Page 85 - HUMAN RESOURSE MANAGEMENT IN HOSPITALITY INDUSTRY

Piece-rate system

Employees are paid based on the number of units
produced in giving time or work completed.
Wages are paid based on the amount of output

generated or the amount of labor completed.

Employees who are effective and hardworking will
receive better pay under this system because it will

encourage workers to produce at maximum
output. Progressively higher rates may be paid for
higher levels of output.

For example:
Most sales workers had been paid for their work
based on a piece-rate system. Depends on units
successfully sold.

Most of the time, some organizations are

confused regarding their payment methods and
priorities. When it comes to the organization's
payment system, the employer must recognize

that paying the employees what they have
actually earned is the employer's first and main
priority.