profit sharing

American  

noun

1. the sharing of profits, as between employer and employee, especially in such a way that the employee receives, in addition to wages, a share in the profits of the business.

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profit-sharing British  

noun

1. a system in which a portion of the net profit of a business is distributed to its employees, usually in proportion to their wages or their length of service

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profit sharing Cultural  

1. Distributing the profits, or part of the profits, of a business to its employees.

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Other Word Forms

• profitsharing adjective

Etymology

Origin of profit sharing

First recorded in 1880–85

Example Sentences

The companies generally contend that their wages, profit sharing, health care and other benefits are the best in the industry.

From Seattle Times

“Residuals are meant to be some level of profit sharing,” Cohan said.

From Reuters

American did not quantify the contract value but said it provides pay and profit sharing that match the top of the industry with improved quality-of-life provisions.

From Reuters

The profit sharing issue is among the most contentious.

From Reuters

Last year, GM employees could have received up to $10,250 in profit sharing.

From Seattle Times