| A value for each activity is calculated using
Engineered Labor Standards, the Activity Based Compensation matrix,
and each employee’s wage rate.
Our GenTrax workforce analysis software provides the
infrastructure you need to enable accurate calculation of Activity
Based Compensation programs and consistent reporting from multiple
departments and facilities.
Activity Based Compensation consists of Event Pay, Unit
Pay, Delay Pay, and GainShare Incentives.
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| Event Pay is compensation for events
occurring during the employees work day that have been assigned a
specific value. Start of shift, obtaining a work assignment, paid
breaks, end of shift, and pre and post trip vehicle inspections are
all Event Pay items. Unit Pay applies to production
work. The employee receives Unit Pay based on the work assignment
(size of assignment, travel distance to complete assignment, and
equipment used are some examples of the components). Unit Pay items
are eligible for GainShare Incentives.
Delay Pay compensates the employee for meetings,
major spill clean up, major collapse of product, battery changes,
store receiving doors blocked for delivery, and other similar items.
Delay Pay is paid at the employee’s wage rate for the duration of
the delay, but does not allow any opportunity for additional work
assignments or GainShare Incentives. Delay Pay is less valuable to
the employee than Unit Pay since it only compensates for their time
not their additional productivity.
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