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Considerations concerning the analysis of the wage costs efficiency

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Author Info
Bondoc, Maria-Daniela
Radu, Florea

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Abstract

In this article, the authors sought to study the efficiency of the staff costs and its reflection upon the main economic and financial indicators of a company. In the performed study, the application of the factor analysis models was made at the level of an industrial trading company the social object of which is manufacturing automotive subassemblies. The efficiency of the wage costs was monitored by the correlation between the average wage and the labour efficiency as well as by means of the indicators used for the general expression of their efficiency, such as: staff costs at an operating income, turnover or added value of 1,000 Lei. Moreover, highlighting the economic and financial consequences of their modification on the main key performance indicators of the company was considered. The conclusions that were drawn are useful for the management company for the substantiation of the decisions related to the improvement of the usage of the human resources, with direct positive consequences upon the reduction of the wage costs to 1,000 Lei and of the wage costs per product unit, as well as upon the profit increase.

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File URL: http://mpra.ub.uni-muenchen.de/14008/
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Publisher Info
Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 14008.

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Date of creation: Apr 2008
Date of revision: May 2008
Handle: RePEc:pra:mprapa:14008

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Related research
Keywords: staff costs; efficiency; labour efficiency; average wage;

Find related papers by JEL classification:
J41 - Labor and Demographic Economics - - Particular Labor Markets - - - Labor Contracts
J3 - Labor and Demographic Economics - - Wages, Compensation, and Labor Costs
G3 - Financial Economics - - Corporate Finance and Governance
J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
M12 - Business Administration and Business Economics; Marketing; Accounting - - Business Administration - - - Personnel Management; Executive Compensation

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This page was last updated on 2009-11-9.


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