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Working Time & Idle time Assignment / Homework Help
Labour - Working Time & Idle time

Working Time or Time booked-:
When as a direct worker i.e. when a worker is engaged on direct wage, it is necessary that the time spends by him, on various jobs or work orders, is recorded, so that his wages for the time devoted by him to each job or work order can be directly debited to that job or work order. In case a worker is engaged in indirect work also, time spent by him on each kind of indirect work should also be recorded so that his wage in respect of time devoted to each kind of indirect work, is debited to the respective overhead account i.e. standing order no.

Thus, in addition to recording of gate time i.e. time of arrival & departure, recording of time devoted by each worker to each job or indirect work must be made. This is working time or time booked.

Necessity of Recording Time booked:-
  • Recording time booked is needed to obtain the time devoted by a worker to different jobs or standing order numbers & also the idle time spent by him. The period of attendance is calculated from the time of attendance & departure. Idle time can be calculated by deducting the total time devoted to different jobs or standing order numbers, from the period of attendance. Sometimes, idle time is also marked as the time during which work could not be provided for the worker. In such cases, period of attendance obtained from the gate time will be equal to time booked plus idle time.

  • Recording time booked is needed for obtaining the cost of work done. The labour cost of any job is represented by the wages for the time booked to that job.

  • Recording time booked is needed for obtaining the overhead. When, in respect of a standing order, payment of wages made to indirect worker, then such wage form part of the factory overhead. When recovery of overhead is made at a rate per direct labour hour, the time booked by direct workers to various jobs shall form the basis. In case, where recovery of overhead, at a rate per machine hour is made, the recording of time booked is essential.

  • Recording time booked is needed for appraisal of labour efficiency. For the evaluation of labour efficiency, comparison of actual time booked with budgeted time is made.

  • Recording of time booked is essential for calculating the actual amount payable to a worker on any premium plan because in most cases, bonus for any task will depend upon the excess of time allowed over the actual time taken.

  • For establishing control, recording of time booked is essential. If the gate time exceeds the time booked plus idle time recorded exceeds, the difference will be considered as the time wasted between the factory gate & the department. Thus a moral check upon the workers is enforced by recording the time booked & idle time & comparing the same with the gate time.
Forms & Records used for recording working time: -

For recording the working time or time booked, the following forms & records are used:
  • Daily Time Sheet:

    A daily time sheet is allotted to each worker, in small factories which cannot afford to have card time recorder, on which entry is made by the worker on daily basis of the time spent by him on each job or standing order number during the day & the record is submitted to the foreman who countersigns it on verification. This record is rarely used because frequent recording of time & hence heavy paper work is involved. Accurate booking is ensured by the record because recording of timings at the close of the day is not attempted by any worker but the time spent on each job before he starts a new one is recorded. Daily time sheet is suitably recorded in factories where frequent change from job to job is required.

  • Weekly Time Sheet:

    The purpose of the weekly time sheet is the same as that of the daily time sheet. A weekly time sheet is provided to each worker for a week. In it, the time spent by him on various jobs or standing order numbers during the week is recorded by him. The records may be inaccurate if the recording of the timings at the end of the week is attempted by the worker from his memory. If, however, the timings are recorded by the worker, as soon as his work is completed on any job or standing order number, there will be little chance of mistake. Less clerical work is involved in weekly time sheet than in daily time sheet. For intermittent job, it is more suitable, & therefore is extensively used in contract costing, construction work, decorating work etc. Regarding recording of idle time, analysis into reasons & charging to the appropriate standing order number is needed, whenever idle time arises. Thus recording of idle time in the daily or weekly time sheet against the appropriate standing order number is required. As an alternative, for recording daily or weekly idle time, a separate idle time card may be used.

  • Job ticket or Job card:

    A job ticket or job card is provided for each job or operation. A worker is given a job card bearing the job number, whenever he is sent to work on a job or operation. The starting time & finishing time is recorded by the worker on it either by hand or with the help of a clock recorder. As soon as the work is completed, the card is deposited by the worker, which is then sent to payroll department after it is being certified by the foreman. If the work is long & before the completion of work, the worker has to suspend his work for lunch, personnel need etc., the time of stopping the work & that of resumption of work must be recorded by him for the purpose of obtaining the actual time of work from the card.

  • Three distinct purposes are served by the job card system:

    • The worker gets proper authorization for doing the work, whenever the job card is given to him.

    • The 'start' & 'finish' timings, & also the total hours of work done on the job are recorded in the job card & as such, it helps ascertaining the amount of the charge to the job.

    • A close check on the time spent by a worker on each job is established by the job card. However, ready means for reconciliation of the time booked with the gate time is not provided by the job card. A separate man-wise analysis is required for that purpose. To suit the needs of each individual factory, a job card may be designed.

  • Time-cum-job card: -

    It has been pointed out that, ready means for reconciling the time booked with gate time cannot be provided by a job card & a separate man-wise analysis is required for that purpose. A combined time & job card may be introduced to overcome that difficulty. The gate time as well as the working time needs to be recorded by the worker in this card with the help of clock recorder, usually. Since we get the gate time & the working time side by side in the same card, reconciliation of the gate time with the time booked becomes easier for us. Any discrepancy may be brought to light without delay.
Reconciliation of Gate time with the time booked to Jobs or Standing Order Numbers: -

Reconciliation of the gate time of each worker during a period with his time booked to different jobs or standing order numbers during the same period is necessary for effecting proper control on labour cost, particularly for minimization of unproductive labour. The reconciliation should be done at least at the end of each week or more frequently. The gate time during a week, of a worker who works continuously should be equal to his time booked during the same week to different jobs or standing order numbers. In case the former exceeds the later, the difference represents idle time. In the job card, idle time is recorded (in a special column provided) or alternatively can be recorded in a separate card called idle time card.

Idle time: -

The time of a worker for which wage has been paid but no work has been obtained against the payment is known as idle time. In spite of efficient management in any industry, some amount of idle time is inevitable. The idle time cost represents a problem which needs to be controlled but cannot be totally eliminated. Idle time should not be, normally, entered in the job card, but should be recorded in a separate card called the time card.

Under three heads, the causes of idle time may be classified: (i) Productive causes, (ii) administrative causes & (iii) economic causes.

The following are included under the Productive Causes -(a) wastage of time from factory gate to the department & return, (b) wastage of time between completion of one job & the beginning of the next job, (c) wastage of time for allotment of job to the workers, (d) waiting for material, tools, instructions etc., (e) wastage of time because of machinery breakdown, power failure, personal needs, inspection etc., (f) loss of time on account of disruption of work due to accident etc., (g) wastage of time due to intermittent nature of work.

The following are included under the Administrative Causes - (a) time loss arising out of inefficient management, improper planning of labour utilization etc., (c) wastage of tine due to pen-down strike, go-slow etc., (d) loss of time due to lack of control, (f) willful under utilization for any reason.

The Economic Cause includes - (a) loss of time due to non availability of suitable & sufficient work, (b) idle time arising on account of shifting of demand from one industry to another, (c) idle time resulting out of trade depression.

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