Biggest western companies uses one job - one wage system. The
length of your employment can affect to your wage and length of
your vacation. Your sex and nationality are insignificant. In
western world, wage cap in between sexes comes the jobs women and
men choose to do. Women do not usually work at assembly lines and
production. People, who makes or works with the sold products,
have the highest wages and priority. Office workers and others has
to settle for less.
The system makes it also impossible to pay bigger wages to
civil servants and politics than to the people in commercial and
productive jobs. If you or your politics start to violate the
basics, it doesn't take awful long after the company / country is
in financial difficulties. When people searches jobs, good or
better wage is one of the most wanted things. On the other hand,
best and busiest people are needed in development and production
of commercially sold products. Then these base companies need
sufficient pool for acquiring new workers. And replacing those,
who retires. Size of this rooster is dependent company's and it's
business sector's growth rate.
Demand for the one job - one wage system came from unions
during 1970s. In union leaders
opinion old system, where each employer negotiated his-her wages
with the closest boss, was unfair. Those, who didn't negotiate got
regular hikes with company owners general decision. New system made wage
negotiations easier for employer and bosses, demand went through
easily, without resistance.
In practice one job - one wage system is fully functional at
company level only. Big nationwide and sector level deals are
adjusted at company level, with company's capability to pay the
negotiated hikes. If you have worked hard, company can pay more
than the big deal would give you. These additional hikes are not
very rare, either.
At some point the system converts into old-fashioned personal
negotiations. Higher bosses and designers are paid by their
personal skills and importance. In smaller, somehow creative
companies, people are still negotiating their wages. Salesmen
often negotiates their wage systems.
Typical salesman has small
monthly salary. Then he-she gets provisions from the deals. System
is valid in real estate business, car sales and a-likes. In the
past door-to-door sellers had this provision system. Urbanization
and private cars have removed the need-and-demand for door-to-door
sales. In the past there was also those Tupperware, etc. sales
events for women, in private homes.
Tupperware invented and manufactured first small
plastic boxes, you use for storing food and other things. In the
beginning, women feared, that the plastic boxes would spoil the
stored food. One person, who had long term experiences from the
usage, was usually needed, before the order was signed : "You
should never buy a pig in a sack."
- - Contract - -
When you or your team work with contract, you are paid by
processed unit, one job - one wage system goes to the money, you
get from one unit.
The money for the wages come from sold products. As long as the
products have enough demand, the speed with what you work ... the
amount of money you get ... are insignificant for the fee you get
from one processed unit. Unlike workers often think and talk, the
faster working speed rather increases than decreases the per unit
fee. In principle faster working speed improves efficiency and
downgrades the number of people, company needs for doing the same
job. Faster speed downgrades also additional costs per unit. These
increase the margin, from which the fee for the contract workers
is paid.
- - Wages and Welfare - -
Wages and wage negotiations are from money. Money is only a
trading tool. In order to improve welfare, you must somehow
improve the efficiency of the company. So that the same number of
people produces more products than before. Or alternatively you
reduce number of people, who are needed for constructing one
product. Mass production and automation are the key things in
improved welfare.
In principle the total yearly hike comes from the increase in
company's revenues. This total hike is divided to workers,
subcontractors and others.
Without changes in efficiency-production, you follow general
inflation. Inflation based hike keeps the wages at the same level
with the general cost of products, which are sold in shops. If the
yearly hike doesn't follow general or personal inflation, welfare
level falls. The inflation hike raises the prices of the products,
company delivers into shops. The inflation oriented hike goes into
next years inflation.
The need for inflation based corrections makes the idea of zero
or marginal inflation impossible. Zero inflation always downgrades
your welfare levels.
The general interest rate for deposits should be higher than
inflation. Interest for deposits gives inflation protection to
saved money / capital. Most deposits are made by common people.
When you run temporarily out of money, it is not very easy to
find a friend or acquaintance, who would lend you money for the
next payday. System is the same in banking. Getting
creditors-deposits to granted loans is not that easy. Banks do not
have special programs / attractions for the people, who takes big
loads. VIP customers are people, who have big deposits in the
bank.
- - Strikes - -
Long time ago company owners gave the financial departments an
instruction about owners and company's share from the revenues.
The company and it's owners takes 10% from the revenues. This 10%
is divided so, that 5% goes to company, and another 5% to owners.
This demand for surplus is added to the prices of the sold
products. The company's share is saved into balance sheet. It is
reserved for bigger investments, like renewal of the assembly line
system. Another common usage is the expansion of the company.
