Asked by Jamie Wilson on Jun 15, 2024

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Briefly describe the Scanlon Plan.

Scanlon Plan

A gain-sharing program that incentivizes employees to improve productivity through rewards that are based on saved labor costs.

  • Comprehend the various elements and challenges involved in creating goal-sharing and gain-sharing programs.
  • Identify the distinctions between goal-sharing and gain-sharing approaches in relation to their configuration, widespread acceptance, and tiers of success.
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Salsabila ZahirJun 20, 2024
Final Answer :
The Scanlon plan is based in the development of a cooperative relationship between workers,the union,and management in establishing a process for problem solving and productivity improvement,which in turn will yield quantitative savings to the firm.It has been modified over time and may include savings of costs beyond labour.Based on improvements from a historical baseline,the savings are shared between the work group and the organization.