Chapter 14: Labor Requirements and Scheduling © 2005 Thomson Delmar Learning. All rights reserved.

Key Chapter Concepts: Calculating number of employees Determining employee types Calculating operational schedule Calculating pay and budgets

Calculating Number of Employees — Factors Amount of Work Number of enterprises Herd size Staffing Employee types required Shift lengths

Calculating Number of Employees — Basic Measurements Typical FTE Measurements Cows/FTE Milk/FTE FTE/cwt of milk Typical FTE Calculations 50 real hours worked = 1 FTE 55 real hours worked = 1 FTE Employee Type Real Hours Worked FTE Female milker36.8 (average).736 FTE Male milker45.7 (average).914 FTE

Determining Employee Types — Typical Types Dairy manager Herdsperson Assistant herdsperson Head milker Milker Fresh cow manager Hospital manager Breeder Crop manager Fieldworker

Determining Employee Types — Modernization Additional Tasks Learn new equipment Ensure that new items work Ensure that new items are compatible Calve new animals Train animals for new parlor Learn computer programs Carry out everyday tasks as normal

Calculating Operational Schedule — Determinants Number of milking shifts Amount of support work Number of employees Desired length of work shift per employee Time off

Calculating Pay and Budgets — Pay Types Monetary Forms Wages Bonuses Incentives Vacation Retirement plan Profit sharing Social Security Worker’s compensation Unemployment Nonmonetary Forms Health insurance Use of house Food Share of animals born Own animals milked with herd

Calculating Pay and Budgets — Basic Labor Calculation Weekly real X Appropriate = Weekly hours worked pay rates labor budget