State Farm to Award $1,000 Bonuses to Thousands of Employees

State Farm Sign HQ Bloomington IL.jpg

Bonuses Come to Thousands of State Farm Employees

State Farm is kicking off 2018 with $1,000 bonuses for employees nationwide, outside of the regular merit or incentive programs.

State Farm spokesperson Missy Dundov said CEO Michael Tipsord announced the bonus in an internal communication Wednesday.

“This $1,000 bonus is a recognition of the contributions and accomplishments of our employees in helping us be there for our customers now and into the future,” said Dundov.

The bonuses come in the midst of a large nationwide restructuring of the business. The company is just a week away from vacating its historic former headquarters in Downtown Bloomington.

 State Farm CEO, Michael Tipsord (Credit: Navigant, Board of Directors)

State Farm CEO, Michael Tipsord (Credit: Navigant, Board of Directors)

The company didn’t specify if the bonuses were related to the recent tax cuts for corporations. The corporate tax rate has been slashed from 35% to 21% and dozens of large corporations have responded by rewarding employees with bonuses and pay raises. State Farm would be one of the largest companies to join the ranks.

“State Farm continually evaluates employee benefit offerings and delivery systems to ensure they are competitive and relevant in today’s marketplace,” Dundov told AdaptBN in a comment.

Of State Farm’s 65,000 nationwide employees, those who qualify for the company’s incentive plan are the only ones eligible for the bonus, although the bonuses are in addition to the incentive and merit programs. Dundov did not state how many of the company’s employees are ineligible for the incentive plan.