Labour Costs

Question 1

What are the labour costs of a business ?

Answer 1

Wages paid to the businesses employees

Question 2

Time rate / basic pay is where the businesses employees are paid on the basis of what ?

Answer 2

Their time spent at work

Question 3

Time rate pay is often refered to as ?

Answer 3

Day rate

Question 4

Piecework rate is where the businesses employees are paid for each what ?

Answer 4

Task or unit of output completed

Question 5

Employees on piecework rate usually have a guaranteed ?

Answer 5

Minimum wage

Question 6

How do bonus systems work ?

Answer 6

The employees are paid more (Recieve a bonus) if their output is better than expected

Question 7

Overtime payments and premium

What is the overtime premium ?

Answer 7

The extra amout of money an employee recieves on top of their normal wage for working overtime

Question 8

If an employee usually gets paid $12 per hour for their work but gets $20 for overtime, how much is the overtime premium ?

Answer 8

$8

Question 9

When production is stopped through no fault of the production-line employees it is called ?

Answer 9

Idle time

Question 10

Does idle time go into the prime costs or overheads ?

Answer 10

Overheads