Remuneration System: Piece Wage Rate, Time Wage System, Halsey's Premium Plan

Remuneration system

Remuneration system 1
Contents
Part- A....................................................................................................................................................2
Remuneration system-..........................................................................................................................2
Piece wage rate system......................................................................................................................2
Time wage system.............................................................................................................................3
Halsey`s premium Plan......................................................................................................................3
Part- B....................................................................................................................................................4
Performance Management Model-.......................................................................................................4
Goal setting.......................................................................................................................................4
Performance review...........................................................................................................................5
Performance improvement.................................................................................................................5

Remuneration system 2
Part- A
Remuneration system-
The term remuneration is pay or compensation an employee receives returns for contributing
to organisation. The businesses can determine the remuneration system on the basis of the
business they are operating. The manufacturing firm can determine the payment of wage
system according to either performance or fixed time scheduled by the organisation.
Remuneration system is an element that affects the success of the organisation. There can be
no efficient way that can be applicable to all types of business. Every business set their own
remuneration system. Wages refers to the payment of rate hourly. Salary refers to payment of
rate on time basis either monthly or annually. In every organisation, tasks can be performed
only with the help of resources- machinery, plant and fund and most importantly manpower.
Employees use the resources to generate output.
Piece wage rate system
In this wage system, wage are paid on the basis of output rather than on the basis of time.
There should not be given any consideration to time taken. It should be more based on time
taken for a task to be done. A fixed rate on per manufactured unit is paid, operation
performed and job completion. Employees should be guaranteed alteast minimum wages
under piece wage rate system. In piece wage rate system-
 Wages are linked to the quantity produced. Wages are linked to the output of a
worker, the higher the output manufactured, same is the wage payment.
 More production is encouraged when wages are paid as per the piece wage system.
 More efficient workers try to put maximum efforts in order to increase the
productivity and also the wages.