Indianapolis Times, Indianapolis, Marion County, 30 May 1951 — Page 12

PAGE 12

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Ma. 4461

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CHECK YOUR WATCH!

* Expert Watch Repairing *

a

Incentive Pay Plan

Of Defense Plant -

By DOUGLAS LARSEN

Times Special Writer

GLENDALE, Cal, May 30—One of the hottest war production ideas in the country is the incentive pay plan

Licks Labor Problem

of General Controls Co., makers of jet engine controls and |

‘numerous other vitally-needed aircraft apparatus. Its amazing success at licking most of the knotty labor problems plaguing America’s expanding war industries

THE INDIANAPOLIS TIMES

NZ has aroused the interest of in18 N.ILLINOIS J streer ©

Cloypos! Harel Big

{U. 8. Here is what the plan has |accomplished for General Controls: It has reduced turnover to a {minimum of less than one-half of one per cent. Absenteeism is practically non-existent. While |other West Coast industries are {frantically recruiting workers

applications. About the only way [to get in is to know somebody in-| side the plant, The company gets| along fine with the union—Inter-|

[ists. Doubled Sales

The diligence and hard work | {which the plan inspires among] {its workers give the company a | favorable competitive position in! |its particular market. It probab-| ly has one of the highest produc-| |tion-per-worker rates of any in-| {dustry in the U.S. independent {labor experts agree. Last year it |doubled its sales to $13,200,000. | There is not much basically] |new about GC's incentive plan. IA standard is set for a particular) job, based on what the average

ROBERT E. KIRBY

Kirby

MORTUARY 19th AND MERIDIAN WA-3331

CARNIVAL

COMING TO TOWN!

that average. { It is the completeness of the]

There are 30,000 different meas-| ured standards for

{collar workers have over which they get pay. | High Average Pay The result is that each employe makes about $2000 a year above his basic salary—and above the average for the Los Angeles area. With other pay ideas the average employee of General Controls now makes about $5000 a year, and many production workers are {in the $9000 to $10,000 bracket.

standards

jt discovers some way to speed up the production method he is given exactly half of what it

WATCH FRIDAY’S

, delights Pentagon officials. It| . employee will make himself

|dustrial experts all over the

all

General Controls is swamped with |

‘|national Association of Machin-| |get $16,000 in a lump sum. If the |

worker would accomplish without| operation of the plant, he loses a joating during an eight- hour day.|part of his extra pay. It provides hen an employee is paid extraa human group-control oo everything he produces over loafing, clock-watching or exces-

plan, plus some new wrinkles, ington who watched the plant in ‘which makes GC's version unique. operation described it this way:

1200 em- | job as our party walked through. |ployees. Even many of the white-/I never saw such a minimum of

incentive body was

On top of the incentive plan is a suggestion plan. When a work-|

{saves the company during one expanded production next year of

NEWSPAPERS year. For adding a belt-line con-|that coarse fiber crop in western

veyor to a particular welding Job! hemisphere countries.

$4000 this year, for example.| That's on top of his other pay. In addition, GC has a profit-| sharing and retirement income, plan. When an employee has heen with the company two years he, is permitted to put $100 a year in a fund, which is added to by a part of the company’s profits, and which is then invested for more profit by a Los Angeles bank. 5 to 1 Return Last year for every dollar an employee put in the fund, he made close to $5. The most conservative estimates figure that after 30 years, an employee would |

SWEET MUSIC—Singer Elton Britt is shown leaving a New York airport for Korea to entertain GIs for four weeks under the auspices of the U. S. Army. Britt is the first major

| recording artist to entertain company continues to expand and]

Increase its profits as it has, 4 that sum may be considerably | Al Jolson, and he'll tour U. 8. higher. camps when he Jetums,

| Korean troops since the late |

WEDNESDAY, MAY 30, 1951

Anglo-lranian Oi Firm Pays Huge Tares to British

By United Press LONDON, May 30 (UP)—Sta-

[tistics of the Anglo-Iranian Oil] [{Co. showed today that it pays the [British government more each year in taxes—not counting divi-|

|dends—than it pays to the Iran{ian government in royalties. The British government also |collects dividends since it owns a 56 per cent interest in the firm. Part of Iran's complaint jagainst the company, a vast enterprise with installations in (many parts of the world, is that {Iran doesn’t get a fair share of the profits. In fact the Anglo{Iranian Co. pays the lowest rate lin royalties of any Middle Fast- || ern oil concern. In 1950 the company paid Iran |about 16 million pounds ($44 million) for oil royalties. In 1949, the last year for which tax figures are available, |the company paid the British govjernment 22,480,000 pounds ($63,- | 840,00) in taxes. The 1949 roy|alty payments to Iran totaled only 13 million pounds ($37,800- | 000). The company's 1949 net profit | was 18,930,000 pounds ($51 mil-

{ lio and it paid out more ‘than v

Probably the most original idea in GC’s incentive plan is a gimmick which inspires intense cooperation among employees. A worker actually only gets 60 per cent of the extra pay he earss. The balance goes for plant-wide distribution. This keeps a worker from doing his job merely for speed. He knows that if he does a faulty job which might hold up another

against

|sive trips to the water cooler. A defense official from Wash-

“Nobody looked up from his

wasted effort or loafing, yet noknqgcking themselves out working, as far as I could see. You saw intense concentration coupled with intense co-oper-ation in every phase of the work.” At first, before 1943, the GC incentive plan was branded as a simple speed-up- by the unions. They fought it and struck against it. Today, the union insists on the

Eyes Examined plan in its contract.

Glasses On Credit

Plans to Save Kenaf WASHINGTON, May 30 (UP) —The Agriculture Department announced plans today to stockpile a quantity of kenaf seed for

OFFICE HOURS: 9:30 TO 1 2 TO 545

Eyestrain Is Expensive

GLASSES

ARE NOT!

Loss of efficiency on the job . the danger of serious accidents . . . this is the price you could pay for neglect of poor eyesight. Be sure your eyes are right. Let Dr. Farris thoroughly examine them . get glasses, only if they are needed.

Bly

Offices at

(lion and it pay out more than 7 |million pounds ($19 million) in|

|dividends and put aside 11 mil- |

|lion pounds ($30 million) reserxes. Exact Figures Unavailable Exact figures were not available on. how much—in terms of money—the takes gut of Iran each year and| how much of its earnings are! {not exported.

for |

—.

THE PEOPLE'S DENTISTS

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Daily Except Sunday

~ Phone LI. 3995 36'/> W. Washington St.

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