11 HZ
Accounting Report: Control of Fixed Assets
Due date: 16 February 2015
Question 1
The drivers carry a full load of goods to Johannesburg but return empty to Durban. Are the drivers receiving a fair remuneration (wage) for work done? Motivate by using calculations.
Answer
Drivers are not getting a fair remuneration.
Drivers are paid per trip and not per hour or days’ work.
Drivers are not paid the same amount for the same trip, from Durban to Johannesburg and back.
Sibusizwe earns R500.00, Mike earns R450.00 and Xholani earns R550.00 per round trip.
Drivers work either day shift or night shift as such there should be different rates for working different shifts but they do not receive for their various shifts.
Remuneration table
Drivers
Remuneration per round trip
Rate per hour
Rate per day shift
Rate per night shift
overtime
Sibusizwe
R500.00
( 500÷15)
R33.33
Not taken into account by owner
Not taken into account by owner
Not taken into account by owner
Mike
R450.00
( 450÷10)
R45.00
Not taken into account by owner
Not taken into account by owner
Not taken into account by owner
Xholani
R550.00
(550÷13)
R42.31
Not taken into account by owner
Not taken into account by owner
Not taken into account by owner
It is clear that from the above information, the drivers are not receiving a fair wage for work done.
Question 2
Is Jimmy being fair towards his drivers with regards to the number of hours worked and are they receiving a fair remuneration? Motivate by using calculations.
Answer
Jimmy is not being fair towards his drivers with regards to the number of hours worked.
The Department of labour in the basic condition of employment act states: The maximum number of ordinary hours worked per week is 45 hours.
Workers may agree, in writing, to work up to 12 hours a day without getting paid overtime.
However, these workers may not work 45 ordinary hours a week, 10 hours