American Journal of Business Management, Economics and Banking ISSN (E): 2832-8078 Volume 20, | January, 2024 P a g e | 296 www.americanjournal.org THE ECONOMIC BENEFIT OF THE EMPLOYEE IN DEVELOPED COUNTRIES AND MODERN METHODS OF ITS IMPLEMENTATION Umarova Gulchehra, senior lecturer Namangan Engineering Construction Institute A B S T R A C T K E Y W O R D S In the conditions of a developed market economy, various ways of realizing the economic interest of an employee are used, which are reflected in enterprise management models. The most common are the «American» and «Japanese» models, which take into account the peculiarities of the historical and economic development of the two countries and, first of all, the mentality of the population formed over the centuries. In this article highlights of the economic benefit of the employee in developed countries and modern methods of its implementation. Market, economy, interest of the employee; development of society, incentives and motives; working conditions, state and human. Introduction In the production process, it realizes his ability to work and is interested in his labor being paid by the employer in accordance with the price imputed by the market. In the labor market, the economic interest of the employee is opposed by the employer with the interest of maximizing profits and wages corresponding to the factor price. In a developed market economy, various ways of realizing the economic interest of an employee are used, which are reflected in enterprise management models. The most common are the «American» and «Japanese» models, which take into account the peculiarities of the historical and economic development of the two countries and, first of all, the mentality of the population formed over the centuries. Thus, characterizing the personality of an employee in Japan, it should be noted that in the hierarchy of values, Japanese labor comes first. They are satisfied with a job well done, adapted to the conditions of strict discipline, high rhythm, work intensity and agree to overtime work. This has formed a set of rules, the departure from which causes the employee dissatisfaction. Within the framework of primary production units, collective forms of labor organization are used, which have formed a «social person» with a specific system of incentives and motives. Incentives are implemented through wages, working conditions, leadership style, and interpersonal relationships. The motives for high- performance work are the success of the employee, recognition of his merits, service and professional growth, the degree of responsibility delegated to him, the opportunity to realize creative potential. The attitude of the Japanese towards the concept of «social person» is more flexible than that of the American Journal of Business Management, Economics and Banking Volume 20 January, 2024 P a g e | 297 www.americanjournal.org Americans. Unlike workers in other countries, they do not strive for unconditional fulfillment of rules, instructions and promises, since they build relationships with their partners on the basis of trust. Before the emergence and development of capitalist relations, there was an equalizing remuneration for work in the rural community, which left a deep mark on the Japanese national character. In the process of establishing industrial production, work motivation systems were developed taking into account the prevailing desire of workers for an equalizing distribution, on the one hand, and the personal contribution of each, on the other. When hiring, the same amount of remuneration is established, which subsequently increases depending on the length of service at this enterprise. The strongest motive for working in Japan is the «corporate spirit», which means «merging» with the company and dedication to its ideals. It is based on the psychology of the group, which puts the interests of the group above the personal interests of individual employees. With such a system of relationships, not only strong work motivation is provided, but also a long time. the employee's temporary interest in the prosperity of the corporation. Moreover, the employee is considered a member of the «production family», and not an ordinary «mercenary», so his responsibilities and rights go far beyond the scope of basic work duties. In other words, an employee is hired not just to perform specific production functions, but to use them «entirely», encouraging them to reveal all their abilities, realize all professional and human potential in the interests of this enterprise. Thus, many large companies focus on training employees in a wide range of professions within the framework of their profile, which allows for job rotation. Currently, the rotation of labor, along with its attractiveness in new jobs (better prospects for self-expression in the labor process, greater career opportunities, etc.) are considered in Japan as one of the important conditions for strengthening labor motivation and improving the social climate in the team. Obtaining job security guarantees reduces the fear of losing jobs in the process of continuous technological improvement of production. In addition, employees are more likely to sacrifice short- term benefits for themselves in favor of creating a more efficient organization in the future. Upon reaching retirement age, the following employment options are possible: - stay at your company, if it is interested in this, but on the terms of a fixed-term employment contract; - transfer to another company on the terms of a fixed-term employment contract; - combine work at your own and other enterprises; - start your own business, if financial opportunities allow; - to exist on a very modest, according to Japanese concepts, state pension and/or savings, as well as on the funds of their children. Unlike in Japan, in the American system of short-term employment, an employee is associated with an enterprise only by an employment contract that determines the scope of mutual rights, duties and responsibilities of the parties. An American employee is not as committed to the company as a Japanese one, even working in a team. Therefore, in the conditions of the brigade form of labor organization, its individual orientation is taken into account. At that time, managers in many organizations began experimenting with some of the emerging theories of human relations in order to restructure the production environment. In order to reduce workers' resistance to organizational changes taking place in corporations, programs were developed to improve the «quality of working life», through which they were involved in developing a strategy for its development, discussing issues of rationalization of production, solving various external and internal problems. American Journal of Business Management, Economics and Banking Volume 20 January, 2024 P a g e | 298 www.americanjournal.org Moreover, organizations have used various forms of a matrix management system, which allows them to overcome traditional barriers in the hierarchical chain of authorities, increase interaction and cooperation at all levels of management. At the same time, experiments began involving small groups of workers in management, which later became known as quality circles. So, as the needs of one level are satisfied, they cease to serve as motivators, new needs of a higher level arise. Since with the development of a person as a personality, his potential expands, the need for self-expression can never be completely. Therefore, the process of changing the motivation of behavior through satisfaction of needs is endless. In order for a particular employee to remain motivated to work, the company must create conditions to meet his most important needs. The involvement of