(f) What is Indirect Labour ?

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Q. (f) What is Indirect Labour ?

ChseodishaCHSE Odisha Plus Two (Class 12) Commerce Board 2024Subjective· 2mImportance★★★★★est

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Indirect labour cannot be traced to a specific product and its cost is charged as overhead.

Labour is classified as direct or indirect. DIRECT labour works on and can be identified with a particular product/job (e.g., a machine operator making a part). INDIRECT labour assists production generally but cannot be linked to any single cost unit — for example supervisors, inspectors, store-keepers, maintenance and cleaning staff. Because their wages cannot be charged directly to a product, indirect-labour cost is collected and treated as par …

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Same / Similar Concept — real previous-year questions on the same or a closely similar concept, not this exact question.

CBSE 2023Set ANNUAL1 mark
$Q. Fill in the blanks :$
(xi) The workers who take materials from the factory and make finished goods at their own premises are known as ______ .
›Reveal solutionSolution

Fill in: Out-workers.

Out-workers are workers who are given raw materials by the factory and who make the finished goods at their own homes/premises rather than inside the factory.

…

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CBSE 2022Set ANNUAL1 markMCQ
$Q. Wages of a carpenter in furniture manufacturing shop, is :$
(a) Direct wages
(b) Direct expenses
(c) Indirect wages
(d) Indirect expenses
›Reveal solutionSolution

A carpenter directly converts wood into furniture, so his pay is direct wages — option (a).

In +2 Class-12 Cost Accounting (CHSE Odisha, NCERT/CBSE-aligned), direct wages (direct labour cost) are paid to workers who are directly engaged in manufacturing the product and whose work can be identified with it. A carpenter in a furniture-making shop i …

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CBSE 2022Set ANNUAL1 markMCQ
$Q. The workers who are not on the payroll of the factory, but are engaged to meet the extra load in the factory, are known as :$
(a) Casual workers
(b) Out workers
(c) Regular workers
(d) Permanent workers
›Reveal solutionSolution
Temporary workers taken on to meet extra load, not on the permanent payroll, are casual workers — option (a).

In +2 Class-12 Cost Accounting (CHSE Odisha), labour is classified by nature of engagement:

Casual workers — engaged temporarily, as and when needed, to meet an extra/peak load; not on the regular payroll. Correct. …
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CBSE 2020Set ANNUAL1 mark
$Q. Fill in the blank: ________ labour cost is a part of production overhead.$
›Reveal solutionSolution

The missing word is 'Indirect'.

Labour cost is split into direct labour (traceable to a job/unit) and indirect labour (not traceable). Indirect labour - foremen, cleaners, maintenance workers, timekeepers - cannot be charged to a single unit, so its cost is collected as **indirect lab …

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Q.(f) What is Indirect Labour ?

Concept understanding — Classification of Labour

Q.(f) What is Indirect Labour ?

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