What are Allowances & Different types of allowances which are used in garments industries?

Allowance:

The normal time for an operation does not contain any allowances for the worker. It is impossible to work throughout the day even though the most practicable, effective method has been developed. Even under the best working method situation, the job will still demand the expenditure of human effort and some allowance must therefore be made for recovery from fatigue and for relaxation.

Allowances must also be made to enable the worker to attend to his personal needs. The allowances are categorized as:

1. Relaxation Allowance: 

Relaxation allowance may be of two types:

Personal needs allowance- this is for attending personal needs like drinking water, smoking, going to wash room etc. A common personal allowance is about 5% of basic time.

Fatigue allowance- this allowance is given to compensate for energy expended during working.  Fatigue allowance is generally considered as 4% of basic time.

2. Process allowance:

 A process allowance is an allowance of time given to compensate for enforced idleness of an operator due to the character of the process or operation on which he or she is employed.  For example- an operator may not be able to work because he has to wait for a machine to complete its own part or he may be the member of an unbalanced line. These are all unavoidable delay for which the operator is not responsible. Process allowances are generally considered as 5% of the basic time.

3. Policy Allowance:

This is used to calculate payments only in order to enhance the performance of the worker.

4. Special Allowances:

Contingency allowance should not exceed 5% .Such type of allowance may fall into following three categories;

Periodic activity allowances- Allowance for activities carried out at definite intervals of time. e.g., cleaning machines, resetting machines etc.

Interference allowance- This is the allowance to compensate the unavoidable loss of production due to simultaneous stoppage of one or more machines being operated by single operator.

Contingency Allowance- This is a small allowance of time given to compensate such delay as tool breakage involving removal of tool from the holder or power failures for small duration

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