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Has anyone tried "Piece Work" to pay employees?

Working at McDonald one is competing with Burger King and the like
Joe Blow in a tool shop is competing with the guy in China or India, and that is a dead end with some in our government supporting China over the USA. Bring the USA farmers down to room and board with little pay, and we might have a chance.
 
Just talked to a guy had a mold shop and paid his employees by the piece. Had to up his QC quite a bit to maintain the quality that he needed going out the door.
 
Working at McDonald one is competing with Burger King and the like
Joe Blow in a tool shop is competing with the guy in China or India, and that is a dead end with some in our government supporting China over the USA. Bring the USA farmers down to room and board with little pay, and we might have a chance.
If you're competing with China or India, you should reanalyze your business plan.
 
QT: (If you're competing with China or India, you should reanalyze your business plan.
It is not my business plan.)

It is not my business plan but is the world's current situation. A job, a shop or business trying to manufacture goods is in completion with Germany and the like who have a high living standard, and with competing China and the like, who have a lower living standard, the odds are stacked that one competes with much lower prices.
For example, an item that finishes with shipping through our US postal service for free shipping..when if made and shipped in the USA just, the shipping charges are higher than the product costs.
The USA loosed billions, and some government Bozo puts millions in his pocket.

The guy/gal Flipping burgers or mowing lawns is not competing with China workers.
A job, a shop, or a manufacturing business competes with China and India.

For a time, I wondered why this foolishness would be, but now I am beginning to think kickbacks to government people is one reason behind it.TheUSA
 
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We are trying to come up with ways to get employees to be more productive, without sounding like we are being slave drivers. I used to have a roommate who was a welder, and he was paid for every fitting he was able to weld during his shift, pretty much leaving how much money he wanted to make up to him. I want to know if there are any shops out there that have tried to pay their employees, using this method. I would think it would go something like this. The employee makes $16.00 per hour. The machine they run has been proven that it can produce 10 parts per hour. If we set a goal of 80%, that would mean that the employee would have to produce 8 parts per hour at $2.00 per part to make his $16.00 rate. The upside is, that employees, with minimal effort, can give themselves a raise to $18.00 or even $20.00 per hour depending on how hard they want to work. Produce more parts, and make more money. Granted, this is all dependent on them producing good parts. If the employee has downtime between parts and wants to make even more, they could possibly be assigned a small job assembling parts with o-rings and seals and get something for that. I would think, it would benefit both the shop and the employees equally. As it stands right now, employees feel they can make 4 per hour, 6 per hour, or 10 per hour and still make the same, so why put more effort in when the pay is the same? Any thoughts on this would be greatly appreciated.
Have you tried any productivity tool/app for frontline workers?
 
I worked at a shop where we used time cards to log time on each job. The data was to aid bidding. I was told that if I had a machine problem, or even a screw-up, to log it in.
It was a great shop/job that paid very well; all the guys supported working hard and supporting the output. Cut More Tool In Warren, Michigan.
 
really bad idea in the machining world, sometimes you need a guy helping you with a complicated program, no one would help eachother.
I knew a guy who would sabotage a tool-grinding program, so the guy on the next shift would run bad parts. Mostly not enough to break a grinding wheel.
Really dumb because it was a pride thing as there was no benefit to doing that.
 
Hopefully, he got fired and blacklisted to any tool grind shops within a 100-mile radius.

He was an old-timer on his way out. I secretly told anyone who would have to follow him. He had a couple of program changes that he used. So to knowing what to fix it was easy to counter his foolishness.
 
For real.? This outside of any laws in the USA I know of.
Add ons for higher performance fine. Base?
Yes I know the floor, workers and pay in many tier one and tier two plants so perhaps say a name.
Piece rate is legal, it just requires more bookkeeping. You still need to track hours and ensure that it exceeds minimum wage and that you pay overtime.
 
Piece rate is legal, it just requires more bookkeeping. You still need to track hours and ensure that it exceeds minimum wage and that you pay overtime.
Wonder if you have considered doing such and talked to your $300-$500 per hour lawyers about it?
Piece rate bonus might be different that piece rate pay cut.
It does vary by state so mine may be different.
Plus is fine, minus may put the employee into a different box.
Sticky wicket in Michigan.
This seems like a super easy way out of actual managing or running a shop.
Why low performers? Whose job is it to get them up to speed?
If many of the class fails is the teacher or the students?
I track rates to minutes per shift and seconds to part. "15 second load/unload.. this should be 8 average".
That adds up and it my job to show why.
98% of people want to do a good/great job and feel happy when they go home.
 
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Wonder if you have considered doing such and talked to your $300-$500 per hour lawyers about it?
Piece rate bonus might be different that piece rate pay cut.
It does vary by state so mine may be different.
Plus is fine, minus may put the employee into a different box.
Sticky wicket in Michigan.
This seems like a super easy way out of actual managing or running a shop.
Why low performers? Whose job is it to get them up to speed?
If many of the class fails is the teacher or the students?
I track rates to minutes per shift and seconds to part. "15 second load/unload.. this should be 8 average".
That adds up and it my job to show why.
98% of people want to do a good/great job and feel happy when they go home.
I can't speak to Michigan. Federally there's no issue. The DOL provides guidance for calculating overtime, etc.
 
My grandfather was a piece machinist. He would go shop to shop wherever he was needed. All manual work. He would get paid a flat rate to set up and have everything he needed right by him within arm's reach. Then he would run whatever parts was needed at a price per part according to the complexity of the part. He done this for years until his health forced him to retire when I was about 10 years old. These days I do not see this system working at all. Too many people will try and game the system and if there is dependency on another department to get a person their parts it can lead to issues.
 








 
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