by Outcast_Searcher » Thu 08 Sep 2011, 00:35:29
$this->bbcode_second_pass_quote('Novus', 'O')bama is soon supposed to make a speech on the Dismal Jobs Depression and what he is going to do about it. Honestly decisive action is needed NOW and it wouldn't cost the Government a dime.
Shortening the Workweek to 35 hours would have immediate and drastic effect on the US jobs market.
This is a no brainer the math is simple.
Current US law sets the workweek at 40 hours and any hours worked after that must be paid at time and a half rate. So for example a small business with 10 employees that each work 40 hours would log 400 hours in paid hourly labor.
Under the new law the workweek would be set to 35 hours and any hours worked after that must be paid at time and half rate. So in the same example the same small business with 10 employees working 35 hours would only log 350 hours in paid hourly labor. In order to keep their operations up they would have to either pay for 50 hours of over time for the existing 10 employees or hire two new workers.
Either decision will create more jobs because you will either end up with 10 better paid employees which means more cash for the economy or two new workers which is means to its own end in terms of solving the jobs depression.
In your fantasy world perhaps, but not in the real one we live in.
1). Health care costs -- more employees, more costs. Only with Obamacare (speaking of bad math) can we magically take care of more people who don't pay for it with less money. So until you have something like "Medicare For All" and pay for it with something besides empty promises and projections based on lies and misdirection, no dice.
2). People are already complaining they can't get by with their current wages in America. So you want to reduce people's pay (the only way this would have an actual chance of working) by working less and being poorer. OK -- but GOOD LUCK getting people to AGREE to that. I'd be all for it and many people in Europe (like in France) like it, but not in today's America.
3). For most skilled labor, called "exempt" labor in official corporate world and the law -- people do NOT get paid time and a half for overtime. (A rude awakening I had 11 months into my career (my first promotion), despite the employment CONTRACT I signed, stating 40 hours plus overtime at time and a half for overtime.). Of course, if I didn't like it, I could quit, or work as a ditch digger, I guess. So your whole premise fails for TENS of MILLIONS of white collar workers who must scramble 60, 70, 80, sometimes more hours a week to keep their jobs.
Funny thing, as soon as I was made exempt, my manager told me I could work "all the overtime I wanted", where before he had yelled at me for "blowing the department budget" by working 90 hour weeks to complete the "critical" project I was put on the first day of the job....
Reality works like that -- not by the way you wish it were.
4). If you enforce this rule of time and a half for all hours over your arbitrary limit (why not use 5 minutes a week while you're fantasizing?) -- you'll just greatly accelerate the shipment of jobs overseas, or the shutdown of businessess and mass firings. RIch guys aren't going to lose massive money running companies because you wish the world were different.
The math (arithmetic) works.
Your concept of business, economics, competition, etc. is totally flawed, however.
Your effect on the US jobs market would be many times the NEGATIVE effect that you claim would be a positive effect.
Given the track record of the perma-doomer blogs, I wouldn't bet a fast crash doomer's money on their predictions.