Piece Wage Rate

the wages paid to a worker based on the unit produced (work). Piece wage rates are determined by multiplying either the rates for piecework or the preparation-and-completion time in hours by the hourly wage rate that corresponds to the category of job being performed, or by dividing the daily wage rate by the output quota per shift. When wage rates are set, piece wage rates are directly proportional to time rates and inversely proportional to output quotas.