Bermuda's hotel workers are set to get their own "piece of the pie'' with a profit-sharing programme which will earn them up to $1,000 a year, The Royal Gazette can reveal.

The scheme will see hotel staff earn extra cash if they hit productivity targets agreed between their employers and the Bermuda Industrial Union.

The BIU, Bermuda Hotel Association (BHA) and the Hotel Employers of Bermuda are delighted with the `Success Sharing Programme', which they say will benefit guests as well as workers.

The Fairmont Hamilton and Southampton Princess hotels will pilot the scheme with Elbow Beach to follow.

The Sonesta Beach Hotel is also interested in taking part and other smaller properties are also keen to join, BHA executive director John Harvey told The Royal Gazette .

"It's an all-embracing success incentive scheme which will benefit the hotels through greater revenue, enhance the guest experience, and benefit the employees,'' he said.

"There is an agreed formula for achievement, and when they have reached that, over and beyond those amounts are shared among the employees.'' Southampton Princess general manager Norman Mastalir said it was crucial employees create a "gain'' -- measured against profits from the previous year -- so it can be shared.

"This mobilises the entire workforce to make the entire business more profitable to produce the gains which fund the pool of money to help everyone,'' said Mr. Mastalir.

Staff throughout the hotel were asked to set goals so that productivity in every area can be improved.

He said it was essential that any productivity gains did not result in service to guests being diminished.

This would be measured in guest comment cards, blind inspections by the Department of Tourism, and other indicators used by management.

"It ensures the entire workforce is focused on the same issues and we have to go to move the business forward,'' he said.

"It mobilises the power of 700 people at this hotel instead of a few people that are in management.

"It allows us to identify opportunities that we as management might never see. So it benefits shareholders, employees at the end of year, and, of course, the guests.'' Any profit beyond a certain level will be split 50/50 between staff and management, with the hotel reinvesting its share.

Mr. Mastalir said every employee would get an equal share of the profit scheme up to $1,000 each.

He said the scheme arose from talks in 1999 about how to turn around the industry.

"The hotels were saying we can't afford to pay more or we'll go bankrupt and the employees were saying they needed more money because they can't afford to live in Bermuda,'' he said.

Profit share "It looked like an impossible situation, but we got our heads together and came up with this. The idea was gain sharing, but we would have to create gain before we could share it.'' BIU President Derrick Burgess said: "It's good news and it's positive. When you have the employees involved in making Bermuda a success and are working hard, they should get a piece of the pie, and this is what this is designed to do.

"We have to be innovative and motivate staff to get financial gains as well as the personal satisfaction of doing a good job.''