The Trade-off

In today’s tight economy, many companies attract workers with on-site cafeterias, health clubs and childcare. Is there any reason to go home?

by Karen Johnson

The good news: Many of us are making more money. The bad news: We’re also working more. Much more. A report released over Labor Day weekend by the Economic Policy Institute states that married couples with children worked over 14 weeks more in 1998 than they did 30 years before. Additionally, the report states that U.S. employees worked more hours ‘than do workers in every other advanced economy except Portugal.”

These numbers don’t come as a surprise. Many of us have grown accustomed to 10- and 12-hour workdays, as well as the larger paychecks that come with them. But to what extent — if any — are we really benefiting from working longer hours?

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Throughout the industrial revolution and the 19th century, factory workers in the U.S. and Europe were forced to work between 75 and 80 hours per week in filthy, dangerous conditions, with little or no benefits or recourse. Times have changed, thanks in large part due to the rise of organized labor in the late 19th century. Unions made considerable gains in the 20th century, and deserve credit for the 40-hour workweek and the weekend. But fixed hours are not a reality for many employees. 

The recent Verizon strike put "forced overtime" in the headlines. Although Verizon employees (most of whom were represented by the Communications Workers of America and International Brotherhood of Electrical Workers) were compensated for working extra hours, they were forced to accept up to 15 hours of overtime, often with little or no notice, or risk termination. The strike has been resolved, and employees can now be forced to work only 7″ extra hours per week and must be given at least 2″ hours notice. An improvement, but still not much of a choice for those who need time off more than the extra bucks.

Overtime conditions for salaried employees are often worse. By definition, salaried employees (including consultants, managers and other white-collar workers) are not compensated for their overtime. The trend toward encouraging long hours in this sector is in some cases resulting in what essentially amounts to forced unpaid overtime.

The evolution of labor from agricultural to industrial, then from retail to knowledge and information services has resulted in the increased intangibility of our functions. It is infinitely more difficult to measure the time invested in jobs by those in the knowledge and information fields. For example, a retailer’s job may be defined by performing an eight-hour shift, while an advertising executive’s time will vary time depending on the success of brainstorming, the development of ideas and the receptivity of clients. In jobs where only the finished product matters, employees typically must schedule themselves around a project rather than an eight-hour day.

Additionally, the increased mobility of the workplace has blurred the lines between work and leisure — witness the rise in the number of employees who take work home every night or who bring their laptops with them on vacation. According to the U.S. Bureau of Labor Statistics, more than 31 percent of workers put in 41 or more hours in 1998. Some are hourly employees whose motivation is to make more money; others simply find themselves with more work to do.

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Encouraging and rewarding workers who put in long, unpaid hours has obvious benefits for companies. A company needs only four salaried employees who average 50-hour workweeks to reap the benefits of another full-time employee, without paying an additional salary. With gains like these, it is well worth it for companies to give bonuses, raises and other rewards to employees who don’t watch the clock.

Over the past several decades, as more women have entered the workforce, more families have struggled with the dual responsibility of work and raising children. As a result, more employers now offer accommodations such as modified work schedules, telecommuting and in-house childcare that merge work time and family time. For many families (particularly women who are often forced to choose between their families and professional advancement), these accommodations have proved extremely helpful.

Some see a more ominous threat, however. In a recent op-ed piece in The New York Times, Cameron Stracher, a lawyer and author, states that "such ‘benefits’ have also become yet another device ” like the pager, cell phone and wireless Internet access ” that shackles us to work while purporting to set us free."

A recent “Best Practices’ article in Business Forward entitled “… And Baby Makes CEO” tells the story of Julie Holdren, a young CEO and new mother. The article glorifies the CEO’s approach to professional success around motherhood, which included hiding the pregnancy from her colleagues for six months, working up until the day she gave birth, making business calls during labor and returning to work full-time after three weeks of telecommuting and dropping by the office. She makes it clear that her company is as important as her children. "I see having twins as a huge accomplishment," she says. "But I am equally as proud of my team”"  Holdren also says that she hopes other employees who are pregnant "will get to take more than three weeks off." But as the article notes, Holdren has "set the tone from the top." 

