Labor: Controlling and Costing
What exactly is labor? Labor is the name given to the workers within the company's production where they do the work and are seen to have acted within the production, there are two types of labor, and this is direct labor and indirect labor. Direct labor is the employees that can be seen in the production like lineman, cutter man and other employee who seen work inside production, Indirect Labor is the employees that cannot be seen in the production, these employees are like supervisors who organize and monitoring work processes, janitors who clean up messes, mop the floor, and take out the trash, and other employees that cannot be seen works in production. In a company, they will not lose their workers' wages, but what exactly are the wages they pay? Included in the salary of each employee is the basic salary, overtime pay including overtime because it is apart from the employee's basic salary because the worker's time allotted for work has exceeded that is why it ha...