Tuesday, February 20, 2024

"Part-Time" Is A Way For Corporations To Abuse Workers


The post below is just a part of an excellent article by Adelle Waldman in The New York Times. I highly recommend you read the entire article! 

In recent years, part-time work has become the default at many large chain employers, an involuntary status imposed on large numbers of their lowest-level employees. As of December, almost four and a half million American workers reported working part time but said they would prefer full-time jobs.

I assumed that the reason part-time work was less desirable than full-time work was that by definition, it meant less money — and fewer or no benefits. What I didn’t understand was that part-time work today also has a particular predatory logic, shifting economic risk from employers to employees. And because part-time work has become so ubiquitous in certain predominantly low-wage sectors of the economy, many workers are unable to find full-time alternatives. They end up trapped in jobs that don’t pay enough to live on and aren’t predictable enough to plan a life around.

There are several reasons employers have come to prefer part-time workers. For one thing, they’re cheaper: By employing two or more employees to work shorter hours, an employer can avoid paying for the benefits it would owe if it assigned all the hours to a single employee.

But another, newer advantage for employers is flexibility. Technology now enables businesses to track customer flow to the minute and schedule just enough employees to handle the anticipated workload. Because part-time workers aren’t guaranteed a minimum number of hours, employers can cut their hours if they don’t anticipate having enough business to keep them busy. If business picks up unexpectedly, employers have a large reserve of part-time workers desperate for more hours, who can be called in on short notice.

Part-time work can also be a means of control. Because employers have total discretion over hours, they can use reduced schedules to punish employees who complain or seem likely to unionize — even though workers can’t legally be fired for union-related activity — while more pliant workers are rewarded with better schedules.

In 2005, a revealing memo written by M. Susan Chambers, then Walmart’s executive vice president for benefits, who was working with the consulting firm McKinsey, was obtained by The New York Times. In it, Ms. Chambers articulated plans to hire more part-time workers as a way of cutting costs. At the time, only around 20 percent of Walmart’s employees were part time. The following year, The Times reported that Walmart executives had told Wall Street analysts that they had a specific target: to double the company’s share of part-time workers, to 40 percent. Walmart denied that it had set such a goal, but in the years since, it has exceeded that mark.

It’s not just Walmart. Target, TJX Companies, Kohl’s and Starbucks all describe their median employee, based primarily on salary and role, as a part-time worker. Many jobs that were once decent — they didn’t make workers rich, but they were adequate — have quietly morphed into something unsustainable. . . .

The shift to part-time works means that focusing exclusively on hourly pay can be misleading. Walmart, for example, paid frontline hourly employees an average of $17.50 as of last month — and recently announced plans to raise that to more than $18 an hour. Given that just a few years ago, progressives were animated by the “Fight for $15,” these numbers can seem encouraging. The Bloomberg columnist Conor Sen wrote on social media last year that “Walmart’s probably a better employer at this point than most child care providers and a lot of the jobs in higher ed.”

The problem is that most Walmart employees don’t make $36,400, the annualized equivalent of $17.50 an hour at 40 hours a week. Last year, the median Walmart worker made 25 percent less than that, $27,326 — equivalent to an average of 30 hours a week. And that’s the median; many Walmart workers worked less than that.

Likewise, at Target, where pay starts at $15 an hour, the median employee doesn’t make $31,200, the annualized full-time equivalent, but $25,993. The median employee of TJX (owner of such stores as TJ Maxx, Marshalls and HomeGoods) makes $13,884. The median Kohl’s employee makes $12,819.

Those numbers, though low, are nevertheless higher than median pay at Starbucks, a company known for its generous benefits. To be eligible for those benefits, however, an employee must work at least 20 hours a week. At $15 an hour — the rate Starbucks said it was raising barista pay to in 2022 — 20 hours a week would amount to $15,600 a year. But in 2022 the median Starbucks worker made $12,254 a year, which is lower than the federal poverty level for a single person. . . .

I’ve come to think that every time we talk about hourly wages without talking about hours, we’re giving employers a pass for the subtler and more insidious way they’re mistreating their employees. . . .

To the extent that the shift to part-time work has been noticed by the larger world, it has often undermined rather than increased sympathy for workers. For decades, middle- and upper-class Americans have been encouraged to believe that American workers are hopelessly unskilled or lazy. . . .

Policies undertaken to increase corporate profits at the expense of workers’ well-being are then held up as evidence of the workers’ poor character. There is poor character at play here. It’s just not that of workers.

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