The
remuneration of labor is paid in various manners and
under various names. It can be classified as follows:
(1)
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'.
(iii) Wage:
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,
lawyers, etc.
(2)
Classification According to the Manner
of Payment:
(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
standardized.
