The wage payment is an important factor influencing labour and management relations….Following factors influence the determination of wage rate:

  • Ability to Pay: ADVERTISEMENTS:
  • Demand and Supply:
  • Prevailing Market Rates:
  • Cost of Living:
  • Bargaining of Trade Unions:
  • Productivity:
  • Government Regulations:
  • Cost of Training:

    What does wage and salary administration mean?

    Wage and salary administration is a collection of practices and procedures used for planning and distributing company-wide compensation programs for employees. Wage and salary administration is defined as the process by which wage and salary levels and structures are determined in organisational settings.

    What are the factors affecting wages and salary administration?

    The following factors should be taken into consideration in determining wage and salary structure of workers:

    • (i) Labour Unions:
    • (ii) Personal perception of wage:
    • (iii) Cost of living:
    • (iv) Government legislation:
    • (v) Ability to pay:
    • (vi) Supply and demand:
    • (vii) Productivity:

      What are the factors influencing wages and salary administration?

      Factors Influenced Wage and Salary Administration – Top 7 Factors: Ability to Pay, State Regulation, Labour Unions, Demand and Supply of Labour, and a Few Others. Wages and Salaries represent a significant portion of the total costs in most of the organisations.

      What is the principle and functions of wage and salary administration?

      The main purpose or primary objectives of wage and salary administration is to establish and maintain a fair and equitable wage structure. The second objective is to establish and maintain an equitable labour-cost structure.

      What are the functions of wages and salaries?

      What Are The Functions Of Wages And Salaries Unit? (Roles Of Wages And Salaries Unit)

      • The preparaton of the salaries or wages employees.
      • The wages and salaries units keeps good accounting records of all the salaries earned by staff in the organization.

      What are the factors influencing wage and salary administration?

      1. External factors influencing Wage and Salary Administration Demand and supply : The labor market conditions or demand and supply forces operate at the national and local levels and determine organizational wage structure. When the demand of a particular type of labor is more and supply is less then the wages will be more.

      How are wages and salaries determined in an organisation?

      Traditional theorists define wage and salary administration as the process by which wage and salary levels and structures are determined in organisational settings. Wages are payments for labour services rendered frequency, expressed in hourly rates, while a salary is a similar payment, expressed in weekly, monthly or annual rates.

      What is the meaning of wage and salary administration?

      Wage and salary administration is defined as the process by which wage and salary levels and structures are determined in organisational settings. Wages are payments for labour services rendered frequency, expressed in hourly rates, while a salary is a similar payment, expressed in weekly, monthly or annual rates.

      What are the factors that can influence pay structure?

      The organizations ability to pay The organizations especially the profit-oriented ones tend to pay their employees according to their ability and the level of productivity. As a result the companies which make high profits tend to offer higher wages and salaries as well as compensation packages to their employees.