BONUS SCHEMES IN INDUSTRY

Press, Volume XCIII, Issue 27962, 8 May 1956, Page 12

BONUS SCHEMES IN INDUSTRY

CARPENTERS’ UNION CRITICISM DECISION BY NATIONAL CONFERENCE (New Zealand Press Association) WELLINGTON, May 7. A decision to refuse to co-operate in incentive production schemes w r as made by the national conference of the New Zealand Carpenters’ and Joiners’ Union which concluded at Wellington last week. The conference heard representatives of Associated Industrial Consultants. Ltd., on the operation of such a scheme by the Fletcher Construction Company on a State housing contract at Auckland. It considered the scheme did not differ fundamentally from incentive bonus schemes operating in other industries, all of which, it said, were detrimental to the workers.

The union’s reasons for opposing the scheme were:—(l) That the scheme was based on a low basic hourly rate of pay; (2) neither the workers nor their unions had any real control over the first or subsequent setting of basic time rates; and <3) such schemes created opportunity, particularly in the building industry, for a decline in the standard of workmanship. Because the scheme was so founded, the conference said, workers should refuse to co-operate in any such schemes, and they should direct their efforts to securing a far higher hourly rate of wages. Associated Industrial Consultants, Ltd., claimed increased production because of better job organisation. The conference, however, considered that that should be reflected in an increase in the basic hourly rate of wages. Finally, the conference urged all building workers* unions to oppose the introduction of incentive bonus schemes, and where they were operating, to make every endeavour to abolish them.