How to Calculate Allowance in the Clothing Industry

By | October 19, 2015

How to Calculate Allowance in the Clothing Industry

Noor Ahmed Raaz
Specialized in Apparel Manufacturing
Owner and Editor in Chief Textile Merchandising
Asst. Prof., Department of Textile Engineering
Atish Dipankar University of Science & Technology
Email: textilemerchandising1@gmail.com

 

 Calculate Allowance:

A worker can’t and does not work continuously within the required time scheduling. In the apparel industry, a worker has to do lots of work. For executing all of the work, a worker needs some time for personal and physical refreshment. Therefore, a worker needs some extra time allowed for performing the job. This extra time added to basic time during SMV calculation is known as allowance calculation. The Allowance Calculation process is an important topic for a garments merchandiser. So, today I would like to discuss about allowance calculation process in the garments industry.

We know that the basic formula of Standard Minute Value (SMV)

SMV= Basic time + Allowance

Here,

Allowance Relaxation Allowance + Contingency Allowance + Machine Delay Allowance.

Types of Allowance in Garments:

The following three types of allowances are counted or added to basic time during SMV calculation.

1. Relaxation allowance

2. Contingency allowance

3. Machine time allowance

Types of Allowance

1. Relaxation Allowance:

Relaxation is the time allowed to a worker to feel up personal needs and to get back from fatigue. The relaxation allowance is divided into two ways. They are-

A. Personal allowance

B. Fatigue allowance

A. Personal Allowance:

Personal allowance is one kind of relaxation allowance which is most common allowance in garments. This allowance is provided for the need to leave the work place such as going to wash room, fetching a drink, etc. The common figure is about 5% to 7% of basic time.

B. Fatigue Allowance:

Fatigue allowance is not a common allowance in garments. It is a mental and physical tiredness developed by an employee due to continuous work. This allowance is given depending on the energy expended in doing the job and to alleviate monitory. Normally, it is counted as 4% on basic time.

2. Contingency Allowance:

Contingency allowance depends on the worker, physical strength for doing the job.  It is a small amount of allowance which is given to meet the legitimate delay of work. It is counted less than 5% of basic time.

3. Machine Delay Allowance:

Some time garments, machines are off due to mechanical or technical problems. These are applied to the total basic time for those elements which are concerned with the operation of machinery.

Here are some common figures of the garment sewing floor.

  • Single-needle lock stitch machine = 9%
  • Twin-needle lock stitch machine = 14%
  • Three-thread over-lock machine = 7%
  • Four-thread over-lock machine = 9%
  • Five-thread over-lock machine = 11%

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.