Owners share is wage like thing, it comes from running the company
and providing capital to it.
All companies, that survives from fast growth period, ends into
this system. Until the time, primary product is fully saturated,
system is more complicated.
When part from workers goes to a strike, the additional hikes
they get, are taken from other workers. Additionally strike can
lead into cost cuts and firings amongst those, who went to
strike.
Third way to compensate the hikes is to raise the price of the
sold products. These hikes usually fails, the overall revenues
remains unchanged. When the hike fails, the required production
for the unchanged revenues shrinks. Need for staff, storages,
vehicles etc. falls. When so, company has a good chance to cut
costs. One way or another.
The third way is the way, strikes affects, when whole company
goes into strike. Company and it's owners always takes their
provision.
Christmas bonus from good work is calculated from last years
revenues. If overall financial growth is 4%, and company grows 6%,
the 2% cap goes to bonus system. Another source for bonus money is
cost effectiveness. If the surplus exceeds the owners and
company's share, the additional surplus goes into bonuses.
Talking about surplus, because nowadays companies usually take
their share before taxing. Not after taxing like before 2010.
Announced profits without definition are profits, which are given
to IRS for calculating taxes.
When politics and midgets rallies about profits, they don't
give a shit about owners and dividends. All they care about is the
taxes, they get from the big profits. Highly exaggerated,
falsified profits, always results into big taxes and zero
dividends.
- - Advances and overtime systems - -
Companies, that used to pay wages in cash, it is still often
possible to go into office. Ask advance from the next wage. You
can also get longer interest free loans for sudden, unexpected
costs.
Cash payments ended during 1970s. In the past you went to
office every Friday, every 2nd Friday or once a month. At the
office there was a closed letter with money and your name on it.
Waiting for you.
If your employer operates in 2 or 3 shifts, there is almost
always someone at sick list and you have a chance to do overtime.
Get money for new car, home, holiday and so on. At assembly
lines ( production ) overtime wages are big. The hourly fee
starts usually with 50% hike. After few hours the hike raises to
100%. If company is closed during weekends, full Saturday goes
usually with 50% hike. Rare Sunday hike is 200% - 400%. If you
want to do overtime, you can ask it from your closest boss. They
have shared lists from people, who have volunteered to do
available overtime jobs. Overtime works are not very widely
wanted.
When you work in evening shift, you get 5-10% more than in day
shift. Night shift wage is 10 - 20% bigger than your nominal
daytime wage.
When you leave the production, everything gets smaller. Office worker does overtime work usually without hikes, bigger
bosses without additional compensation. Smaller bosses, who leads
the current shift, have usually the same overtime system, than
workers.
Overtime percentages and shift-related smaller additions are
old things. Too young to remember, but have a hunch, that they
would be older than unions. Just like the advances and loans.
Modern company owners are usually groups of investors. They
share the profits, risks and losses. Demands for big or impossible
dividends are rare. If such demand comes, it almost always has
it's origin in problems with the board, CEO and executive team.
Really big, dominating investors, write the demands into company's
market capital and stock value. If company fails to meet the
demands, sacks are near.
- - Promotions, hiring - -
When there is an open job for boss, the search of new boss has
two tiers, internal and external. Some companies always promotes
bosses from it's own staff. Hardly anyone leaves the own staff
without consideration and inquiries. Drive-in time for staff member
is shorter than for external newcomer.
External search is usually made with ads. Internal search goes
with experiences from you as a boss. In internal search your
educational background is insignificant. Same rule is in effect,
when you have a longer working career. Boss needs social and
leading skills ( with customers / workers / both ), your
performances in interviews are important. If you are not that good with your mouth, R&D departments
hires people with higher education. R&D departments are quiet
places, from bottom to top.
There aren't any general
rules for getting the job. Selection can come from almost
anything. Usually you should give weight to your best qualities
and be rather honest with the things you say. After you get the
job, there is 3 month trial time. Although very rare, during the
trial time you can still lose the job. Without any specific reason
and firing time.
When jobs are fulfilled, young people have lots of motivation
and they are open to new things. Older people have experience, but
motivation is lower. When you hire a person with over 10 years
experience, he-she usually works just like always before, all
attempts to get something new into old system fails. All workers,
who come from the outside, need some time for learning and getting
used to new job, company and company's policies.
