> FedEx needed to move/sort their packages more quickly, so instead of paying employees per hour, they paid them per shift. productivity increased dramatically (employees now had less incentive to take longer hours to do the same amount of work).
That's the way incentives work iff the employees had control over the hours worked. If instead their managers had this control, the incentive would be to make your employees work longer hours, because you don't have to pay them more.
> FedEx needed to move/sort their packages more quickly, so instead of paying employees per hour, they paid them per shift. productivity increased dramatically (employees now had less incentive to take longer hours to do the same amount of work).
That's the way incentives work iff the employees had control over the hours worked. If instead their managers had this control, the incentive would be to make your employees work longer hours, because you don't have to pay them more.