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Time Rate System - Labour Remuneration
It may be a high day rate or a flat time rate. Under flat time rate, all worker is paid for the time spend without considering the volume of production throughout that time.
It may be paid daily or monthly or hourly basis like follows as:
Total Pay = Hours worked X rater per hour
Beneath the high day rate system such the workers time rate is fixed on a higher level after that the general rate of payment whether the output exceeds the expected or usually set or level. The objective of this system is to give an incentive to the workers whereas retaining the simplicity of the system. This is most suitable for easily measurable output to those groups of workers contribute as like an example of car assembly lines.
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