- - Firings, Furloughs, Lock-outs - -
Firing needs an acceptable reason. Company's poor economies,
automation, absences from work, misbehavior, stealing, and so on. Slow work
rate and poorer working skills are not acceptable reasons for
firing. These things can be used in evaluation for hiring. Heavy drunkenness
at work is not acceptable reason for firing, either. First you are
asked to go back home or restaurant for wage less day-off. At some
point, after continuous short term busts, you must be taken to
rehab. After rehab you can come back. Pregnancy is not acceptable
reason for firing.
If you get somehow crippled, company tries to find a job, you
can do. This search includes equipment you need for doing the old
or new job. If search fails and company cannot offer you a job,
you are fired.
When company fires you, your work continues 1 to 6 months after
the announcement. Length of firing time depends on the length of
your employment time.
Usually companies pays the wage from the firing time, without a
demand to work. Demand for work depends on company policies and
general terms for the business sector. When you have to work the
firing time, the firing doesn't cost a dime to your employer. In
big lay-offs people often has to work the firing time or part from
it. Company, which is financial troubles, cannot afford to pay the
firing time wages without work and production.
When firing is based on company's financial difficulties or
automation, after firing company has 2 - 4 year time period, when
it cannot hire new people, without asking matching fired people's
interest to come back first.
When you cut your employment, the maximum firing time is one
month. Usually you resign, because you found a new job. One month
is maximum time, employer can delay the change. When you say
yourself off, you usually announce the separation date and your
employer says "Okay".. When you resign, wage payments
and work always ends at the same time.
The last payment you get, always contains wages from earned
holiday days, you haven't used yet.
Some salesmen and R&D people have special terms in their
contracts, you cannot go and work for competitor just like that.
After firing or say-off you usually have to wait at least two
years, before you can take a job from same business sector. In
sales, you are not allowed to take your customers to competitors.
In R&D, key designers are not allowed to take knowledge from
the latest developments with them.
- - - -
Furlough is intended to be a temporal firing. In furlough, your
job and wage payments end without firing time. But your employment
continues during furlough. Two years is usually the maximum length
of furlough. After two years, you have to fire people, who are on
furlough. This limit comes from missing firing time wages and
work.
Some unions have negotiated terms, which forces employer to pay
full firing time wage, when person on furlough resigns ... finds a
new job.
Company cannot hire new people, when it has workers for same or
matching job on furlough. People on furlough must be called back,
before company is free to hire whom-ever-it-wishes.
- - - -
Lock-out is a way, employer can reduce the cost of strike. When
part from staff goes to strike, employer can set lock-out to
those, who are left without work, because of the strike. People in
lock-out are not paid and they don't come to work. Lock out ends,
when related strike ends.
During strike company is free to hire short term strike
breakers. After strike is over, old workers naturally get their
jobs back. Company can also assign other workers to do the jobs,
which is usually done be the people in strike. In commercial
businesses attempts to break the strike are very rare. Modern
strikes are organized so, that essential functions remains fully
functional.
Strikes and demonstrations belong to workers rights. They must
be respected : Company-employer is not allowed to fire or get
pissed with people, who goes to strike or demonstrations. Happens
sometimes with lower bosses.
- - Holidays - -
Typically you get 2-3 days summer holiday from one month work.
One holiday month has minimum hours or days you have to work for
earning the holiday.
Length of employment can increase the number of earned days per
month. Long employment can also result into flat one or two week
addition to your summer holidays.
In most businesses everyone gets Christmas Holidays, which
begins from Christmas and ends to western New Year.
Besides these two standards, there are freely chosen one week
holiday days. Then there are one week winter, spring and autumn
holidays. All with full wage. These additional holidays are
dependent on business sector. Usually it is possible to get these additional
holidays as money. Depends on your chances to work during the
holiday.
For a baby woman gets usually 3 + 12 month holiday with full
wage. You can usually extend care taking leave to 3 years, without
braking the employment. Your employer doesn't take part to
compensations for the leave after 1st year. 3+12 month full
compensation comes usually from general fund, that collect fees
from all employers. After 1st year you are treated like unemployed
mother.
Besides motherhood, you can usually take one year general, wage
less leave from your job. The leave doesn't break your employment
and affect to length related benefits.
Companies, which uses part time workers for fulltime jobs,
almost always set monthly hours so, that part time worker's
monthly hours are few hours short from holiday month.
- - Sickness and accidents - -
During the working hours you are always insured against
accidents and accidental death. Insurances for workers are
mandatory. Fees your employer pays, are dependent on the job you
do.
Usually you get full wage from the time you need for a shorter
visit to doctor, eye-doctor, dentist and health center. At
assembly line you got to inform times and dates for the
appointments in forehand.
