Star Alliance member SWISS has an interesting concept that’s intended to help with employee morale, which I wasn’t aware of. However, it’s only now getting attention publicly because the company feels that some people have been spending a bit too much…
In this post:
SWISS captains & pursers can invite crews for drinks or meals
SWISS has a concept known as “Crew Surprise,” whereby the captain or lead flight attendant (known as maître de cabine) can surprise their crew and invite them for a drink or meal during a layover. They just pick up the check, and then can then request reimbursement from the company. This is intended to boost morale, after the crew performed particularly well, or after an especially challenging day.
Admittedly this isn’t intended to be a common thing, since crews are given per diems to pay for their expenses during layovers. Rather it’s supposed to be a true surprise and delight situation, and it’s special when it does happen.
As a SWISS spokesperson describes this concept:
“It offers both the management and the captains and maîtres de cabine the opportunity to give the crews so-called ‘magic moments’ anywhere in the world. Successful and strict working days can be rewarded, this also strengthens team cohesion.”
I think it’s worth recognizing what a great concept this is. I don’t believe there are many airlines that give their employees this kind of discretion, though it’s possible that I’m just not familiar with it.
Some SWISS employees have gone overboard
It would appear that some SWISS employees have gone a bit overboard with this concept, at least as far as management is concerned. The company’s head of cabin crew posted a 20-minute internal video, addressing this initiative. Apparently the company has seen a significant increase in spending related to this, and that needs to change:
“In three months we spent a six-figure amount. We have to adjust a little bit, we can’t continue driving at this high level.”
One particular incident got quite a bit of attention, whereby during a layover in the United States, a captain and his 12-person crew spent over $2,000 at a steakhouse, and expensed it to the company. This seemed to be the incident that caused the airline to ask crews to rein in spending a bit.
A few thoughts:
- I commend SWISS for offering this initiative, as it seems like it’s great for morale
- It’s nice that SWISS gives employees so much discretion, but maybe some more clearly defined parameters would be helpful; inviting a crew of four for a drink in Tirana is a very different expense than inviting a crew of 12 for a dinner in New York
- In a city like Los Angeles or New York, a $2,000 bill at a steakhouse isn’t that outrageous, when you consider how much food, drinks, and gratuity cost in the United States
- Not to look a gift horse in the mouth here, but a quarterly expense in the low six figures doesn’t seem that much for a company with CHF 4.41 billion in annual revenue
- If the spending is only in the low six figures at its absolute highest, then captains and pursers are obviously using a lot of discretion, given the size of SWISS’ network
Bottom line
SWISS captains and pursers have the discretion to invite the crew for a drink or meal after an especially good performance or hard day at work, which I think is an awesome concept. However, the airline has noticed a significant increase in spending related to this perk, and is asking crews to lower that.
What do you make of this SWISS “Crew Surprise” concept?
And this is why we need to bring back Sizzler!...
"Guardrails". Provide spending guidance but do not ruin a true differentiator.
That's the problem that there are no parameters for it and that the staff do not know when they can use it or not. I guess many assume they cannot use it or do not want to risk having a problem.
A captain or purser is like a team manager. Many companies give their managers a discretionary budget for things like this. Rather than asking managers to spend less just give them a budget. If the manager knows the max they'll be reimbursed over a set period of time they won't over spend.
This isn't hard and it's something the corporate world has done for decades. The fact that Swiss is having trouble just means they didn't properly define the program
AA, ROBERT ISSOM, GREAT IDEA!
WE NEED A CONTRACT AND MAJOE MORALE BOAST!
ID SAY YOUR FLIGHT ATTENDANTS HELPED CONTRIBUTE TO YOUR AMAZING BILLION$ IN PROFITS!
AND EXACTLY WHO BOUGHT UP THOSE AA SHARES CAUSING DEBT?
YEP, WE ALL KNOW WHO DID!
Just had dinner in Zurich for 2 at a cost of over $300.
So damn expensive here. They should be happy that their crew gets treated overseas where it’s so much cheaper than Switzerland.
Typical Swiss. Geizig!
Thats more a German thing rather a Swiss one.
I suspect the only way you can get to a $2K is with the inclusion alcoholic beverages. If they are on a "layover" I'm not so sure that is a great idea.
