Why hourly workers should have the same benefits as salaried ones

  • Date: 08-Feb-2021
  • Source: World Economic Forum
  • Sector:Economy
  • Country:Middle East
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Why hourly workers should have the same benefits as salaried ones

“¢ There is growing recognition of the rights of hourly workers, including at legal level in California.

“¢ A new survey shows that hourly workers would benefit from greater flexibility.

“¢ Offering such arrangements also benefits employers in the recruitment phase.

Before COVID-19, hourly workers were rarely deemed essential and were treated like second-class citizens. Now, many of these employees are seen as necessary for civilization to run. Nearly every state governor has issued executive orders that outline industries considered "essential“ during the pandemic, including healthcare, food service and public transportation; in April 2020 it was estimated that there were roughly 48 million workers in essential occupations, constituting about 42% of the US workforce. Among these workers, many are hourly or part-time, and most (57%) earn less than $20 an hour. In fact, essential employees earn an average of 18.2% less than employees in other industries.

As mass layoffs due to the pandemic, force more people to unwillingly take up part-time work, the future of the hourly or gig worker is one of the biggest labour issues facing the Joe Biden administration. With California recently reclassifying gig workers as employees instead of independent contractors, there is no doubt that hourly workers will soon be