Effects of Employee Ownership

The motivation of employees and the improvement of productivity are topics which have generated significant levels of interest for management, labor, government, and academia for several decades. One of the many approaches employed as a means of enhancing both motivation and productivity is one that is based on profit sharing between an organization and its production employees. It should be noted, however, that the profit sharing concept has never been widely implemented with respect to production employees by large North American corporations.

The profit sharing concept may be employed in several ways. Probably the most common application found in the United States

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gained through past years of collective bargaining. In many instances where employees refused to grant such concessions, plants and operations were closed. In some of those cases, as a means of preserving their jobs, the employees formed groups to purchase the plants and operations to be closed. Although employeeownership of business had surfaced in the American economy prior to the economic recession of the 1980s, the phenomenon reached a higher level of activity in the 1980s than at any time in the past. The concepts and phenomena that are directly related to the profitability and performance of employeeowned firms are motivation and economic concentration. Motivation is a widely studied dimension of behavior and performance within organizational environments. Motivation is personspecific, although it concerns both individuals and organizations. Although many approaches to the motivation of individuals within organizations have been advanced, implemented, and discarded over the years, two have fairly well stood the test of time. These two are Maslow's hierarchy of needs and Herzberg's twofactor theory. Maslow divides individual needs into higherorder needs and lowerorder needs. The lowerorder needs, su
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Some common words found in the essay are:
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Approximate Word count = 2543
Approximate Pages = 10 (250 words per page)

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