Hi all,
We are a garment manufacturing company starting a new unit for exports in SEZ. We are into the process of getting Business Social Compliance Initiative Certification by the end of this year. The major problem we are facing is piece-rate payment method for workers. How can it be converted into wages? Please add extra details if I am missing on something.
Thanks,
Abhilasha
From India, Ahmadabad
We are a garment manufacturing company starting a new unit for exports in SEZ. We are into the process of getting Business Social Compliance Initiative Certification by the end of this year. The major problem we are facing is piece-rate payment method for workers. How can it be converted into wages? Please add extra details if I am missing on something.
Thanks,
Abhilasha
From India, Ahmadabad
hi!
buyers who are member in BSCI strictly avoiding piece rate workers.i met a denmark buyers' advocate cum consultant last week and she expressed why they avoiding piece rate workers.
secondly it is better if ur records reflect weekly or monthly wages (as per minimum wages).
More than 10 companies have successfully completed BSCI with our Dedica consultancy services in tirupur.
pragadeesh
From India, Madras
buyers who are member in BSCI strictly avoiding piece rate workers.i met a denmark buyers' advocate cum consultant last week and she expressed why they avoiding piece rate workers.
secondly it is better if ur records reflect weekly or monthly wages (as per minimum wages).
More than 10 companies have successfully completed BSCI with our Dedica consultancy services in tirupur.
pragadeesh
From India, Madras
Dear priya,
My company just passed BSCI last month. I think I can help you.
About salary, if you pay by piece rate, you can calculate the value of a product in the time and then calculate the value of products made in overtime in accordance with current laws of your country.
Ex: In Vietnam, my country:
1 product on time = 0.28$
1 producr overtime = 0.28 * 1.5 = 0.42$.
...
These documents you have to prepare for audit:
Business and Tax registration
2 Internal facility regulation
3 Collective Bargaining Agreement (CBA)
4 Trade Union registration
5 Wage levels table and Compensation policy
6 Payroll records and other payment calculation related records of the recent 12 months
7 Pay slip
8 Time records/Time cards/Manual time attendance records of the recent 12 months
9 Overtime registration/application forms
10 List of employees who are pregnant over 7th month
11 List of employees who are nursing children under 12 months old
12 List of young employees who are less than 18 years old
13 List of newly recruited employees
14 List of resigned employees
15 Employee personnel files
16 Social and Health insurance payment related records
17 Unused annual leave payment related records
18 Environment Health and Safety committee (EHS) records
19 Health and Safety policies and procedures
20 Health and Safety training records
21 First-aid training records
22 Health and Safety risk assessment
23 Certificates and records of medical/clinic staff
24 Medical Emergency Procedures
25 In-house medical log book
26 Accident reports and investigation records
27 Annual health check records
28 Drinking water test
29 Fire prevention and fighting plan
30 Fire prevention and fighting certificate
Fire prevention and fighting inspection reports
32 Fire fighting drill records with photos
33 Evacuation drill records
34 Fire fighting team’s training certificates
35 Evacuation maps
36 Factory’s plan layout
37 Production process diagram
38 List of machine and equipment
39 Maintenance plan and records
40 Maintenance plan and records of electrical system
41 Broken needle records
42 List of chemicals used in the factory and Material Safety Data Sheet (MSDS)
43 Inspection certificates of special machinery (including boiler, air-compressor, fork lift,
elevator…)
44 Operation certificates of special machinery
45 Environmental impact evaluation report
46 Commitment of protecting the environment certificate
47 Annual working environmental inspection
48 Annual surrounding environmental inspection
49 Service contract signed with the qualified industrial waste remover
50 Waste water discharge permit
51 Waste water inspection results
52 Food hygiene and safety certificate for the canteen
53 Food hygiene and safety training records of canteen staff
54 Special health check reports of canteen staff
55 Food sample records
56 Electrician’s certificate/qualification
57 Procedures and records to recruit subcontractors/ suppliers/ sub-suppliers
58 Social responsibility policies
59 Commitment complying with the BSCI Social Requirements
60 Anti-corruption/anti-bribery system
Basic needs wage at company area
62 Control procedure of homeworkers
63 Policies and procedures for remediation of children
64 Outside communication procedure
....
With success
From Vietnam, Ho Chi Minh City
17My company just passed BSCI last month. I think I can help you.
About salary, if you pay by piece rate, you can calculate the value of a product in the time and then calculate the value of products made in overtime in accordance with current laws of your country.
Ex: In Vietnam, my country:
1 product on time = 0.28$
1 producr overtime = 0.28 * 1.5 = 0.42$.
...
