Do we pay contract rate, piece rate or hourly?
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\n\nMany farms in Australia (unfairly) use contracts to pay a fixed rate for each unit produced or action performed regardless of time.
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AG Industries use a Piece Rate Calculation to change the daily rate to suit the working conditions of the day.
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What is the Piece Rate Calculation?
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\n\nBelow is the mathematical formula to calculate the daily piece rate.
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\n\nWhat are the benefits of Piece Rate work?
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It allows the average competent employee to earn at least 15% more per hour than the relevant minimum hourly rate in the Horticulture Award 2010.
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How does this affect you?
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\n\nPiece rate work gives you a chance to earn the minimum hourly wage everyday.
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Contract rates are fixed per unit produced making it almost impossible to make the minimum hourly wage everyday.
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\n\nRemember the piece rate changes daily to account for fruit quantity and quality, weather conditions, work hours and other degrees of variance that affect the piece rate. Fixed rates do not take any of the above into consideration.
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