ECONOMICS

Detailed explanation-1: -It is the remuneration paid to the employees who are directly engaged in the manufacturing operations or the conversion of raw materials into finished products. Example: A workman printing the cloth in a textile unit.

Detailed explanation-2: -Labour cost refers to remuneration paid to the employees in from of wages, salary, and bonus, allowances etc. for their time and effort used in producing goods or services. In other words, monetary resources payable to the employee for their mental and physical sacrifice is called the labour cost.

Detailed explanation-3: -What is labor cost in manufacturing? In short, labor cost in manufacturing industry is the total amount spent on employees by your company. The total amount includes the salaries for hourly and salaried workers, plus employee taxes, bonuses, and company-specific extras such as employee compensation schemes.

Detailed explanation-4: -The cost of labor is broken into direct and indirect (overhead) costs. Direct costs include wages for the employees that produce a product, including workers on an assembly line, while indirect costs are associated with support labor, such as employees who maintain factory equipment.

Detailed explanation-5: -Direct labor refers to the salaries and wages paid to workers directly involved in the manufacture of a specific product or in performing a service.