manufacturing workers :
normal work hours 3000
over work 200
vacation wages 500
fringe benefits 3000
(social payment)
employers contributions :
social security premium 20%
unemployment premium 2%
employees deductions :
social security premium 14%
unemployment premium 1%
income tax 20%
notes :
wages per hours = 20
over work premium 50% more
calculate direct labor cost
Note: Employees contribution is a deduction from the pay to employee by employer. Same is the case with taxes. Thus these would not have any impact on the Direct Labour cost.
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