8. Algorithm for calculation and analysis of labour remuneration in the agricultural sector

Author: Delyana Dimova, Vanya Georgieva

Abstract

There are various applicable payment systems for labour remuneration in the agricultural industry. They vary upon the heterogeneous staff categories – managers, analysts, field specialists, machine operators, qualified personnel, low-skilled personnel. Similarly, remuneration systems could be different for full- and part-time employees.
In the current paper, we argue that it is employers who choose the most efficient remuneration system based on their own interests and law regulations. By reason of clarity with respect to salary formation, the remuneration systems in operation must be well-declared and comprehensible to workers, which is practically not always the case. This situation undoubtedly causes conflicts in the work environments on the one hand and obstructs the motivational function of the remuneration system on the other.
The aim of our paper is to present an algorithm for calculation and analysis of remuneration based on personnel classification according to the prevailing pay systems: time rate, piece rate or a combination of both.
In conclusion, we consider that the suggested algorithm for salary calculation and management is easily applicable to organisations in the agricultural sector and could readily contribute to the optimization of payment.

Keywords: algorithm, labour remuneration, analysis, agricultural sector, Bulgaria