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Comparison b/w time rate system and piece rate system:
1. In time wages, time is the basis of payment whereas in the piece wage quantity of the work is the basis of payment.
2. Time rate system does not make a distinction b/w efficient and inefficient worker whereas piece rate system gives a premium on efficiency.
3. Time rate system provides security of wages to worker while piece rate does not.
4. Time rate system may be used where quality is more important than quantity whereas piece rate system is used where quantity is more important than quality.
5. Labour unions generally prefer time rate system and oppose piece rate system.
? KARL PEARSON’S CO-EFFICIENT OF CORRELATION
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