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Socio-economic issues of promotion and labour motivation in agricultural organizations

Author

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  • Vladimir Belkin
  • Nadezhda Belkina

Abstract

This paper discusses the typical labour stimulation system in Russian agricultural enterprises, based on the tariff-salary system. It is shown that this scheme inevitably leads to equal wage distribution between all workers except piece-workers: this causes demotivation of time-worker, professionals and managers. Internal economic mechanism built on the basis of tariff-salary system does not correspond to market conditions. To solve the urgent problems of labour stimulation in the Russian agricultural companies in terms of market, a labour evaluation and payment system called «Rost» is suggested. It is already implemented in a number of agricultural enterprises of Perm and Chelyabinsk regions, showing high economic and social efficiency.

Suggested Citation

  • Vladimir Belkin & Nadezhda Belkina, 2011. "Socio-economic issues of promotion and labour motivation in agricultural organizations," Economy of region, Centre for Economic Security, Institute of Economics of Ural Branch of Russian Academy of Sciences, vol. 1(4), pages 240-248.
    • Handle: RePEc:ura:ecregj:v:1:y:2011:i:4:p:240-248
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