Employees who are provided with food, exercise equipment and even showers at the office have fewer reasons to leave.  Technology companies in particular have provided such perks, in part to attract skilled employees who are in high demand. Busy employees may even be tempted to take advantage of comfortable couches rather than sleep at home when their schedules demand that they work late and arrive early. Certainly, bonuses, on-site fitness centers and cafeterias and Starbucks coffee in the kitchen are all wonderful advantages. However, after taking into account decreased family and leisure time and factoring in the amount that one’s hourly rate decreases when the salary is divided by the amount of hours spent at work, in the end it may be more satisfying to leave work on time, go out for dinner and join your own gym.

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Of course, unpaid overtime is often a two-way street. Many of us choose to work long hours, day after day, year after year, even without the threat of termination or reprimands. Some people genuinely love their work and don’t mind putting in the extra hours. Those who work for a company in its infancy may be willing to work long days with the understanding that the intense schedule is customary for a new business, and getting in on the ground floor will lead to future rewards.

However, many have less rewarding motivations. The most severe is workaholism, the compulsive and unrelenting need to work. Workaholics become addicted to their jobs to the extent that their personal life and physical health are put at risk. Others may work late to escape problems in their personal life — working can take your mind off troubles and provide a sense of self worth and control.

A strong work ethic, historically common in our society, can drive many people to work longer days, especially if there is more work than they can handle in eight hours. One person I know who is notorious for staying late and working weekends admits that she is not motivated by love for her job or financial incentives. Instead, she says that she feels guilty if her work isn’t completed. “I feel like I’m letting someone down. There’s a definite sense of accomplishment when I complete a task, but that feeling usually pales in comparison to the guilt I feel over other jobs that have yet to be finished.” 

In this situation, an understaffed company can easily abuse employees who are dedicated to doing a good job without offering any inducement other than their own sense of responsibility. It can also have a snowball effect on the entire workplace. If those who work longer hours are held as an example of the "model worker," other employees will be obliged to follow suit. Eventually, long hours become expected for all employees, even if there are no rewards.

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Working can make us feel productive, dedicated, accomplished, needed and deserving of the money we earn, if not more. Putting in extra hours can exaggerate these feelings. In short, we think that work is good for us, even if we don’t enjoy it.

In many ways work is good for us. It benefits our personal growth and intellect. But the benefits to body, mind and soul do not necessarily correspond with the number of hours worked. Medical reports released throughout the past decade show how detrimental overworking can be. In addition to the fatigue and stress caused by long hours, overworked employees can experience moderate to severe medical problems. They have less time to exercise, are more likely to skip doctor visits and tend to eat a less healthy diet. They are also more prone to both depression and suicide.

The trend of suicides and cardiovascular diseases among overworked white-collar employees became so severe in Japan that by the mid-1990s the term Karoshi – death from overwork — had become popularized. By the end of the decade, lawyer networks, a national defense council and the Japanese Labor Ministry had taken action to investigate deaths from overwork and to certify some suicides as occupational.

Overworking damages personal lives as well. Working late robs people of valuable time to spend with their family, friends and themselves. The effect can also have negative consequences for the company. Health and personal problems associated with overworking can lead to increased sick days and less productivity. 

A 1997 study on Sources and Consequences of Workplace Pressure conducted by the American Society of Chartered Life Underwriters & Chartered Financial Consultants and the Ethics Officers Association, an organization of ethics officers from major corporations, found that of the 1,324 workers surveyed, 60 percent said they felt a "substantial amount of pressure" at work. The most commonly cited reasons included balancing work and family, work hours/work load, and poor leadership and communication. 

More than half, 56 percent, felt some pressure to act unethically or illegally on the job and 48 percent reported that they had engaged in one or more unethical or illegal acts, most commonly  by cutting corners on quality control, covering up mistakes and abusing sick days. Workers in manufacturing and healthcare industries reported feeling the highest level of pressure to act illegally or unethically. Those most likely to actually do something illegal or unethical were in the computer and software industry, followed by advertising and marketing. 

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Few people would consider the idea of supporting a “work reduction movement” a viable possibility. Working eight-hour days may limit potential promotions or raises, and reduce quality and competitiveness. If nothing else, it would completely go against the American work ethic.

On the other hand, however, this might be the most appropriate time to reconsider the notion of overtime. Time off should not be a tradeoff for limited advancement or decreased salary. As the New Economy increasingly enables us to connect to work at any time of the day or night, the need to learn how to ‘disconnect” has never been more urgent.

Karen Johnson is relocating from Washington, D.C. to San Francisco and is seeking a job that does not involve ridiculously long hours or heavy lifting.