Merits of Time Rate Wage System

Question

What are the merits of Time Rate Wage System?

Answer 1

Following are the merits of Time Rate Wage System:

1 It is simple and understandable and easy for calculation of wages, since wages under this system is equal towage per hour* numbers of hours worked by an employee.

2 There is no time limit for completion of job, workman are not in hurry to finish it and this may mean that they may pay p enough attention to the quality of work, effective handling of machinery and utilization of resources in an optimum manner.

3 All workers are given same treatment in terms of equal wage payment, so grievances, ill will; jealousy can be avoided among them.

4 Time rate system provides regular and stable income to workers, so they can adjust and manage their budget accordingly.

5 It requires less administrative attention as this system provide good faith and mutual understanding and trust between employer and employee.