Legal Definitions - piecework

Piecework refers to a method of employment or payment where an individual is compensated based on the quantity of units produced or tasks completed, rather than an hourly wage or a fixed salary.

Here are some examples to illustrate how piecework operates:

• Imagine a seamstress working for a clothing manufacturer. Instead of being paid an hourly wage, she receives a set amount of money for each shirt she successfully sews and finishes. If she completes 50 shirts in a day, she is paid for 50 shirts, regardless of whether it took her six or eight hours to do so.

  This illustrates piecework because her earnings are directly tied to the number of "pieces" (shirts) she produces, not the time she spends working.

• Consider a freelance article writer who agrees to write content for a website. The agreement states that the writer will be paid a specific fee for every 500-word article submitted and approved. If the writer delivers ten such articles in a week, they are paid for ten articles, irrespective of how many hours they spent researching and writing them.

  This demonstrates piecework as the writer's compensation is based on the completion of each "job" or "piece" (a 500-word article), rather than an hourly rate.

• Think about a data entry clerk hired to digitize old paper records. The clerk is paid a fixed rate for every 100 entries accurately transferred into the digital system. If they complete 500 entries, they receive payment for five sets of 100 entries, irrespective of the speed at which they worked.

  This is an example of piecework because the payment is determined by the volume of "pieces" (sets of 100 data entries) completed, not by the duration of their work.