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Evolution of Labour: The 4-Day Workweek

Search Google right now for the four-day work week and you are bound to find multiple new articles spinning their take on this hot topic. Writers are hailing the onset of a labour revolution; a shift unseen since the 20’s and the historic transition from six-day weeks to five. The Cliffs Notes version is that the four-day work week is currently entering trial across the globe, following the success of a handful of early experiments. Countries and companies are rolling out pilot programs, egged on by the promise of reducing economic waste and permanent long weekends. In some fortunate positions employees who can complete the same work as before, in four days, receive the same compensation as if they had worked five days.

There are two organizational theories that are interesting to look at before we consider the possibility of condensing five days into four. The Punctuated Equilibrium model says that groups do not actually get down to business until halfway through their deadline, at which point behaviour shifts and production ramps up. Parkinson’s Law, defined in 1955 by British Historian Cyril Parkinson, states that people have the tendency to fit their work to the time allotted. People can work faster when they need to, but tend to act leisurely, chit-chat, or do non-essential tasks if there is no looming deadline driving them.

The most notable test run of reduced hours with the same pay may be Microsoft Japan’s. Through August of 2019 Microsoft Japan ran a four-day work week with great results; productivity measured in sales went up by 40 percent; paper printing went down 59 percent; and electricity fell by 23 percent. 94 percent of employees were happy with the program. Jack Kelly insightfully notes in his report published for Forbes however, that the numbers are not everything here. He suggests that staff could have worked exceptionally hard during the trial period or may eventually take the new system for granted once it becomes the standard of operating; one month does not necessarily mean productivity would be sustained.

The excitement for three-day weekends is so universal that it has become political as governments and politicians are showing their support. The government of Spain is offering to help businesses pay for expenses incurred in a national four-day work week experiment.  Andrew Yang, a progressive Democrat who ran in the 2020 U.S. election, said the country should “seriously” consider making the switch on his Twitter account, expressing the benefits for worker wellness and work life balance.  In Ireland, there is a conglomerate of organizations putting together a pilot of the four-day week with mentoring and assistance for companies willing to give it a shot. The government will provide funding for researching the social, environmental, and economic results of the experiment.  Scotland and New Zealand are also reported to be involved in talks for the four-day work week.

It is not all sunshine and rainbows though. Concerning four ten-hour days there are voices of opposition. The primary concerns are worker efficiency, stress accumulation, and competition. Some are of the view that if the week could be condensed workers must not have been efficient or focused. The suggestion here is that management needs to do a better job controlling employee production. Another counterpoint is that working four ten-hour days accumulates more fatigue and stress than does five eight-hour days. There is also an argument based on the idea that competition will gain an advantage by continuing a five-day week, possibly contacting your customers while you are unable to respond. Other voices of concern are focused on the loss of work culture, the fostering of relationships and a possible loss in career development.

The organization of work is an ever-evolving beast that rides on the saddle of technology. Most businesses that can cut hours for the same pay are either tech or knowledge enterprises, wherein the product for sale is often knowledge or information. The question of a four-day work week will most likely prove to be a circumstantial tool. Some industries and corporations could thrive with periodic use, some may use it year-round, and some may never see a positive implementation. Will this be a worldwide change in labour practices, or will it fizzle out as incompatible dream material? The answer might be right around the corner. Oh, what a time to be alive.

References
https://www.history.com/this-day-in-history/ford-factory-workers-get-40-hour-week#:~:text=On%20May%201%2C%201926%2C%20Ford,office%20workers%20the%20following%20August.https://www.workstars.com/recognition-and-engagement-blog/2020/03/25/six-businesses-that-have-moved-to-a-four-day-working-week-and-what-they-found/

https://www.theguardian.com/world/2021/mar/15/spain-to-launch-trial-of-four-day-working-week

https://www.nbcnews.com/business/business-news/four-day-work-week-might-be-exactly-what-u-s-n1229631

https://www.businessinsider.com/andrew-yang-4-day-workweek-longer-weekend-improves-mental-health-2020-5

https://news.osu.edu/why-a-four-day-workweek-is-not-good-for-your-health/

https://personalmba.com/parkinsons-law/

ORGB. (2020) Nelson, Quick, Armstrong, Roubecas, Condie. 

