Not all compensation is as simple as an hourly wage or a set salary. Following are some pay types that may cause questions and confusion.
Piece Rate Pay
What is “piece rate” pay? This is an alternative system of pay that may benefit both the employer and the employee. Employees are paid based on the per unit of quality work completed rather than an hourly rate. This approach has the dual advantages of helping to increase productivity while providing employees with rewards for extra effort. This form of pay is commonly used in construction and agriculture.