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In this factory a number of engineering production lines are operated. The direct labour force is paid on a time rate basis, but a bonus
In this factory a number of engineering production lines are operated. The direct labour force is paid on a time rate basis, but a bonus is paid if work can be completed faster than the time allowed. The bonus is for the savings achieved to be shared equally between employer and employee. Wages are, therefore, paid on the following basis: time rate + 50% of (time saved x time rate). If no bonus is due, then the time rate applies.
Martin Lee worked a 38 hour work last week; his time rate is $10 per hour. He is allowed a time of 30 minutes to carry out his work on each unit of production; last week he completed 71 units.
Sara King has a time rate of $11 per hour; last week she worked 40 hours. She is allowed a time of 15 minutes to carry out her work on each unit of production; last week she completed 184 units.
Calculate the gross earnings of each employee?
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