Profit Sharing and Gainsharing: A Review of Theory, Incidence, and Effects
AbstractThe slowdown in productivity growth since the 1970s has led to increased interest in alternative compensation schemesâ€”such as profit sharing and gainsharingâ€”that might raise worker productivity and reduce turnover. In this working paper, Jones, Kato, and Pliskin summarize the rise in popularity of profit sharing (PS) and gainsharing (GS) plans; review existing theoretical and empirical work on PS and GS; and highlight findings that relate the effectiveness of such programs at raising productivity and enhancing employment stability. They also note that some existing studies contain some econometric problems relating to plan and model variables; there are measurement problems as well. Their paper primarily focuses on PS plans.
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Bibliographic InfoPaper provided by Levy Economics Institute in its series Economics Working Paper Archive with number wp_125.
Date of creation: Sep 1994
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Other versions of this item:
- Derek C. Jones & Takao Kato & Jeffrey Pliskin, 1999. "Profit Sharing and Gainsharing: A Review of Theory, Incidence, and Effects," Macroeconomics, EconWPA 9903010, EconWPA.
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