2000/12=83.33. I'm surprised they were able to get out of an Outback for that without any alcohol, let alone a NY steakhouse.
Excuse me $166.67. So now we are in Fleming's territory if we stay in the Outback chain.
SWISS should just follow the lead of US companies. The best way to increase employee morale is a pizza party at 11:15 AM on a Tuesday. If they really care, they'll let everyone wear a Hawaiian shirt and take a group photo. That's how multi-billion dollar corporations show their workers that they really care.
SWISS used this formula of invoice to deduction from TAX to pay at end of the year, so it’s not totally one sense so benefits for both side...
No surprising me at all if you consider how much they earned.
It's nothing compare on their final result of the year and if you consider how much it will cost in Switzerland the same dinner!
20 year ago t took our 6 team members from Japan who were visiting our main office in California to a nice restaurant for dinner. We spent $1000. For years to come they remembered fondly and all my requests were handled promptly.
Best dinner investment ever. My management at that time thought otherwise but I still got reimbursed.
the whole concept, while well-meaning, was too open-ended for the bean counters to ever like.
There needed to be limits and it is not likely that the amount the company really wanted to allow to be spent was enough to buy decent meals.
I go to Switzerland at least 1 time a year for work, the CHF and USD are nearly even in exchange rate. $2000usd for 13 people is WAY less than what this would cost in Switzerland itself!!!
I was going to post something similar. A steak diner in Zurich would cost way more than 167 USD per person. I spent 108 CHF on a lunch with two drinks in Zurich last week. Just checked out a steak house in Zurich and the steaks are 24-95 CHF per 100g or 3.5 oz. So a 10 oz wagu steak is 285 CHF. A 10 oz rib eye is 84 CHF. + sides, dessert, drinks...
Good for Swiss. However, what did they expect, McDonalds?
I dropped $1000 for a party of 4 at the Hyatt Resort in Bastrop Texas last Christmas for dinner and wine.
Important not to conflate revenue with profitability. Margins are still pretty slim in the industry, so a high headline revenue figure might still mean they have to manage expenses closely.
$2000 for a 12-person dinner is nothing in just about any major city that Swiss flies to (including the US, Europe, and major cities in Asia). If dinners of that amount are going to break the bank, then best to just stop with this now… especially since it’s intended to be something special and rewarding rather than just a normal per diem meal.
So that's $167 per person, which is fairly steep. I'm sure that some bottles of expensive wine were involved as that often is what pumps up the price so much. The 24 oz porterhouse, while expensive, isn't going to get the check up to those heights. Now, anyone with some self awareness has to know that this is what happens when you order a couple of expensive bottles or wine or equally pricey mixed adult...
So that's $167 per person, which is fairly steep. I'm sure that some bottles of expensive wine were involved as that often is what pumps up the price so much. The 24 oz porterhouse, while expensive, isn't going to get the check up to those heights. Now, anyone with some self awareness has to know that this is what happens when you order a couple of expensive bottles or wine or equally pricey mixed adult beverages. Since it's on the company dime, doesn't common sense come into play here? Incidents like this tend to ruin it for everyone.
At most American steakhouses you’ll spend $50-60 for a steak, more for sides, $15-20 for a starter, and then by the time you add tax and a likely mandatory tip for a group of that size, you’re just about there. Maybe one cocktail or glass of wine per person… $167pp doesn’t go as far as it used to…
I read captain + 12 person crew, so 13 people and about $153 per. That's really not that bad, at a nice steakhouse the steak alone will be 1/3-1/2 that per person, not including the sides and a couple $12-$15 mixed drinks. Add in tax and an 18-20% gratuity, $2000 is easy to hit with that many people. It really does seem like SWISS was expecting the crews to hit up a Cracker Barrel or something instead.
$167 per person at a steakhouse is steep to you? You must not live on the east coast or any major European Capital. If me and my significant other walk out of our local steakhouse without breaking 500 bucks it’s a good night.
SWISS should have put a max amount that is eligible to reimburse at the onset of the benefit instead of take a pause later on and then be shocked at the actual amount that is being reimbursed. Good for building morale but what will the employees think when this concern comes to light? Maybe they should change their management team instead for not giving this more thought before rolling it out...