employees in the processes of preparing and making managerial decisions, as well as monitoring their implementation, in Japan is carried out not on the basis of the realization of property rights (the rights of employees as shareholders or shareholders of their enterprise), but their labor rights as participants in the production of goods and services. In this respect, Japan differs from many other developed and transition economies in which the involvement of employees in management is conditioned by their participation in property (capital). Within the framework of the «joint consultations», representatives of the administration and their employees (represented by trade unions) discuss issues directly affecting the interests of employees. This is about the amount of wages, the length of the working week, working conditions, etc. At meetings, employees listen to the employer's attorneys explaining the essence of decisions taken or being prepared by the administration, and actively participate in their discussion. Representatives of the employer usually have the last word, but the principle of consensus is often used. The second scheme for involving employees in the management process is the «ring system». This is a specific Japanese algorithm for collective decision-making by searching and finding a compromise. Its essence lies in the fact that draft decisions prepared by managers are sent for approval to all those who will implement them, primarily employees, whose wishes and suggestions are taken into account when making final decisions. This form of participation of all employees of the company in making decisions affecting their interests is carried out mainly in the form of participatory management in the following areas: - granting employees the right to make independent decisions on a number of issues; - attracting employees to collect the necessary information, determining how to implement the decision, organizing work, etc.; - monitoring the quality and quantity of work performed; - participation in the improvement of the activities of both the whole organization and its individual departments; - creation of working groups on interests, attachments, etc. in order to implement decisions more effectively. The three main forms of involving workers in management are the most common: - participation of workers in the management of labor and product quality at the workshop level; - creation of workers' councils (joint committees) of workers and managers; - involvement of workers' representatives in corporate boards of directors, although in practice it is extremely rare. Special attention should be paid to the role of trade unions in the company. By working out a collective agreement at the enterprise level, the trade union is an institution for coordinating the American Journal of Business Management, Economics and Banking Volume 20 January, 2024 P a g e | 299 www.americanjournal.org interests of employees and management. Thus, the trade union of employees of a Japanese company represents their collective interest in the process of developing an internal corporate management policy, uniting all permanent employees. The creation of this institution of labor agreements was not prescribed by law, according to which, once defined as independent, any organization of employees or their representatives has the right to negotiate with the administration, no matter how small it may be. Theoretically, employees of one firm can be represented in several competing trade unions or in one branch trade union. Agreements at the g level of enterprises in the same industry are often coordinated by the industry federation of trade unions of enterprises. Despite the fact that Japanese laws allow groups of employees of one company to be members in different organizations, the union leadership prefers to defend the interests of all employees in such a way that representation of interests in negotiations with the administration is maintained. The emergence of a competitive union weakens it in bargaining with management. But, since the support of the majority does not guarantee exclusive representative rights, the leadership of the trade union tries to find consensus in order to ensure the support of ordinary members. Otherwise, consistent disregard for the interests of a minority may lead to the formation of a competitive organization that expresses their interests. Consequently, the management of the trade union of employees of the enterprise makes great efforts to balance the interests of various groups. The legal basis for organizing a trade union in the United States is fundamentally different from the Japanese one. In the United States, members of the working group who officially won the majority of votes in elections held under the control of the National Labor Relations Board receive from the local branch of the union the exclusive right to represent the interests of workers and negotiate with the administration. The workers' representatives at the negotiations are members of an «industry» trade union (formed on the principle of belonging to a certain profession). However, despite this, most collective agreements in the manufacturing industry are reached at the enterprise level. The best strategy for an industry union to secure the support of a majority of its members is to express the interests of the average voter on the relevant issue. This explains why the American labor union is more concerned with wage issues than job security, as long as there is no real threat of mass layoffs. When using the m seniority rule in solving employment issues, the youngest employees are the most vulnerable to dismissal, and the «average» trade union member with average work experience is reliably protected from the threat of dismissal in a stable situation. Of particular interest is the way employees participate in the distribution of the results of the economic activity of the enterprise. In Japan, such participation is carried out mainly on the basis of labor rights. In this case, the income of a Japanese employee is divided into two parts: constant and variable. Permanent income is a basic salary plus various benefits and subsidies from the company (for housing, medical services, travel to the place of work, etc.). Despite the obvious advantages, the profit sharing system has a number of limitations that limit its widespread use in the United States. These include: - difficulties in assessing the contribution of each employee to the amount of profit; - there is a close relationship between the level of efficiency and the management system. To overcome these circumstances, many American companies are switching to using so-called income distribution plans. The income distribution mechanism includes a large number of bonus payment schemes, in which a certain part of each employee's salary depends on the efficiency of the unit. Such a system of income participation stimulates an increase in the efficiency of a certain group of American Journal of Business Management, Economics and Banking Volume 20 January, 2024 P a g e | 300 www.americanjournal.org employees: a factory, department, workshop or the company as a whole. At the same time, every employee receives bonus payments. Unlike the profit sharing system, the income distribution system is designed in such a way that bonus payments depend on productivity, quality, saving materials, meeting consumer demand, and reliability of work. As a result, each employee realizes the close relationship between the results of their work and the amount of the bonus. The peculiarity of the profit sharing system is that the effect of its application does not affect immediately, but several years after implementation. 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