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Create Jobs and Increase Wages by Reducing Work Hours and Increasing Vacation Time

Created by R.C. on January 15, 2013

Many Americans are unemployed while many others wish they didn't have to work seven days a week.

Wages are low because employers do not have to compete for employees due to a large reserve of unemployed willing to take the place of anyone who demands higher pay or reduced hours.

This situation can easily be modified with new labor laws. Require 1.5 times an employee's hourly rate starting at 32 hours, and 2.0 times their hourly rate starting at 40 hours. Create compulsory vacation time to prevent employers from discouraging its use.

This will create a greater incentive for companies to hire additional employees rather than establish chronic overtime conditions. Then, with unemployment reduced, employers will have to offer competitive pay in order to attract employees.

Economy & Jobs
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