Abstract: The present invention relates to a method and system for budget-compliant, fair and efficient manpower management primarily for service industries to improve customer service, save costs, improve employee morale and productivity. More particularly the present invention relates to a system and method enabling labour planners and schedulers to rapidly develop a budget-compliant, fair, effective, easy to use and manageable and deployable manpower schedule to optimize and increase effective manpower productivity. Further the system and method of the present invention generates manpower plans and schedules suitable for deployment, on the basis of two novel criteria's a) compliance of allocations to planned labour budgets while also being driven by business forecasts and b) using several fairness” criteria so that the desirable and undesirable features of the schedules are equitably dispersed.