The cost or charge applied to a unit of labour time, often an hour or day, with the included employment and overhead costs clearly defined.
Why it matters
A rate that omits employment cost, supervision or non-productive time can understate the real labour cost.
Example in practice
The estimate applies an agreed hourly rate to the planned installation hours for each trade.
Use the term carefully
Define the unit and included on-costs. Review productivity and elapsed duration separately from the cost of labour time.
Compare related terms
Use the price-review checklist to keep the client wording and approved basis consistent.