it relies on a combination of management development, employee participation, and shared rewards to improve productivity (Doyle, 1992, p. 58). Management provides the leadership and the organizational structure which fosters increased employee participation in the organization's efforts to attain its goals. To the extent that the joint efforts are successful (productivity improvements exceed an agreed upon base level), the benefits are shared between employees (both production employees, and management), and the organization.
The gainsharing concept has been applied in various American organizations since the early 1930s under a variety of names (Doyle, 1992, p. 62). The more prevalent of the names under which the gainsharing concept has been applied are Scanlon Plans, Rucker Plans, Profit Sharing Plans, and Improshare Plans.
Compensation constraints were identified as barriers to public sector productivity improvement, in a study of local government (Amons, 1985, pp. 293 3
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