BONUS: System could boost business

During my last year in college I worked for Gallagher Freight Lines part time. They had a profit-sharing program that I thought was great. They took 20 percent of the gross profit of the company before taxes and put it in an account for profit share. At the end of the fiscal year the total payroll was divided into the account to determine the profit share bonus going to each qualifying employee.

The year I was there this bonus was substantial. As I recall we were making about $1.10 per hour under a modified Teamster Contract so a full time employee would make about $2200 a year and get a bonus check for over $1000. I know a couple of the drivers bought new cars with their checks.

This was a great program that improved employee loyalty to the company, retention and desire to work efficiently. In the mid-’50s, Mr. Gallagher died and the company was bought by Consolidated Freight Lines, which dropped the program. It was, in my opinion, a really good program and I have always wondered why it was never picked up by others.

RALPH HALLOCK

Hayden