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Question

Under Merrick's multiple piece rate system, ordinary piece rate is given to workers whose level of performance is between ________ of the standard output.

A
0% to 100%
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B
0% to 120%
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C
0% to 83%
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D
None of the Above
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Solution

The correct option is C 0% to 83%
Merrick's multiple piece rate is a modification of Taylor;s differential plan. In this method three price rates are used to calculate the wages:

1.Standard piece rate up to 83% of the standard output
2.10% above the standard rate if output is between 83%-100%
3.20% above the standard rate if output is more than 100%

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