Harmonising productivity

While Murthy advocates for a 70-hour work week, Gates suggests a three-day work week with the help of artificial intelligence. Both have sparked the right debate, both batting for the same goal—better productivity and employee enhancement. The solution lies in the appropriate amalgamation of "flexible" working hours with appropriate artificial intelligence for specific types of establishments and jobs.

Basically, the classic 9-5 schedule is outdated for many establishments and positions. Some countries have the concept of compressed hours, which involves working longer full-time hours over fewer days. As a middle path, permutation combinations can be introduced in work laws in India, giving greater flexibility to employers and employees in specific types of establishments and jobs. Instead of fixed/less elastic working hours, employees can be given the option to work extra hours on one day with compensatory off on another day. However, such agreements should be with the consensus of both employers and employees. This flexibility can be helpful during days when employers may have deadlines to meet. Choosing hours is also an opportunity for employees to work in tune with their body's rhythm.

The practically prescribed 48 hours of weekly work as per the Shops and Establishments Act is usually not followed by private companies, and permitted modifications are limited. Making employees work beyond the prescribed limits requires the payment of overtime, which is twice the rate of wages, making it expensive for employers. A greater degree of flexibility in schedules could resolve major overtime non-payment lapses. In the work-from-home concept, it will resolve many issues for both employers and employees. Elastic scheduling can also reduce absenteeism. In fact, in the US, spouses coordinate flexible timings among themselves for better childcare.

There is also a need to increase the cap of statutory weekly overtime hours. Currently, the weekly limit is capped at about 60 hours, including overtime, which is not very practical. Enhancing the cap, but with the absolute option of employers and employees, would increase productivity as well as employee payouts. However, one size does not fit all. This may be appropriate for administrative, high-end, tech, and various such jobs but not for factories, mines, construction work, etc.

The legislature has long aimed for systematic daily working hours/spread-overs, especially due to the bleak performance of regular employees. Companies and government departments have resorted to outsourcing core activities due to extreme non-performance and fewer working hours of permanent employees. The identified issue is relevant, and what needs precise curing is the lack of productivity. In fact, a gross disparity exists where, on one hand, contract laborers, casual/temporary workers, and daily wage earners work more hours than statutory stipulated provisions; on the other hand, permanent employees in government, public sector undertakings, and even private sector multinationals, companies, blue chips, conglomerates, continentals, etc., perform similar work, receive high salaries, generous perks, and have comparatively fewer working hours. In some cases, working hours are even less than the eight/nine hours prescribed under the Shops and Establishments Act.

The concept of time modification exists around the world in many countries. Finland is liberal with flexible work schedules. Belgium officially allows a compressed working week by entitling workers to a 4-day work week. In fact, in Belgium, the Act of October 3, 2022, known as the Deal for Employment, allows full-time employees to request an adjustment of their working hours, either by working four days a week, or in the context of an alternating work week. Such job deals are generally laudable, though they have stricter weekly hours limits. In Germany, employees can generally request a reduction in their working time, but a few conditions need to be met, such as after the employee works for a stipulated statutory tenure with the company, like about six months. This kind of flexibility can help resolve the issue of attrition too. Other countries that promote flexible hours include New Zealand, the Netherlands, Switzerland, the United Kingdom, the United States, Ireland, etc.

Bill Gates, Narayana Murthy, and the entire economics world is ultimately aiming for productivity as well as an aptly trained and skilled workforce, which automatically speeds up working. With flexible working hours, such as more hours on some and rest on others, legislation permitting elasticity coupled with better usage of AI, which simplifies work concepts, can be a plausible middle path solution.

The writer is a practising Advocate in Supreme Court and High Court of Delhi. Views expressed are personal