Cape Town - Fin24 user Retief Ueckermann says the way the world looks at labour cost is Cost-to-company (CTC).
Cost-to-company simply means that this is the total amount that an employer is prepared to pay for an employee, including all benefits and company contributions.
You should view the R12 500 per month wage demand in the platinum sector, in the CTC context, he said in response to a call for debate on the platinum miners strike by labour columnist Terry Bell in his weekly Labour Wrap.
Terry Bell responds:
You hit the sticking point nail on the head, Retief.
Companies do calculate in terms of CTC; employees invariably in terms of the amount in the pay packet (less tax and UIF etc). That, in simple terms, is what this strike is all about.
But the strikers and their negotiators have proposed that this iconic entry level wage be phased over at least four years. Not as CTC, but as basic pay.
Regards
- Fin24
* Terry Bell is an independent political, economic and labour analyst. Views expressed are his own. Follow him on twitter @telbelsa.
Disclaimer: All articles and letters published on MyFin24 have been independently written by members of the Fin24 community. The views of users published on Fin24 are therefore their own and do not necessarily represent those of Fin24.
Cost-to-company simply means that this is the total amount that an employer is prepared to pay for an employee, including all benefits and company contributions.
You should view the R12 500 per month wage demand in the platinum sector, in the CTC context, he said in response to a call for debate on the platinum miners strike by labour columnist Terry Bell in his weekly Labour Wrap.
Terry Bell responds:
You hit the sticking point nail on the head, Retief.
Companies do calculate in terms of CTC; employees invariably in terms of the amount in the pay packet (less tax and UIF etc). That, in simple terms, is what this strike is all about.
But the strikers and their negotiators have proposed that this iconic entry level wage be phased over at least four years. Not as CTC, but as basic pay.
Regards
- Fin24
* Terry Bell is an independent political, economic and labour analyst. Views expressed are his own. Follow him on twitter @telbelsa.
Disclaimer: All articles and letters published on MyFin24 have been independently written by members of the Fin24 community. The views of users published on Fin24 are therefore their own and do not necessarily represent those of Fin24.