PSYCHOLOGY OF WAGES

Otago Daily Times, Issue 22903, 10 June 1936, Page 13

PSYCHOLOGY OF WAGES

“Psychological Aspects of Wages and Industrial Unrest ” was the subject of a lecture given last evening in the W.U.A. room at the University. The lecturer, Mr G. G. F. Simkin, deal* fully with the various methods of wages payments and the attitude of trade unions to these schemes. The method of wages payments, he stressed, as well as the amount paid, had important psychological effects upon workers, and hence upon their efficiency. Wages were paid either on a price rate or a time rate basis, depending usually upon the class of work. Time rates were commonest, in those occupations where quality and quantity of work were difficult to measure, where work was not continuous, or where “ speeding-up ” was likely to lead to a poorer quality of output. Piece rates, on the other hand, required standardised work. The essentials for a satisfactory wages payment system on a piece' rate scheme, as expounded by Rountree, were fully discussed, and the different systems of wages payment in operation criticised in detail with reference to these essentials. It was stated that repression in wage- was usually defended on the ground tint extra output must lower market prices of the goods_ produced, and that seienUfic management made the higher wages possible, ajul itself deserved some reward. Profit-sharing, as a wages basis, was commended because by stimulating a collective spirit among the workers it was conducive to greater output. The attitude of the trade unions to the various schemes showed that any wage system, to be satrfactory to both employer and wage-earner, must be clearly understood bv the latter. In conclusion, Air Simkin dealt with the causes of industrial unrest and its significance—namely, a loss of efficiency and human happiness, which had its repercussion throughout the whole . ange of social life, ••specially in politics.