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However, incentive plans are not appropriate for every company and business must find a way to put the plan to good use in a fair and productive way.
Gainsharing Vs. Profit Sharing
Gainsharing and profit-sharing are incentive plans that are both designed to pay employees beyond their normal wages upon good company performance. The two plans are similar in that they both payout when company performance goals are met. While both plans motivate employees to do what is in the best interest for the company, the two plans also contrast in different ways.
Gainsharing links employee performance to savings resulting in payouts, while profit-sharing links financial success of the total organization to payouts...
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Common topics in this essay:
- Gain Sharing vs. Profit Sharing
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