No, our economy and businesses cannot afford a decrease in worker productivity right now
Corporate profits are at record high year of year with no stutter during the pandemic. Workers need…
While it is a noble sentiment to ensure workers are compensated fairly for overtime, one must also consider the potential repercussions on small businesses. For instance, many small businesses operate on slim margins and may not be able to afford the increased costs. This could potentially lead to job cuts or reduced hours, negating the intended benefits of the policy.
Moreover, it may inadvertently promote a culture of overwork, which can have serious implications for employee health and well-being. A study by Stanford University found that productivity per hour declines sharply when a person works more than 50 hours a week. After 55 hours, productivity drops so much that putting in any more hours would be pointless. And, those working up to 70 hours (or more) per week, actually get the same amount done as those working 55 hours.
So, while the intention is good, the real-world implications may not always be beneficial. How would you propose we balance the need for fair compensation with the potential negative effects on businesses and employee well-being?
@3V73MTMProgressive 7mos7MO
Small businesses have a responsibility to be honest for the benefit of all employees. If employees are working overtime, they need to be compensated period. If small businesses can’t afford to compensate their workers, they have a responsibility to let some of their staff go.
Especially in cases where businesses know this is a potential reality on the outset, they should be held accountable for not implementing safeguards for their employees (or otherwise not hiring).