San Antonio, Texas – April 10, 2020 – CPS Energy announced today that it has suspended making any future payments associated with its employee at-risk, pay-for-performance incentive plan.
“This decision was made in sincere consideration of the increased challenges facing all our customers due primarily to the COVID-19 global crisis,” said Paula Gold-Williams, CPS Energy President & CEO.
The at-risk incentive pay – totaling almost $13 million – would have been paid in May of 2020 to approximately 1,800 employees who had earned it, including executives, due to excellent operational performance in CPS Energy’s fiscal year that ended January 31, 2020.
“It is very difficult to predict how this pandemic will impact San Antonio and specifically CPS Energy in the long term, and much like our decision to suspend service disconnects, we are doing everything we can to support our community and our customers during this unprecedented period in our history,” said Gold-Williams. “This was not an easy decision, but we know suspending all incentive payments is the right thing to do while our community is facing the unforeseen combination of economic, health and financial impacts. It is important to preserve cash and maintain the highest quality of operations and service. Suspending the incentive of almost $13 million is a prudent action in this extraordinary time and helps ensure that our more than 3,100 hard-working team members can continue providing reliable, safe electric and natural gas services to almost 2 million people in our metropolitan community.”
Along with suspending at-risk pay, the company is freezing hiring, except for a limited number of critical positions.
“Our employees are part of the greater San Antonio community,” Gold-Williams continued. “We are a homegrown, community-owned business with employees who have hearts for service. The suspension of payments from the employee incentive plan in this unique and difficult time is what our People First philosophy is all about. Like everyone else, we cannot predict the future. However, we can do our best to partner with our customers and with each other to get through the current challenges that we are all facing.”
CPS Energy continues to stand ready to help any customer in need. Customers are encouraged to call CPS Energy at 210-353-2222 to discuss payment plan options. Participating in a payment plan allows a customer’s applicable late fees to be waived. CPS Energy has a variety of money-saving and general assistance programs designed to help all customers who are experiencing a hardship. For a list of money-saving and assistance programs, visit www.cpsenergy.com/assistance or call 210-353-2222 to speak to an Energy Advisor. To pay by phone, call (877) 257-1172. To mail a payment, include your bill and payment to CPS Energy, P.O. Box 2678, San Antonio, TX 78289.