When you get sick, 1st day at sick bay is usually without wage.
After that you get full or reduced sick time wage. For wage
payment you need dog's certificate from your sickness. Rules for
sick time wages varies by business sector. Without wage, sick time
is common wage-less absence from work.
Self made sick time note for yourself, your kid, etc. legalizes
the absence so, that you cannot be fired because of it. Longer or continuous
absence, without legal reason, always eventually leads into
firing. Properly pre-announced absences doesn't usually raise your
firing into question. Absence, without time for getting a
replacement for you, needs a good reason. One missing worker can
stop the production and cause enormous losses to employer.
In Europe health insurance fee, which is collected from your
wage, goes usually to public healthcare system. When so, fee does
not have much to do with your personal health and sickness. Money is
used to kids and old, retired people's free or supported
healthcare. Nightingales, Dogs and Drug companies have invented
thousands of ways to waste and increase the wealth insurance fees.
Company can leave it's healthcare system to common healthcare,
which is paid from health insurances. Smaller companies often do
that. Company can also have deals with private healthcare
companies. These private healthcare companies have dogs, dentists,
eye-dogs and hospitals. These private services easy and free for
the employers. If the services are partially compensated from
health insurance, the healthcare company sends compensation demand
to healthcare fund, and bills the rest from the employer.
- - Unions - -
There are unions to all workers and jobs. With an exception of
highest bosses, who reports directly or indirectly to owners and
boards.
Unions have activists / contact persons at their primary
business sector companies. Soon after your employment, your
closest shop steward comes, introduces him-herself and the union
to you. Although you weren't a member or joined the union, you can
get advise and help from them. In bigger companies, workers or
rather shop stewards and unions have one or more seats and votes
in company's board.
Typical union collects money for unemployment fund. The fee is
around 1% from your wage, it is insurance against unemployment.
When the member of union is fired he-she gets higher unemployment
compensations from the union's fund : During first two years of
your unemployment you get 80% from your wage. After that you fall
to the common welfare compensations. And so on.
Each business and working sector has ruling union for the
workers. Assembly line workers for different business sectors have
their own unions. Mechanics, office workers and other smaller
worker groups have unions, which negotiates terms and wages for
all mechanics, office workers, etc.
Assembly line workers are usually well organized. When
possible, smaller groups usually tries to get into assembly line
workers better terms and hikes at company level. Organization
level is not as high as with productive, assembly line
workers.
Bosses union is usually high-school engineers union. High
school engineer is the most common education for a boss. Besides
engineers general union, teachers, doctors and other bigger
professional groups have union.
- - Court for workers - -
There is a special court, which handles worker-employer
conflicts. It handles law oriented, union level deal and worker
level deal oriented conflicts. Great deal from earlier acceptable
reasons for firing comes from workers court. When new questionable
reason for firing pops up, unions takes it workers court. Legality
of almost all imaginable reasons for firing have been checked in
workers court. When you call union lawyer, he-she can tell whether
of not your firing was legal.
- - Base businesses - -
Base production and commercial base services spreads the money and
wealth to others. Besides base businesses, in modern world,
all countries need one or more base export products.
Base business uses raw materials for creating products for consumers.
Food factories and food processing facilities are the most important base
businesses. They get the raw materials from farmers. Machinery and
vehicles for farming, packing and food delivery chain are also needed.
Then comes other daily products.
Cloths, clothing, furniture, home appliances and houses are important.
Private cars are nowadays near these four.
From the bottom you find oil drilling, forest industry and mining
industry. And also power plants and grids. Cloth and shoe makers get their
raw materials from farmers and oil companies.
Farming is a special capital oriented base business. You don't
need many workers, but you need land for farming. With one
hectare, you can farm food to 10 to 20 people, one acre is enough
for 5 to 10 people. During one year calorie demand one person is
around 400 kg corn ( corn-wheat-rice-rye-oat-etc ) or 800 kg meat
( + lots of food to cattle ) or 1 600 kg other vegetables and
fruits.
Base service is a thing you do to people. This must-do-thing is
so difficult to do, that it needs special skills. Haircut is good
example from rare base services.
As group entertainment, spare time and holiday are the least
significant businesses in the world. When economies goes down,
these three are the first and worst beaten businesses. In 1990s ad
sales had a small peak in the beginning of the recession. Nowadays
ad-sales falls to marginal levels ( with other charitable costs ),
right after the financial indicators go to red.
