Keanu

revddy7

2XeYFN-Lecture1b-LabourandEquipmentCostcopy.pdf

Home >Engineering homework help >Civil Engineering homework help >Keanu

Term 3, 2020 CVEN3101 ENGINEERING OPERATIONS AND CONTROL

Instructor: Dr X Shen

Date: 15 September 2020

Labour and Equipment Cost

Revanth

Learning Objectives

How to estimate the costs of labour and equipment?

(Courtesy: Minesurveyor)

Cost of Labour and Equipment

(Courtesy: amsimaging)

Cost of Labour

• Straight-time wage, 8 h/day & 5 days/week • Overtime pay, 1.5 to 2 times of wage • Compensation insurance • Social security tax • Unemployment compensation tax • Liability and property damage insurance • Fringe benefits, e.g. apprentice and pension plans, and health and welfare insurance

Hourly Rate of Labourers

Union Wage – Construction workers who are members of a

labour union – Wage rate established by a labour contract

between their union and the construction contractor’s management

– Union wage rates usually include fringe benefits

Hourly Rate of Labourers

Open-shop Wage – Construction workers who are not members of

a union – Open-wage agreed to by each individual

employee and the employer

Hourly Rate of Labourers

Prevailing Wage – Workers who are employed on projects

funded with state or federal money – Wage rate established by the prevailing wage

at the project location – The federal government and many states

have government-established wage for each construction craft for each geographic location

Example 1 A iron worker works 10 h/day, 6 days a week. A base wage of AUD 20.97/h is paid for all straight-time work, 8 h/day, 5 day/week. An overtime rate of time and one half is paid for all hours over 8 h/day, Monday through Friday and double time for Saturday work. The social security tax is 7.65% and the unemployment tax is 3% of actual wages. The rate for workmen’s compensation insurance is AUD 12.5/100 of base wage, and public liability and property damage insurance rate is AUD 3.25/100 base wage. Fringe benefits are AUD 3.15/h. Calculate the average hourly cost of the iron worker.

Cost of Equipment

• Construction equipment can be purchased or rented • The equipment is purchased when extensive use is required • The equipment is rented if it is used sparingly

Cost of Purchasing Equipment

Cost of Owning (Ownership Cost) – Investment on money required to purchase

the equipment – Depreciation of the equipment over its useful

life – Taxes – Insurances – Storage when not in use

Cost of Purchasing Equipment

Operating Cost – Cost of fuel – Cost of lubricating oil – Cost of maintenance and repair

Cost of Fuel

• The fuel may be gasoline or diesel • Most machines normally operate for 45 minutes in an hour • The machine is not operated at its full capacity all the time, may only during heavy load conditions

Cost of Fuel

Fuel consumption under normal temperature and pressure

– Gasoline engine: 0.22 Litre of fuel for each actual power (kW) developed

– Diesel engine: 0.15 Litre of fuel for each power (kW) developed

Cost of Fuel

Operating factor when an engine works at its full power only for a fraction of operation cycle

– Engine Factor – Time Factor

Example 2

A shovel is used in a digging operation. Its rated power is 120 kW. During an operating cycle of 20 seconds, the engine is operated at full power while filling the bucket in tough ground, requiring 5 seconds. During the balance of the cycle, the engine is operated at 50% of its rated power and the shovel is operated only for 45 min in an hour. Calculate the diesel required per hour.

Cost of Lubricating Oil

The quantity of lubricating oil: – Size of the engine – Capacity of the crankcase – Conditions of the pistons – Number of hours between oil changes

Case Study - Oil Sands Mining in Canada

Fort McMurray, Alberta, Canada (Courtesy: bnb.org)

Mining Construction Equipment

Autonomous Haulage in Australia

(Courtesy: Komatsu)

Learning Objectives

How to estimate the costs of Labour and Equipment?

(Courtesy: Minesurveyor)

Questions?