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Showing posts with label Dictionary. Show all posts
Showing posts with label Dictionary. Show all posts

Piecework

A system of pay based on the number of items processed by each
individual worker in a unit of time, such as items per hour or items
per day.

Under this pay system each worker receives a set payment for
each piece produced or processed in a factory or shop.

The minimum hourly wage plus an incentive for each piece
produced above a set number of pieces per hour.

A plan in which a production standard is set for a specific
work group, and its members are paid incentives if the group
exceed the production standard.

Annual Bonus

Plans that are designed to motivate short-term performance of
managers and are tied to company profitability.

Long-term incentives most often reserved for senior executives.

Programs

Six popular plans include stock options, stock appreciation rights,
performance achievement plans, restricted stock plans, phantom
stock plans, and book value plans.

Stock Option

The right to purchase a stated number of shares of a company
stock at today's price at some time in the future.

Any salary increase awarded to an employee based on his or her
individual performance.

Profit-Sharing Plan

A plan whereby most employees share in the company's profits.

A corporation contributes shares of its own stock to a trust in
which additional contributions are made annually. The trust
distributes the stock to employees on retirement or separation
from service.

Scanlon Plan

An incentive plan developed in 1937 by Joseph Scanlon and
designed to encourage cooperation, involvement, and sharing of
benefits.

Gainsharing Plan

An incentive plan that engages employees in a common effort to
achieve productivity objectives and share the gains.

Benefits for time not worked such as unemployment
insurance, vacation and holiday pay and sick pay.

Provides weekly benefits if a person is unable to work through
some fault other than his or her own.

Sick Leave

Provides pay to an employee when he or she is out of work
because of illness.

Severance Pay

A one-time payment some employers provide when terminating
an employee.

Provide for a guaranteed annual income in certain industries
where employers must shut down to change machinery or due to
reduced work. These benefits are paid by the company and
supplement unemployment benefits.

Provides income and medical benefits to work-related accident
victims or their dependents regardless of fault

Provides lower rates for the employer or employee and includes
all employees, including new employees, regardless of health or
physical condition.

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