MEL3E Unit #2 - Lesson #3 1.3 - Piecework Another method of payment for employees, other than _____________, is called ____________________. Piecework when an employee is paid based on ___________ _____________ they PRODUCE OR SELL. o Earnings may be based on SALARY PLUS PIECEWORK or STRAIGHT PIECEWORK. o The employee is paid a ____________ AMOUNT for each ___________ ________________________. o If you produce MORE, you will be paid _________. o If you produce LESS, you will be paid _________. o Employers ensure that the items being produced are of _____________ _______________. o Quality Control when employees only get paid for items that MEET THE EMPOYER’S ________________________. Examples of Jobs Paid by Piecework o _________________ Worker o _________________ Maker o AUTO _________________ o ______________________ Advantages of Piecework o A set amount is paid per item, thus ENCOURAGING employees to WORK HARDER and _________________ __________ products. o ________________ those who work harder. o Employee would get paid _____________________ Disadvantages of Piecework o If machinery breaks down and employees have to WAIT for it to be fixed, they will __________ earn any money (since they are technically not producing anything) o If employees stop for a _____________, they will again NOT earn money. MEL3E Unit #2 - Lesson #3 Calculating Piecework o ______________________ the NUMBER OF ITEMS PRODUCED by the RATE BEING PAID PER ITEM. o Example: Sue gets paid $5.30 for every book she sells. If she sells 22 books, what will her total earnings be? Piecework Wages o Some employers use a combination of ______________ and piecework wages. o Employees may start off receiving a wage and as their production INCREASES, they may change to piecework wages, which would enable them to make _______________ money. o In this way, employees are GUARANTEED a wage, but they are also offered an _____________________ to produce more. Both employees and the employers benefit from this arrangement. Example: Anne works part time at a large sports facility selling programs. She is paid by piecework. She earns $10 per game plus 20¢ for each program she sells. Find Anne’s total earnings when she sells 93 programs at one game. Step 1: Calculate her piecework earnings Step 2: Calculate her total earnings MEL3E Unit #2 - Lesson #3 Ex: Eddie builds wooden pallets. On Monday he builds 200 pallets and is paid 35¢ per pallet. a.) What are his earnings for Monday b.) If he builds 300 each day from Tuesday to Friday as well, what would his earnings be for the WEEK? c.) Eddie works 50 weeks a year. If he makes the same number of pallets each week, how much will he earn in a year? Homework: pg. 7 # 1, 2, 5, 7 Question Below Piecework Worksheet Chart Practice Question: Annali works for Seamless Industry, which makes lab coats. The production rate per lab coat is $1.95. Calculate Annali’s wage based on her production. Number of Coats Produced Calculation Wage 40 40 x 1.95 $78. 00 Monday 44 Tuesday 58 Wednesday 48 Thursday 49 Friday TOTAL PAY MEL3E Unit #2 - Lesson #3