remuneration of labor is paid in various manners and
under various names. It can be classified as follows:
Classification According to the Class
of Workers Engaged:
(i) Salary: If
a person is highly paid, the remuneration is called 'salary'.
For instance, the earning of a professor, an engineer, a
manager, etc., is named as 'salary'.
(ii) Pay: The
payment to the middle class workers, such as typists, clerks,
stenographers, etc., for their services is called 'pay'.
The reward which is paid to the inferior type of workers,
whether they may be skilled or unskilled is called 'wages'.
(iv) Fee: Fee
are the earnings of independent workers, such as doctors,
Classification According to the Manner
(i) Time Wages:
If a person is receiving remuneration on the basis of a unit
of time, i.e., daily, weekly, monthly, or yearly, the wages are
named time wages.
(ii) Piece Wages:
If a labor is paid according to the work done, the wages are
called piece wages. Piece wages are possible only
in those occupations where the work can be measured or