.ca website. Founded in 1943, IKEA's business philosophy is to offer a wide range of products of good design and function at prices so low, the majority of people can afford them. For more information on IKEA, please visit: www.IKEA.ca.

SOURCE IKEA Canada

Stephanie Harnett, Corporate Press Officer, IKEA Canada, 905.637.9440 ext. 6378, [email protected]