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labour

This topic has 1 reply, 2 voices, and was last updated 6 years ago by secondstar.

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March 25, 2018 at 10:57 am #443718
amirrhamza786
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The net pay of an employee is 225$. The PAYE is 55$ and NIC is $28. The employer NIC for the week is 31$
what is the labour cost to the employer?
March 25, 2018 at 6:33 pm #443740
secondstar
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The labour cost to employer is the TOTAL COST that he has to bear/pay. In your example, the total cost would be employee’s gross pay + employer’s NIC.
Employee’s gross wages are the sum of net pay, PAYE and NIC.
In short,
T.C = Gross wages + Employer’s NIC = 308+31 = 329
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