Originally Posted by
sailingfun
This type of pay system has been looked at many times. There was a excellent letter that was about 2 pages long that talked of all the pros and cons of going to this type of system. I wish I still had a copy of the letter because there were lots of issues that most would not even think about that it causes. The one interesting conclusion was that it would not reduce overall training nearly as much as most people believe. The total training reduction was expected to only be in the 15 to 20 percent range. In addition you would have to rebid the system. That rebid would create a massive training load over 2 to 3 year period. It also of course eliminates all pay raises from new equipment. I was at first interested as it would have benefited but after reading a well researched letter and talking with a few others it became clear that the current system is flawed but better.
I am not endorsing or opposing a new pay system, however if we were to switch, the company would simply determine what the internal rate of return would be on the investment to switch with the costs being additional training in the near term. You can't tell me that for the company to realize a 15 to 20 percent reduction in training (into perpetuity) they would not be interested. That would be a significant reduction and if it is the case and we made the switch, I would expect that we should share the benefit.