Determine the hourly cost of labour


Question:

A system of mining requires 3 operators at any one time . The mine operates on a three shift basis per day , 6 days a week . Allowing for availability the mining system operates 5,000 hours per year. Each worker costs $55,000 per year. Assuming all personnel are required on service shifts , an absenteeism rate of 5%, determine the hourly cost of labour.

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Microeconomics: Determine the hourly cost of labour
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