If your company offers paid holidays as part of your employee benefits, they should be excluded from the productive hours that your employee works. These paid holidays are part of your labor burden.
You have productive and non-productive hours that you typically pay an employee for -- the non-productive hours include paid holidays, paid vacations, paid sick days and any other time that an employee is paid for but does not work. I guess if your employee spends an hour every working day gossiping and drinking coffee, you could add that to the non-productive hours -- but generally it would only be paid time away from the office.
The amount of paid holidays, sick time and vacation time varies from one company to the other -- so there is no hard and fast calculation for labor burden but if you need help with the calculations, please feel free to contact us. My book also covers the complete information on how to calculate the labor burden including overtime hours.
You can purchase the book on our website at www.myconstructionoffice.com It is still on sale for the time being. Get yours today !!
Charlene S Reed
Owner / Author
Responsible Business Services
MyConstructionOffice.com
"Construction Administration Handbook"
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