Pricing & costMeasurement unit
DLH
Direct Labor Hour
Definition
A Direct Labor Hour is a unit of measure representing one hour of work performed directly on a contract or cost objective. DLH tracking supports cost accounting, billing, earned value management, and performance measurement.
DLH data is essential for labor-intensive contracts where pricing and performance are measured in hours. Understanding DLH tracking requirements helps contractors develop compliant timekeeping systems. DLH rates multiplied by hours provide the basis for labor cost calculations in many contract types.
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