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How to use flat rate pay to achieve fixed unit costs in manufacturing

Manufacturing

How much money are you making or losing for each unit your produce?

To answer this question you would usually need your accountant to spend hours working out an individual unit cost, mainly because of the variable expenses such as wages, but in particular your overtime and penalty time loadings. Now, imagine being able to simply multiply the time spent on the production of the unit by a flat rate pay and how much easier that would make things. With our PEO co-employment strategy you can.

We have legal agreements that allow virtually any manufacturer of any product to work on flat hourly rates 24 hours a day, 7 days a week, 365 days a year.

You will immediately see the benefits as your overtime and penalty rates disappear, and you will also be able to easily and quickly analyse your business through the new, fixed unit labour cost.

Your workers will also benefit as you are able to give them more hours which means more money.