Harvest sharing is:

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• Based on the Parable of the Sower (Matthew 13:1-23, Mark 4:1-20, and Luke 8:4-15)

• Likened to a productivity bonus given to the employees whenever there is profit (we have an open book policy which allows all employees to inspect our books)

• Amounts given depend on an employee's monthly scoreboard (an evaluation sheet that measures his productivity, efficiency, and overall professionalism) UPDATE 2020. We now use a Profit Sharing 401K, where 1,000 hours of work in the calendar year are required to participate in the program. This is administered by a third party called PAI and the program is called Copilot. 

• An employee is not required to recruit another person to be an apprentice in order to participate in harvest sharing

 

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WHAT

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Harvest pay is a productivity bonus. It is an incentive given to employees so that they may have some cash during the off-season (or slow season, i.e. winter). We want to reward employees whenever possible since we all contribute to our company’s success with our hard work.

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The focus of a productivity-based excess profit incentive system is to reward the employee based on the work performed over and above the minimum productivity standards and profitability goals established by management, as opposed to a bonus given based on entitlement.

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Every company has several obligations: to generate enough cash flow to meet the company’s daily cash requirements for the entire year. For example, insurance, and van payments (as well as many other expenses) continue over the winter when revenues are scarce. Therefore frugality dictates that we must have cash reserves in peak season to cover valleys in the slow season. What is more, a portion of retained earnings is earmarked for purpose-driven items including sharing profit with the majority and minority shareholders as good stewardship and prudence would reasonably follow commiserate with the risk involved in the business practice, to invest in future growth, to allow the owner(s) to maintain a fair quality of life, and assure all employees a fair wage, a path to advancement and safe work environment.

 

WHO

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All employees regardless of designation or status are eligible to receive Harvest Pay.

            Exceptions:

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• Those who have been working in the company for less than one thousand hours (1,000).

 

WHEN

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It is given before the year ends (winter, to be specific), and it will depend on whether there are profits to be divided among employees. We have an open book policy and every employee is encouraged to learn the numbers.

 

HOW

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Two conditions for awarding Harvest Pay:

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• Our company should have exceeded its annual financial goals.

• Management must approve the bonuses.

 

An employee’s Harvest Pay will depend on his performance:

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• Positive reviews after we surveyed a customer

• Exceeding goals, either financial or nonfinancial

• Performing additional duties from what is expected.

• Serving as a good example of professional behavior to other employees (e.g. teamwork, ethics, leadership.)

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