BY LISA DONOVAN
The Cincinnati Enquirer
A proposal that would reward city of Cincinnati employees for saving tax dollars on the job has received mixed reviews from city officials.
The so-called "gainsharing" program was introduced in April by Councilman Phil Heimlich to provide monetary rewards to employees who devise and successfully implement cost-cutting measures on the job. If approved, a pilot program could begin as soon as 1999. In a report released Wednesday, City Budget and Evaluation Director William Moller said:
The plan encourages teamwork within divisions.
Such a program might deter employees from buying tools they need in the belief they are supposed to be saving money.
The public might not be receptive to cash bonuses for city employees who suggest improvements that could have been made anyway.
Mr. Heimlich said employees -- whether in the public or private sector -- will do better work if there's an extra incentive.
"Businesses that are successful reward their employees for working hard and coming up with great ideas -- there's no reason government should not do the same," he said.
Under the incentive plan, city employees would be eligible for up to 50 percent of any savings the city realizes under the previous year's budget. At the same time, there must be proof that the quality of service has been improved.
A team would be established for each of the city's divisions and would include the city manager, department and division director, a union representative and a management employee.
Before doling out the money, the city manager has the final say on whether the goals have been met.
As much as half of the money might be paid out to employees in the affected division. With a few exceptions, the other half would go back into the city's general fund.
In his report Wednesday, Mr. Moller states that if council approves the program, the city administration would develop a pilot program -- possibly in the Water Works Department -- beginning in 1999.
Council could vote on the measure within the next few weeks.
