The Pleasantville press. (Pleasantville, N.J.) 1912-1929, 1917-08-18
BONUSES AND PAY
BASED ON MERIT
ATTRACT WORKERS
Company Wins Loyalty of Men
by Recognizing Ability
and Service.
INSURES LIVES OF ITS MEN

Wage Rate Limited by C~apability Only,
but Cannot Fall Below Fixed Mini
manufacturers Promoted From One
Glass to Another.
By recognizing individual effort on
the part of its employees and by re-
warding them literally for faithful
ness and industry a big machine tool
company in Connecticut has succeeded
in solving practically all the labor
problems incidental to the manage
ment of a large manufacturing plant.
So effective is the system adopted by
the company that in a trifle over a
year it increased its working force
from $50 to over 1,400 hands, and that,
too, in the highest labor market this
country has ever known in the metal
working industries.
But this was not the only wonder
accomplished. By perfecting the plan
so that it gave even greater incentive
to labor initiative able workers were
attracted to the plant and remained
there. so that gradually the coming
and going of laborers, with the attend
ant waste, ceased and a permanent
working staff of about LOO men re-
manned. Moreover. records prove that
these LOO men turned put more work
than the HOO employed by the firm at
the zenith of its hiring experience.
The basis of the system which work
ed all these reforms in the tool plant
is the well established rule that the
highest priced man does the best and
most work and the short time man
causes a direct loss. Thus the elimi-
nation of the hiring and firing evil
in the plant in question resulted, as it
usually does, in increased output, de-
creased spoilage of work and decreased
Spoilage of tools.
Methods Used to Hold Good Men.
The company employs four methods
to secur and retain the most profit
able type of workmen. 1t has in op-
Grafton a "maxi-pay' wage plan, a pro-
duction bonus, a service bonus and an
attractive form of insurance. From
time to time happily worded pieces of
literature are distributed to the work
men to call attention to some phase of
cooperation.
The "maxi-pay" plan offers full OPP
p~ortunity for Advancement along def
mite lines to those showing ability, pro-
vides a wage rate limited only by abil-
ity and occupation and advances wages
in recognition of ability. The work
men are divided into these classes:
Glass AA includes sub-foremen and
leaders in charge of working gangs Of
mechanics and, SO far as possible, all
foremen and shop executives are Sc
lected from this class. The minimum
ate per hour is 30 cents, but the maxi
mum rate is dependent on ability.
Glass A includes skilled mechanics of
demonstrated ability with a minimum
rate of 80 cents per hour and the pos
sibility of a higher maximum rate.
Glass B includes mechanics of good
average ability. and the rate is 40 cents
per hour. Mechanics of limited expert
ence are placed in Glass C. The rate
per hour for this class is 40 cents.
Apprentices. both special and regular,
are included in Glass d. Men from this
class upon completing their courses are
advanced to the class determined by
computing their average efficiency rec
ords oyer the last three months of their
apprenticeship.
In Glass E is found labor of all kinds,
skilled or unskilled. which is not di-
rectly productive. The minimum rate
per hour is 80 cents, but the maximum
is dependent upon ability and occupa-
ton. In the employment of men of
this class preference is given to those
who speak and write English and who
show qualities which will later war
plan has been in successful operation
since May -. 1916.
Reward For Skill and Service.
A production bonus which was in.
corporated into the plan on Nov. /
1916, provides extra compensation fol-
employees who can beat the standard
time set for the turning out of the "a
rious pieces.
OF course the basis Of efficiency va
ries according to the class rating Of
the operator. In the lowest class OF
productive employees, for instance, the
basis is set at Is per cent, and ] pei
cent of wages is paid for each per cen
Of efficiency above 70 per cent. The
records of bonuses earned are used az
a basis for advancement from one class
to another in the "maxi-pay'' rating.
An employee also gets a bonus
amounting to 10 per cent of the week.,
wages he earns during the regular
hours of operation.
Buys Insurance For Workers.
On Nov. IA, 1916. the company tool
out group insurance for all workmel
who had been six months or more Il
the employ of the company.
II can hardly no said that thp sir