Direct Labor: Variable or Fixed Cost? Throughoutthe corporate world businesses aretransforming labor into a more flexible (and variable) cost.Among suchcompanies are Hewlett- PackardGeneral Electric DuPont SunMicrosystems and British Airways. Discuss whether directlabor is a fixed or avariable cost. What are the pros andcons of management treatingdirect labor as a variable cost? Are there ethical issues tobe consideredhere? Respond to at least two of yourfellow students postings.