In my earlier article, I discussed what minimum amount an employer should have in his account if he has hired a worker.
Continuing...
Does anybody here ever work on calculating the optimal wage?
I understand that the current market rate is 0.126 after tax. I was wondering how they have reached this number? Or as an employee what is considered good and what is bad.. clearly the higher the better... Fair enough ... but where is the line that separates the good and a bad wage..
One idea is to use the market.. for example, 1pp generates 1 iron and iron costs 0.08... though this again seems unfair since the iron ores are currently taxed at 4% and the bonuses are also 60.5%. While limestone, plant, lead all have different taxes and bonuses but these raw materials cost 0.08.
Setting this aside, so 1 pp gives 0.08 to the industrialist. Hence a worker working on 60.5% bonus mine, with the fidelity level of 10%, will be making 0.08x1.705 = 0.136 per pp.
This 0.136 is the maximum an employer can make per pp unless prices have gone side ways. 0.136 is the max after tax amount an employer can offer at no profit no loss basis.
Our original question, from where this 0.126 came? It is for a mill with bonus 60%, no fidelity levels..
So, per pp profit will be 0.08x1.60=0.128.
And they started offering 0.126 as a wage.
So employer profit per pp at this wage is 0.002 coins. Of course it will slightly increase with fidelity levels increase.