When you go to tax money, school-education-base science is the
most important thing. Education is always either fully or
partially paid from taxes. Military is second important, it is
fully paid from taxes. Roads and routes have high priority in
importance. Kindergartens and support for the poor, unemployed,
crippled, retired and old people belong to tax systems with bigger
importance.
West European countries uses progressive taxation. Tax percent
raises with your incomes. Typical tax percent for full time worker
varies from 30% to 50%. Small incomes from periodic or part time
work are tax-free. 50% is usually the maximum taxation percent
from incomes.
- - Power in company - -
Board has the highest power in company. Board meetings are
usually held once a month. After board comes CEO + Financial
Manager and the rest from Executive team. Executive team is the
first, that comes to work everyday. Typical executive team gathers
once a week.
In meetings, decision goes to open voting, if there are two or
more supported proposals. In voting chairman of the board and CEO
has 1.1 votes. When voting goes even, result goes with chairman's
or CEOs vote.
Owner or owners are the only ones, who can override board's
decisions. Typically owners gathers once year, into annual
meeting. Annual meeting is typically the only fully powered
shareholder meeting. In annual meeting owners accepts and decides
dividends. Increase in stock capital needs an approval from annual
meeting. Some job assignments, bigger projects and bigger
purchases need approval from annual or general shareholder
meeting.
Active owner is a trustee, who presents major owners of the
company. Typically active owner's background group owns over 50%
from the company. If the board and executives bullies too much,
expensive company's stock falls too much, key owners can authorize
an active owner to company, who takes the lead. Two temporal
trustees or active owners can sometimes seen in annual meeting.
After verifying their ownership, they give the board and executive
team literal orders from the key owners. These orders can be
anything.
No one can override owners decisions. This includes insiders,
outsiders, politics, midgets and IRS. Owners decisions and
requests must be executed. Others can only sue owners to court.
Company is owners property, just like owned car or home. Western
capitalist legislation gives strong support to ownerships. This
support includes owned companies.
- - Usage ratio - -
Productive factories have often related usage ratio. Typically
the usage ratio varies from 60% to 80%.
Usage ratio doesn't refer to the degree of enslavement. Full
100% ratio is calculated from machines and assembly lines
production capacity. Typical working day is full of shorter and
occasional longer breaks. And also times, when machines are
outputting products with limited speed. Shorter breaks and smaller
slow downs are invisible to workers. They show only in daily
output.
Usage ratio is the difference between actual and theoretical
maximum output. Usage ratio is a thing, companies, that design and
build machines to factories talks. Capacity, usage ratio and
running & maintenance costs are the key things in machines for
factories.
- - Personnel policies - -
Company has only one personnel policy. When company expands to
abroad, the new branches have same personnel policy than others.
In production transfer to low cost country, company typically
keeps the policies and benefits. The wages are adjusted to local
levels and relative differences in between jobs are held
unchanged.
Base for personnel policies comes from the old or new owners.
Hollywood established starship policies over 100 years ago,
right after people started to watch movies. Fair personnel
policies in old companies and business sectors have also long
traditions. Boys sponsors have been warmly welcomed, widely
wanted, new owners. They bring money and their own personnel
policies to the key developments.
- - Scope, UK and comparisons - -
These things are valid in European base businesses and base services. Boys sponsors'
big European companies these rules are followed most
closely. Generally speaking, the farther you go from base businesses, the poorer
your wages and benefits are.
United Kingdom is an exception to general rule. In publicity,
UK is the closest European ally to USA. UK is not an
underground-ally to USA. Conservatives held power in UK for a long
time. In other European countries labor or social democrats held
the power. In West Germany the ruling Christian party was Soviet
oriented, just like labor parties.
During the 20 year long, BBC-IRA powered, conservative rule, UK
workers typically lost their jobs and benefits. At the same time
other West European workers got new benefits. When UK workers
demonstrated and held strikes for keeping their jobs, other
Europeans did the same for getting more money and benefits to
themselves.
Japan and modern USA are rather far behind Europe in these
things. USA naturally used to be the leading country in workers
rights, benefits and wealth. Long ago, in early 1980s, Japan was
said to be the leading country in automation.
Communists countries haven't been capable of combining
wealth-welfare with work-motivation. You don't have to work much,
but your low, stinking living standards follows the poorer quality
and lazy rhythm of
work.
Rewarding wage and benefit system, gives good feedback from
harder work and sweating. Rightful rewards gives you good thumbs
up feelings and motivation to work. Makes the work more enjoyable.