Every organization, depending on the profile of activities, number of employees and revenues volume, adopts their own payroll systems aimed at final payment of work performed and work motivation.

The most commonly used forms are:

• Direct payroll or by working hours;
• Payroll by agreement;
• Payroll by percentage shares.

In addition, there may be other forms of salary calculation.

If an employer wants to achieve a change in the payroll form, for example from direct to direct agreement payroll, are required changes at the unit level and the individual labor contract level.

In case of direct agreement, the deserved salary is directly proportional to the amount of products or work performed. The salary is determined by multiplying the tariff per product or work unit with realized quantities (pieces, kilograms, tons, meters etc.).

The direct agreement is used when the amount of products realized depends on how the person or team accomplishes the work tasks and where the organization is interested in overcoming them.

This salary calculation form has the advantage of not requiring continuous supervision over the use of employee working time, such as the works are carried out on the site or if there are dispersed organizations.

In the context of the forms of work organization and salary calculation are regulated at the organization level, they must comply with the legal provisions concerning the salary and the working time. If at the unit level there is no collective labor agreement, the type of salary calculation may be specified in the internal regulations (even if the payroll is not a mandatory provision in the body of internal regulations).

Also, in the addenda of individual labor contracts, it shall be specified:

• The basic salary for a normal production;
• The addition to salary for work performed in agreement, depending on work results (the charge per product multiplied by the number of compliant products above the standard amount).

The addenda of individual labor contract will be recorded in ReviSal, the salary changes, but not the addition.

The basic salary as fixed element of the salary cannot be set below the national minimum gross salary which currently is 900 lei.

You could also be interested in:

Payroll by Indirectly Agreement: Salary Calculation by Charge

Payroll Software Implementation: What You Need to Know About Your Business?

Payroll by Percentage Shares. Rules and Examples