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How to Calculate Work Hours

How to Calculate Work Hours - Calculate Man Hours How to Calculate Work Hours. A complete guide to calculate time worked on construction projects, including examples of overtime calculations. Tables to calculate times of labor on a construction project. Weekly hours calculator.

In order to provide a reliable calculation of the direct labor required to complete a job, it is necessary that:

How Calculate Work Hours?
 

  • First, the person responsible for the estimation and the group involved in the labor team is diligent.
  • Second, the group of estimators must have experienced personnel capable of defining the logical sequence of execution of each stage of construction.
  • In addition, we recommended that, if necessary, they get advice on a project costing.
  • Finally, it is essential to have accurate information on the job performance to execute each task of the project.

The process of measuring the consumption of man hours or fraction of labor hour that is necessary to perform a task; requires defining the conditions within which we accomplish the measuring.

The above ensures that duplication can support the measure.

They are defined as standard requirements.

We note that times of labor required to complete a task include both actual and normal non-contributory time.

Calculation of Labor Costs for Construction Projects – Standard Conditions

The total working hours calculated using the records in the tables are only valid if we execute the project under conditions similar to those existing at the time, we made the performance measurements.

As each project differs from another, we need to adjust the total count work hours of the mathematical calculation, with factors that consider the influence of the particular conditions prevailing in each project.

Summarizing:

First, the estimating team must have reliable records of the number of man hours required to complete each task.

 Next, knowing the number and type of tasks to be performed on the project, we mathematically calculate the number of man-hours.
This is calculated by applying the performance recorded in the tables to each task. 

Furthermore, estimators or their advisers must have complete information on the conditions under which we will carry out each project. 

The proponent needs the above estimate to fit the mathematical calculation.

Features of project cost management

We obtain basic information on the features of project cost management for: 

  • The tender documents. 
  • The information gathered during the site visit.
  • The consultations to the purchaser.

Then, in the next step, we must define the correction factors that we will apply to the total count work hours of job calculated mathematically.

 We then assess the direct hours of labor required for each specialty and with the data for the times of job, we obtain the number of workers required. 

 In short, for this task, the estimator relies on the drawings, the calculation of materials, the tables with performance records, and especially on his experience and the contribution of the specialists. .

In general, each contractor has already established the hourly labor cost of the workers. 

This cost varies depending on their specialty and includes labor clothing, safety features and a toolbox, where applicable.

How Calculate Work Hours – Overtime Work

Additional work results in a significant increase in the direct labor cost for workers. We have to consider that in the estimation.

Working overtime is gratifying for the worker, but we should note that the payment by the hour with a 50% surcharge does not increase the worker’s output by 50%.
On the contrary, the excessive length of the working day diminishes the average performance of the worker.

We find that the difference between hourly costs and performance is even more noticeable when the time is paid 100%.

Despite the above, in the construction industry, firms typically work more than 8 hours a day from Monday to Saturday.
In addition, they may work with all or part of their employees on Sundays and holidays.

Reasons to work extended hours – Calculate time worked

We should note it that the employer plans to carry out the job with extended working time, mainly for two reasons:

First, to offer attractive salary compensation to the worker, considering that he has only assured his work continuity of that work and that in addition, the place of job is frequently far from his home.

Second, to balance the decrease in actual working hours every day due to operational issues such as.

  • To counteract the time lost due to the daily mobilization and demobilization of the worker with his tools from workshop to site.
  • The site is often away from the workshop or possibly above the ground, etc.
  • To compensate for down time, work permits are approved, etc.

Other situations which lead to an extended working day are:

  • Works with very short turnaround times and high penalties for noncompliance.
  • Restoration or extension of existing job facilities with urgent turnaround times (generally in architectural and civil works)
  • Work done with specialized staff that is not plentiful in the labor market, etc.

 

Photo of workers in receipt of their wages

The following image shows a group of workers waiting to collect their paycheck.

How to Calculate Work Hours - Calculate Man Hours
How Calculate Work Hours in Construction Projects?
 

We should note that each country has its labor legislation which, among other things, defines the following issues:

  • What is the count work hours per week that the employer normally has to pay under the local labor law?
  • What is the maximum number of authorized overtime hours per day, month and year?
  • When do people pay 50% and 100% overtime?

It should be noted that, regardless of labor legislation regulates what, it is usually the approved collective labor agreements of the trade unions that ultimately define how many hours are worked per week and how overtime is paid.

The conditions laid down in these agreements must meet the condition that they are more favorable to the worker than national legislation provides.

Working Hours Calculator in Construction Projects

Overtime Calculator

How overtime affects the cost of work hours. Weekly hours calculator

The image shows five steps to follow to calculate the cost of a man hour.
 Calculate Man hours. Weekly hours calculator
How Calculate Work Hours in Construction – Weekly hours calculator– Infographic

Calculation of Work Hours- Hypothetical Calculation of the Impact of Overtime

Hours Paid Weekly – Weekly Hours Calculator

Assumptions for weekly hours calculator:

  • Weekly Hours Calculator. We assume that in the area known as X, the maximum number of standard hours per week is 40.
  • Weekly Hours Calculator. Overtime, at 50%, is paid for each hour that exceeds the normal hours of Monday to Friday and Saturday until 1 p.m.
  • Weekly Hours Calculator. Hours worked on Saturdays after 13:00, Sundays and public holidays pay 100%.

The percentage by which the incidence of overtime increases at cost of the hour arises from the ratio of the cost of hours paid over the hours worked per week, multiplied by 100.

Therefore, if the workday starts at 8am. and we work 10 hours Monday through Saturday, we have:
Weekly Hours Calculator:

  • 1) From Monday to Friday, we work 10 hours per day for a total of 50 hours.
  • 2) This is 10 hours more than the normal 40 hours, so we paid at 50% that are 15 hours converted to normal, (we assumed that the normal maximum count work hours per week is 40).
  • 3) In Saturday work 10 hours, of which 5 we paid until 1 pm with a 50% surcharge and we must pay the remaining 5 hours with a 100% surcharge that is, 17.5 hours converted to normal.
  • Total time paid: (sum of points 1 to 3), equals 40 + 15 + 17.5 = 72.5 hours.

Weekly Hours Calculator

-Monday to Saturday = 10 hours * 6 days equals 60 hours worked.

The percentage increase in the hourly cost of workers is:

:

[72.5/60] * 100 = 20.83%
This represents an additional cost of 20.83 percent.

This is a significant addition to be considered and should be reported to the company’s accounting officer, who will set the direct labor cost for this project.

Read the following article about how to reliably assess the equipment chosen for project cost management

How Calculate Work Hours

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