Personal Time, Fatigue and Delay (PF&D)

When considering a piece rate of pay system, employers can leverage a survey of prevailing wages to see if a rate has already been established for the work to be performed. If the prevailing wages are hourly, the employer has the option of conducting a time study to convert the hourly wage into a piece rate.

Employers have several options when conducting their time study. However, the approach should represent what are considered normal productivity levels. For example, the employees participating in the study should not be encouraged to work at a pace they could not maintain over an entire shift.

For this reason, all studies must include personal time, account for worker fatigue and unavoidable delays in getting work to the employee. If the study is relatively long term, like an entire workweek, then the total pieces completed or actions taken during the week would have included PF&D. If the employer conducts a relatively short term study, such as monitoring an employee's output for several hours, the employer would have to account for PF&D. In fact, 29 CFR Part 525.12(h)(2)(ii), requires "appropriate time shall be allowed for personal time, fatigue, and unavoidable delays. Generally, not less than 15% allowances (9 - 10 minutes per hour) shall be used in conducting time studies."

on-call time, decrease in pay, travel time, waiting time, sleep time, piece rate pay system