Direct Labor Case Summary

The question of whether direct labor should be viewed as a variable cost can be confusing, but I feel should be addressed on a case-by-case basis. Classifying direct labor as a variable cost requires management to make continuous adjustments to the workforce that only addresses their short-term employment needs and may not be beneficial in the long run for their business. It is very important for managers and accountants to understand the need to appropriately classify these costs because of the negative affects it can have on their budget if they are not careful. In this paper, I will briefly discuss my thoughts on whether it is ethical to use “tap and zap” employees in workplace.
After reading and analyzing this case study, it seems that many companies are using “tap and zap” employees to assist with production during peak times which allows them to meet their production needs without increasing personnel costs. I believe that this business practice is ethical if the employees are informed of their employment as an occasional or seasonal worker upfront and are properly
Although the use of “tap and zap” employees is good for revenue increases, I believe the negative impact it can have on the culture and morale of the workplace is not worth the risk itself. These employees are often mistreated due to lack of experience and training making them more susceptible to workplace discrimination because of their short-term employment status. I do not feel the use of “tap and zap” employees is unethical if the company takes the proper precautionary measures to ensure the employees are treated fairly but do not think this trend should become a common business