INCENTIVES FOR MAINTENANCE LABOR: EXPERIENCE WITH WORK-STUDY-BASED INCENTIVE BONUS SCHEMES INSTALLED BY HIGHWAY DEPARTMENTS IN THE UNITED KINGDOM

AN INCENTIVE BONUS PROGRAM IS DESCRIBED, NAMELY THE UNITED KINGDOM'S METHOD-TIME-MEASUREMENT (MTM) SYSTEM. THIS MEANS THAT WORK IS REWARDED BASED ON PERFORMANCE UNIT YET DEPENDENT ON A RISING SCALE WITH A CUTOFF BASE ON POINT FOR HEALTH AND SAFETY REASONS. A CODE OF PRACTICE HAS EVOLVED ALTHOUGH EACH MTM SYSTEM IS STILL NEGOTIATED BETWEEN THE HIGHWAY AUTHORITIES AND THE TRADE UNIONS. CRITERIA TO BE USED AS THE GUIDING PRINCIPLES FOR THE CODE OF PRACTICE ARE: (1) CONSULTATION AND PARTICIPATION, (2) REDUNDANCY, (3) PROCEDURE, (4) RELATIONSHIP OF PAY TO PERFORMANCE, (5) MAXIMUM BONUS, (6) APPLICATION OF BONUS, (7) RECORD OF WORK DONE, (8) CALCULATION AND PAYMENT OF BONUS, (9) QUALITY AND SAFETY, AND (10) ARBITRATION. BY COMPUTING THE COST BENEFIT ANALYSIS FOR MEASURED PRE-BONUS AVERAGE PERFORMANCE AND THE ANTICIPATED PERFORMANCE WHEN THE MTM IS OPERATIONAL, THE FINANCIAL BENEFITS CAN BE ASSESSED IN TERMS OF: REDUCTION IN TOTAL COST, AVOIDANCE OF INCREASES IN COSTS WHICH WOULD OTHERWISE HAVE TAKEN PLACE, AND IMPROVEMENTS IN THE SERVICE PROVIDED.

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  • Authors:
    • Cox, Brian E
  • Discussers:
    • Kyser, James O
    • Mann Jr, Lawrence
  • Conference:
  • Publication Date: 1971

Media Info

  • Media Type: Print
  • Features: Figures;
  • Pagination: pp 164-179
  • Monograph Title: Maintenance planning and supervision
  • Serial:

Subject/Index Terms

Filing Info

  • Accession Number: 00218826
  • Record Type: Publication
  • Files: TRIS, TRB
  • Created Date: Mar 7 1972 12:00AM