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Setting Up A Budget With A Mix Of Unionized & Non-Unionized Employees

When setting up your Labor Budget with a mix of unionized and non-unionized field staff, you would need to make your best effort to forecast how much unionized and non-unionized work you will produce. 

  1. If your mix of unionized work is either closer to 100 percent or a very low percentage, you can move forward with 1 (ONE) budget.
                                                                     

                                                                                       OR 

  2. If this is not the case, we would recommend creating 2 (TWO) separate budgets for the following reasons:
    • if your mix of work leans heavily towards unionized work, the overhead markup for labor on non-unionized work would be significantly higher since the wages would be lower than unionized work

    • if your mix of work is closer to 50/50, you will find that your price on labor would be too high on unionized work and too low on non-unionized work (meaning you would need to recover more via overhead). 

 

 

 

 

 

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