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It is not uncommon for a supervisor to miss an employee's alcoholism because it is masked by other performance issues,such as poor attendance or poor job performance.
Labor Rate Variance
The difference between the actual hourly wage paid to workers and the expected wage, multiplied by the actual hours worked.
Labor Efficiency Variance
The difference between the actual labor hours taken to produce a good or service and the standard labor hours expected, multiplied by the labor rate.
Direct Labor
Labor costs directly associated with the production of goods or services, including wages for workers who physically produce a product.
Standard Costs
Preset costs for delivering a product or service under normal conditions, used as benchmarks to measure actual performance.
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