These documents you have to prepare for audit:
Business and Tax registration
2 Internal facility regulation
3 Collective Bargaining Agreement (CBA)
4 Trade Union registration
5 Wage levels table and Compensation policy
6 Payroll records and other payment calculation related records of the recent 12 months
7 Pay slip
8 Time records/Time cards/Manual time attendance records of the recent 12 months
9 Overtime registration/application forms
10 List of employees who are pregnant over 7th month
11 List of employees who are nursing children under 12 months old
12 List of young employees who are less than 18 years old
13 List of newly recruited employees
14 List of resigned employees
15 Employee personnel files
16 Social and Health insurance payment related records
17 Unused annual leave payment related records
18 Environment Health and Safety committee (EHS) records
19 Health and Safety policies and procedures
20 Health and Safety training records
21 First-aid training records
22 Health and Safety risk assessment
23 Certificates and records of medical/clinic staff
24 Medical Emergency Procedures
25 In-house medical log book
26 Accident reports and investigation records
27 Annual health check records
28 Drinking water test
29 Fire prevention and fighting plan
30 Fire prevention and fighting certificate
Fire prevention and fighting inspection reports
32 Fire fighting drill records with photos
33 Evacuation drill records
34 Fire fighting team’s training certificates
35 Evacuation maps
36 Factory’s plan layout
37 Production process diagram
38 List of machine and equipment
39 Maintenance plan and records
40 Maintenance plan and records of electrical system
41 Broken needle records
42 List of chemicals used in the factory and Material Safety Data Sheet (MSDS)
43 Inspection certificates of special machinery (including boiler, air-compressor, fork lift,
elevator…)
44 Operation certificates of special machinery
45 Environmental impact evaluation report
46 Commitment of protecting the environment certificate
47 Annual working environmental inspection
48 Annual surrounding environmental inspection
49 Service contract signed with the qualified industrial waste remover
50 Waste water discharge permit
51 Waste water inspection results
52 Food hygiene and safety certificate for the canteen
53 Food hygiene and safety training records of canteen staff
54 Special health check reports of canteen staff
55 Food sample records
56 Electrician’s certificate/qualification
57 Procedures and records to recruit subcontractors/ suppliers/ sub-suppliers
58 Social responsibility policies
59 Commitment complying with the BSCI Social Requirements
60 Anti-corruption/anti-bribery system
Basic needs wage at company area
62 Control procedure of homeworkers
63 Policies and procedures for remediation of children
64 Outside communication procedure
....
With success
From Vietnam, Ho Chi Minh City
Hi Abhilasha,
It's a good idea to have a BSCI certification. Although you have a few moths left to face the Audit, you have to plan carefully to achieve the outcome result successful.
BSCI requires its members to accept the BSCI Code of Conduct and implement it in their supply chain. As of 1st January 2010, the BSCI has strengthened its members´ commitment. According to the commitment, the laborers who fall under the piece rate category should not be considered as beneficiaries of the Social Compliance promises. Because the laborers aim is to get more on mass production within a short span of time, and, company also benefits a lot from this piece rate workers in many ways. So, this kind of piece rate strategies are not recognized by the body of BSCI.
Now, practically, converting the piece rates into wages, as i believe, will not helpful to you. Because the workers you inform your BSCI auditors as your employees must have been involved/registered with Employees State Insurance Corporation and Public Provident Fund etc., You have to maintain proper attendance with proper shift timings etc.,
The information whatever you prepare in records will only help you to achieve the milestones.
Hope you understand the tricky and necessary preparations and wish you to success the BSCI certifications during this year end.
Regards
Salamkool
--------------------------------
"He is no fool who gives up what he cannot keep to keep what he cannot loose"
--------------------------------
From India, Coimbatore
It's a good idea to have a BSCI certification. Although you have a few moths left to face the Audit, you have to plan carefully to achieve the outcome result successful.
BSCI requires its members to accept the BSCI Code of Conduct and implement it in their supply chain. As of 1st January 2010, the BSCI has strengthened its members´ commitment. According to the commitment, the laborers who fall under the piece rate category should not be considered as beneficiaries of the Social Compliance promises. Because the laborers aim is to get more on mass production within a short span of time, and, company also benefits a lot from this piece rate workers in many ways. So, this kind of piece rate strategies are not recognized by the body of BSCI.
Now, practically, converting the piece rates into wages, as i believe, will not helpful to you. Because the workers you inform your BSCI auditors as your employees must have been involved/registered with Employees State Insurance Corporation and Public Provident Fund etc., You have to maintain proper attendance with proper shift timings etc.,
The information whatever you prepare in records will only help you to achieve the milestones.
Hope you understand the tricky and necessary preparations and wish you to success the BSCI certifications during this year end.
Regards
Salamkool
--------------------------------
"He is no fool who gives up what he cannot keep to keep what he cannot loose"
--------------------------------
From India, Coimbatore
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