In a recent article published by Les Echos, tire manufacturer Michelin announced that it would establish a “decent wage” for its 132,000 employees worldwide, aiming to cover the essential needs of a family of four. This new wage will be set between 1.5 and 3 times the minimum wage in each country where Michelin operates, marking a significant shift in corporate compensation strategy. The article also highlights Michelin’s plans to implement a “universal social protection floor,” providing additional health benefits, maternity and paternity leave, and life insurance coverage for its employees. This initiative reflects Michelin’s commitment to enhancing the well-being of its workforce across the globe.
The initiative was driven by the company’s CEO, Florent Menegaux, who discovered that 5% of Michelin’s workforce was earning considerably less than the required standard to meet a decent living, despite working for a major corporation. This realization prompted Michelin to rethink its remuneration strategy to ensure that none of its employees were left struggling.
