The CleanAir System
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Team
Profit Sharing
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Team Profit Sharing is the bonus plan for USA employees not covered by the P&P program 1. Profit and Sales (internal and external) for each operating team for the quarter is determined. 2. Corporate Overhead (G&A) costs, for the quarter, are then spread among the operating teams on a pro rata basis of their total sales (internal and external) to the total internal and external sales of all the operating teams. 3. If after adding these costs the operating team still has a positive bottom line for the quarter then it is on to the next step. If the bottom line is negative then the amount available for sharing for this team is zero and no further calculations are done for that team. 4. The total amount available for sharing is comprised of two parts: Part 1 - 2% of the team's quarterly profit after an allowance of 14% Overhead costs. Part 2 - 4% of the Company's quarterly profit is available to the operating teams on a pro rated basis of each operating teams total sales (internal and external) to the total company's operating team sales (internal and external). These two parts are added together and the total is distributed to the team employees by a method decided by each team. 5. The employees who are not in an operating team get an amount equal to the total of all sharing money available divided by the total number of employees eligible for payout in the operating teams. 6. Payments are made, for salaried employees, on the payroll of the 15th of month following the end of the quarter. Hourly employees get their payment on the payroll that occurs on the 15th or the first one immediately following the 15th of the same month. Part 3. There is also an occasional quality bonus awarded to a team exceptional quality achievement (QIP award or Quality Audit). This award is a 33% increase to the quarter bonus. The winner of this award will help select the next quality award winner and help to improve the quality award selection process. |
Updated : May 13, 2005