Cultural Diversity in the Workplace

A decent variety identifies with various societies, foundations, ages, sexual orientations, identities and different elements. It likewise identifies with how individuals see themselves and how they see others. Cultural variety in the work environment has turned into a key worry to pioneers and chiefs of associations today. Associations are crossing outskirts and mainland in the mission for more markets. Work movements are acquiring individuals from various races, foundations, sexual orientations and identities into the work environment. Enrollment masters are hunting down work ability all around. At this point, what are the ramifications of these to an association? How does these influence administrators? What are the principle things a director has to know in regards to variety in the work environment? We should think about some notable angles.

To the employee: listed are some of the ways to respect the diversity in the workplace;

We all have biases. This is a natural result of our life experience. Take a moment to write down what your biases are and ways in which you wouldn’t allow these biases to affect how you conduct yourself in the workplace.

  • Take a genuine interest in someone with a different background than your own. Make sure your conversions are deep rooted in a common ground that does not offend cultural sensibilities.

  • Bring together, diverse groups for invitation. Doing this will increase the pace and creativity involved with innovation. Companies that do not change and innovate will crumble and the diversity can be a company’s most valuable resources in this area.

  • Respect religious holidays. Most company’s respect Christian holidays, however, the workplace tends to have a variety of religions. Thus, all-important holidays should be respected of that particular religion.

  • Create interest in organizing a lunch with someone from a different background and try changing lunch tables to meet new people.

To the Director: In the worldwide town, having decent variety is a reality and not simply administrative buildup. As a director, you have to comprehend, embrace and value cultural diversity. The director of a company will unquestionably have various groups in any case and the onus is on him/her to adjust their administrative abilities corresponding to this.

It is prudent for human asset supervisors and enlistment specialists to think about assorted variety while distinguishing and pulling in ability.

Cultural variety must be implanted into the way of life of the association. Your association’s way of life is produced after some time and contains the convictions, values, practices, states of mind and other basic suppositions shared by individuals. Envision a different work environment with its way of life genuinely skewed and doesn’t consider having a variety of diversity.

As an administrator, you have to realize that having a decent variety in a working environment is a benefit. Numerous focal points gather from having a decent variety and your association can profit from this because cultural variety upgrades cooperative energy in a work environment. Cultural variety additionally enhances inspiration and motivation and these can bring about expanded efficiency, gainfulness and rate of profitability. It gives a decent stage to learning since it brings new points of view and methodologies, new authority styles, better basic leadership and so forth. The mix of various encounters, foundations and vocation ways can be a gift. This can be utilized to enhance productivity and viability of people and furthermore, groups. Item advancement groups for instance, can be multidisciplinary and multicultural for motivations behind having a decent variety.

Presently, shouldn’t something be said about the drawback of having a decent cultural diversity? Work environment assorted variety additionally has its impediments and risks. Correspondence issues commonly emerge and these can be trying to your element’s activities. Isn’t this test regular with multinationals? Cultural diversity may likewise breed protection from change. Most times workers may likewise be enraptured along lines of decent variety. Past the substance and into the business world, complexities in business arrangements crosswise over societies and so on can emerge because of cultural variety.

Associations can take the advantage of cultural diversity to enhance administrations of the association. When you lead business universally for instance, your client base is exceptionally different. The general public you work together in is various. Decent variety in this manner mirrors your client base and the general public overall. Wouldn’t you be able to then utilize your differing group to enhance administrations to the classified client?

Presently, would you say you are setting adequate accentuation on work environment decent variety? Is your association very much situated to oversee work environment assorted variety? Thinking about all the above certainties, it is crucial that you do the needful. Comprehend cultural variety and make its best utilization, while limiting its negative effect on your company.

Embrace diversity in your workplace and you will be on the way to a more fulfilling and productive organization. The world is a beautiful mosaic of differences and the workplace should be as well. Respecting your co-workers and employees is paramount to tapping the valuable diversity in your organization.

Reference

Charlie Bentson King: Writer and producer of training ABC

This article was edited by volunteer editor Erin Murphy.

The Gender Wage Gap Explained

Many famous individuals have used the quote “Women earn 79 cents for every dollar a man makes”, and although this fact is statistically true, there is a lot that is unexplained in it. The above fact only compares the two median wages of men and women and does not factor into account how the wage gap plays out in individuals with different education levels, different occupations or different ages. These factors are very important to take into account if we want to ever close the gender wage gap.

