Some of the systems of wage payments commonly used are: 1. Time Rate System 2. Piece Rate System 3. Combination of Time and Piece Rate System. Method # 1. Time Rate System: Time rate system is the simplest and oldest method of wage payment. According to this system, the workers are paid in accordance with the time spent on the [...]
The various incentive plans can be classified into two groups: 1. Individual Incentive Plans 2. Group Incentive Plans. Type # 1. Individual Incentive Plans: Under individual incentive plan, individual employee is paid incentive on the basis of individual performance or output. The employers are liable to pay incentives to those employees who are producing more than the standard output. Individual [...]
After reading this article you will learn about:- 1. Introduction to Wage Incentive Plans 2. Requirements of Wage Incentive Plans 3. Objectives 4. Types 5. Drawbacks. Introduction to Wage Incentive Plans: Wage incentive plans reward an employee for his good job-performance. The various aspects of job-performance are: (i) Product Quantity; (ii) Product quality; (iii) Utilisation of materials, plant, tools and [...]