Question

what is meant by unproductive wages?

Answer 1

Unproductive Wages are the wages paid for work done by workers that does not increases the production capacity nor leads to increase in the output of a manufacturing concern. These are the indirect expenses and are thus debited to Profit and Loss Account.

Answer 2

Unproductive wages:

Unproductive wages means the amount of wages paid to the worker for a particular work which does not result in the increase of efficiency or the output for any manufacturing concern.

Unproductive wages absorb values rather than creating productivity for the organization. Since, these unproductive wages are treated as indirect expenses for the organization or management, therefore, it is transferred to profit account and loss account while making accounting entries.