Ikea Group also announced an increase of Rs 1.50 lakh in pension fundings for its Indian co-workers as part of TACK programme, the furniture major said in a statement.
Tack is a group's 'Loyalty Programme' to show appreciation for co-workers who continue working for the success of the business.
Also Read
"Our co-workers should know how much we value their experience and commitment and I am proud that Ikea Group in India will give an additional Rs 1.50 lakh each to our co- workers pensions this year," said Ikea India Country HR Manager Anna Carin Mansson.
Co-workers, who work for at least five years, qualify for Tack, which means 'thank you' in Swedish.
This year, Ikea will be rewarding a total of 96 million euros (Rs 700 crore) to the global co-workers pension fundings, the company said.
It was introduced in 2013 and since then the Ikea Group has paid out 509 million euros globally.
Under Tack, all co-worker gets the same amount regardless of position or salary, and part-time co-workers are rewarded in proportion to their hours worked, it added.
The amount is allocated to all co-workers who have worked at Ikea for at least one full fiscal year. Once they reach their five year anniversary with the company, the accumulated money is paid out to their pension funds. After this, every annual pay-out goes directly into their pension funds.