Ch. 8 Section
2
Wages
 Salary—Make
the same no matter how
much you work in pay period.
 Hourly Rate—Get paid per hour that you
work
 Pay
Period are normally every other week
for salary positions and weekly for hourly
positions
Overtime
 Non-exempt
employee are workers who
are normally paid an hourly wage and
are entitled to earn overtime.
 Overtime
40 hours.
is usually any time you work over
Exempt Employees
 Exempt
employees are exempt from
earning overtime. They are usually
commission or salary positions.
Commission
 Commission
is when earnings are based
on a percentage of sales.
Piece Rate
 Piece
Rate is when employees get paid
per piece they make.
 Many local factories use piece rates.
Incentive Plans
 Profit
sharing- workers receive a share of
the company’s profits

The better the company performs, the more
each worker receives.
 Performance
Bonuses—reward workers for
high levels of performance.
Benefits
 Benefits–
are extras that a company
provides in addition to pay.




Insurance
Pension Plan—Savings plan for retirement
Childcare
Paid vacation
Performance Reviews
 Performance
Reviews—is a meeting
between you and your supervisor to
evaluate how well you are doing your job.
 Layoff-
job loss due to the economy or
reduction in the workforce