Working time balance

Finance

The efficiency of production is largely dependent onnamely the form of payment. What could be its forms? In general, there are two of them - piecework and time-based. All the rest are just their varieties. With a piece-rate payment, the worker receives a reward directly for the work done, and a simple time-based payment assumes that he will receive money not for the goods produced, but for the hours he spent at the workplace.

It may seem that the piece-rate payment is more profitableboth parties, but the fact is that many employers refuse it, because they consider it not effective enough. Pros, as well as the disadvantages of time-based pay will be discussed in this article.

The time form of payment

A wide spread of this form is explainednumerous circumstances. First of all, such circumstances include scientific and technological progress, which constantly changes the essence of production. Over the years, the division of labor has become more and more noticeable, the demands that are made on staff are becoming tougher. It is not always possible to evaluate the result of a particular employee, since the main emphasis is on collective work and, of course, on the collective result.

In some cases, the manufacturing process is strictly regulated. The point is that increasing production will lead to an increase not in profits, but in losses.

Yes, time-based pay is largenumber of benefits. The main thing can be attributed to the fact that the employer does not have to spend a lot of time and money on the enhanced quality control of the products - employees are in no hurry and do everything on conscience. Employees feel part of the enterprise and understand that the welfare of other people depends on their work. The time pay significantly reduces staff turnover. Employees understand that staying in the company, they will receive a stable salary, which will ensure confidence in the future.

The time labor payment guaranteesFixed salary. Everyone gets exactly what he gets to get, which means that no one is trying to get around in trivial matters, enmity can be observed not so often.

Does time-based payment of labor cause anyproblems and difficulties? Unfortunately yes. Do not forget that employees receive money not for the work done, but for their actual presence on it. Stimuli that are capable of increasing labor productivity are not that many. Quality control is not so important, but there is a need for control over the employees themselves. The cost of this entails considerable. Control in some situations may not be feasible. It is also important to note that controllers are able to come to terms with workers who do not want to work as they should.

The necessary control, which was described above,can cost the employer dearly. Where can I get money from him? In most cases, money is withdrawn from the wages of the workers themselves. This is one of the main reasons that the time-based pay is usually less than the piece-rate payment.

In fact, the employer pays employees notthe work itself, and the hours during which they stay on it. Problems can arise if production is suspended for objective reasons. The point is that with broken equipment, the worker will not be able to carry out his immediate duties. True, there is almost always an opportunity to occupy something different, unlike his usual work. But still useful for the enterprise. Just do not forget that not everyone will agree to perform work that is not prescribed in the employment contract.

Comments (0)
Add a comment