labour and ensures sufficient labour cover when demand is high, as a result providing better customer service. Through its flexibility and by working with staff it can also contribute to higher levels of employee retention.
Rather than pay overtime during periods of high activity, the company can ‘call in’ these hours without making additional payments.
This system can work efficiently with the cooperation of staff. Whereas overtime relies on the goodwill of the employee and their commitments at the time, a system of annualized hours should benefit both parties equally. Costs are also reduced as there is no additional cost for e...
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