direct labor


Also found in: Dictionary, Financial, Acronyms.
Related to direct labor: Indirect Labor

direct labor

[də′rekt ′lā·bər]
(industrial engineering)
The labor or effort actually producing goods or services.
References in periodicals archive ?
Because 12 hours (six hours each by Workers A and B) were used to assemble 120 units in batch #439, a total of $120 still represents direct labor cost; that is, the cost of $120 can be traced to the 120 units in batch #439.
It contended that it had no way of knowing during performance that there would be such a severe drop in direct labor so that the overhead costs would exceed the estimate.
In Jupiter's case, Hi-V uses 86% of the direct labor hours but an average of only 25% of the five nonvolume drivers.
Of course, you may reduce your direct labor expenses as well.
The payroll consisted of $7,600 direct labor and $1,800 indirect labor.
Direct labor costs, direct labor hours (DLH), and net revenues are all project-related measures commonly used as the basis of key financial metrics.
Then we calculate the Direct Labor Price and Quantity Variances by subtracting the products as shown in row 8 of Figure 3.
If these Were in a separate box, workers would spend a lot of time looking for them, then spend a lot of time figuring out how to process them, which is not as fast, so direct labor costs on small-volume parts goes up if it's not automated.
The rest of the cost is usually charged to a single overhead cost pool and then allocated to specific engagements, usually as a percentage of direct labor cost.
manufacturers have squeezed the direct labor component down to as low as 5 to 9 percent.
The acquisition and installation of this important equipment, along with the other completed modifications to our production line, not only doubles our capacity: it also dramatically reduces our direct labor cost per tower and improves the quality profile of our finished product.
Contract notice: Cleaning of pumping stations sewage and rainwater, sewage treatment plants, storage tanks and ancillary works operated by the steering direct labor unit.