To explain much of the argument on the gender wage gap, I must first state that economists have modeled wages through the Mincer Wage Equation, which can be stated as:

The equation above can be interpreted as log wages is a function of the years of schooling, plus the amount of career experience, and career experience squared, and an error term and a constant term for other unaccounted for factors. In simpler words, employers reward employees for the amount of schooling and experience they hold.

Child-bearing responsibilities

June O’Neill wrote a paper in 2003 studying the gender wage gap in the US economy by looking at two population surveys. In his conclusion, he writes, “As I have shown in this paper, the unadjusted gender gap can be explained to a large extent by nondiscriminatory factors. Those factors are unlikely to change radically in the near future unless the roles of women and men in the home become more nearly identical.”

What June O’Neill meant to convey in her conclusive remarks is that much of the gender wage gap can be attributed to the fact that females are the only sex that is biologically able to produce offspring. It is not a discriminatory attribute that women have the ability to give birth, and this ability has continuously led to the difference in the amount men and women earn.

What usually tends to happen after college graduation in today’s labour market is after holding a stable job for a few years, when women are in their mid-twenties and thirties, they usually take some time off to give birth and nurture the child after birth. In a study conducted by Bertrand, Goldin and Katz to examine the gender wage gap in MBA graduates, they state that one of the principal reasons why there exists a big gender wage gap between men and women is that in the first fifteen years post-graduation, women take on more career interruptions and work shorter weeks because of household responsibilities. The study also finds that even though some women took modest breaks from work for parental leave, the labour market penalized these breaks greatly. The discontinuity in a professional career during this age is also the prime time to build one’s career.

Such discontinuity is penalized by a lower wage, and this is quite fair because the said individual took time off during a time where they could be obtaining prime experience in their careers. June O’Neill finds that 34% of women with children under the age of six were out of the work force between the ages of 25-44 compared to only 16% of women who were out of the workforce who did not have children. Making the choice to have a child is a quite strong indication of work discontinuity which will directly lead to a loss in experience gain and a lower wage.

Career choice

The science behind the labour market is centralized around human capital theory, where employees are rewarded with wages for their ability to demonstrate their knowledge and do so efficiently.

Again, it is no secret that some careers are better paid in today’s world than others. This is a harsh reality in some underpaid occupations, but in other cases, it is quite justifiable. Rewarding an occupation like a surgeon to perform life-saving operations is very fair in my opinion.

“The expectation of withdrawals from the labour force and the need to work fewer hours during the week are likely to influence the type of occupations that women train for and ultimately pursue” – O’Neill, 2003. This statement in his paper is given by examining the career choices that women have chosen and how they came to the decisions that they did through population surveys. Women tend to lean towards occupations where there is more leniency towards career discontinuity and careers where part-time worked is more readily available. A direct example of this is the nursing versus doctor industry, where most nurses are women. Nurses hold set shifts and know exact times when they will be working and so is more favourable to a mother who has to care for a child. As an emergency doctor that can be called in at any time during the day, your shifts can vary a lot and it would make life difficult to care for a child and be on-call at a hospital.

Conclusion

Much of the gender wage gap can be explained by the two factors that are outlined above. The fact that women take breaks during their working life to nurture children and build their households, and that women choose careers that are more flexible in the hours that employees are required to work, which is a result of the time off women need to take to have children.

Although this explains a lot of the gender wage gap, there is evidence to support that some of the wage gap is purely discriminatory. But there is some good news to accompany this, Pew Research Centre conducted a study that found that “The gender gap in pay has narrowed since 1980, particularly among younger workers…” and so there is some hope that someday we will be able to eliminate the gender wage gap completely.

References

Brown, A., & Patten, E. (2017, April 03). The narrowing, but persistent, gender gap in pay. Retrieved August 11, 2017, from http://www.pewresearch.org/fact-tank/2017/04/03/gender-pay-gap-facts/

O’Neill, J. (2003). The Gender Gap in Wages. The American Economic Review, 93(2), 309-314. Retrieved August 7, 2017, from http://www.jstor.org/stable/3132245

Bertand, M., Goldin, C., & Katz, L. F. (2010). Dynamics of the Gender Gap for Young Professionals in the Financial and Corporate Sectors. American Economic Journal: Applied Economics, 2, 228-255. Retrieved August 04, 2017, from http://www.aeaweb.org/articles.php?doi=10.1257/app.2.3.228

This article was written by volunteer Mohammadali Saleh.

Opinions expressed are not necessarily those of Journey to Diversity Workplaces.