Germany’s governing coalition has what could prove either a remedy or a punishment for the declining punctuality of trains run by its state-owned rail operator, Deutsche Bahn. A new proposal will cut bonuses earned by the company’s executives if service doesn’t pick up.
This year DB hit new lows on its punctuality targets. From January to November, only 65.6 percent of long-distance trains arrived on time. In the summer months of July to August, the number was under 60 percent. Improving rail service to make it more attractive and lure travelers from the roads to the rails has been a key goal for the government.
Under the government plan, annual bonuses for DB’s top managers and board members will be linked to targets for punctuality and customer satisfaction. As reported, they will receive a bonus next year if 75.2 percent of long-distance trains arrive on time. The goal for regional trains, which have shorter runs, is 94% and 69% for freight. A customer satisfaction rating of at least 70 percent will also be needed for bonuses.
Not affected is the base pay for executives including CEO Richard Lutz, who earned €900,000, and freight transport board member Sigrid Nikutta who received €400,000. Germany’s Chancellor, Olaf Scholz, makes €240,000
