Wage incentives are performance related incentives offered to the employees to excel in their work.
Essentials of a sound incentive plan-
* Standard criteria laid down for performance evaluation.
* It is essential to incorporate minimum wages
* Incentive plans should be simple
* Finalise the incentive plans after consulting the workers.
* The offer in the incentive plan should be the same to all the employees.
* The plan should be economical.
* A good plan should be flexible..
* The incentives should be adequate enough to motivate employees.
* The incentive payment should be made available to the employee immediately.
* A proper performance appraisal mechanism should be.