HDC pays annual bonus of MVR 18,600 to employees despite MVR 109m loss
Historically, HDC has been recognized as one of the most profitable state-owned enterprises. However, the corporation faced significant financial setbacks in 2024, with a loss of MVR 109 million.
The building housing HDC head office
The Housing Development Corporation (HDC), which ended 2024 with a loss of MVR 109 million, has begun paying an annual bonus of MVR 18,600 to each of its employees.
Last year, HDC provided a bonus of MVR 10,000 to its employees, meaning this year’s bonus has nearly doubled. Each employee is now set to receive MVR 18,600.
Historically, HDC has been recognized as one of the most profitable state-owned enterprises. However, the corporation faced significant financial setbacks in 2024, with a loss of MVR 109 million.
According to the annual reports of state-owned companies published by the Privatization and Corporatization Board (PCB), HDC’s total revenue for the year was MVR 3.5 billion, marking a 50 percent decline compared to the previous year.
In addition to this, the corporation did not achieve any net profit during this period.
The decision to increase the bonus payment, despite a sharp drop in revenue and a significant loss, has raised questions from various stakeholders.
HDC has explained that the bonus payments were made following approval from the company’s board and with authorization from the Ministry of Finance and Planning.
However, the company did not provide further details regarding the rationale behind this decision.
