Question

Write a short note on the Halsey Plan of Incentive.

Answer 1

Halsey Plan: This plan was developed by F.A. Halsey and was first introduced in the Weir Engineering Works, England. Under this plan, a worker who completes his job within or more than the standard time is paid on a guaranteed time wage.

For example:

Standard Time (S) = 20 hrs

Time Taken (T) = 16 hrs

Rate of wages (R) = ₹ 10 per hours

Bonus = 50%

Total wages = T × R + 50% (S - T) × R

= 16 × 10 + 50% (20 - 16) × 10

= 160 + `(50/100xx4)`×10

= 160 + 20 = ₹ 180