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Advantages and Disadvantages of the Different Types of Working Hours'

Organisation

Article · March 2017

DOI: 10.26417/ejes.v7i1.p199-203

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 ISSN 2411-9571 (Print) European Journal of Economics Jan-Apr 2017
ISSN 2411-4073 (online) and Business Studies Vol. 7 Nr. 1

Advantages and Disadvantages of the Different Types of Working Hours' Organisation

Maria Titopoulou
Ralitsa Ganeva
Jeni Staykova
Efstathios Titopoulos

Abstract

The variety of existing work schedules offers advantages and disadvantages for workers, as well as for their
employers. While some flexibility in working hours is oriented to the needs of workers 1 (beyond the minimum
standards required for the protection of the employed), another is focused on meeting the needs of businesses
(in the literature concerning the working hours, it is often called “variation”).

Keywords: Flexibility of working time, Organization of working time, Traumatic occupational injuries, Work and health

1. Introduction

The purpose of the study is to highlight the advantages and disadvantages of different types of working time ‘organization
for both workers and employers in a working market economy.

The organization of the working time can be beneficial as only for the workers or only for employers, but it might be fruitful
to both parties simultaneously. The structure and organization of the working hours affect the extent to which the
employment agreement complies with the needs of the workers, of the employer and of both parties together.

2. Materials and Methods

Studying the ways and best practices in which the working hours are organized for a specified period. Summarizing the
advantages and disadvantages of different types of working hours arrangements from the perspective of both workers and
employers.

3. Results

The advantages and disadvantages of the different types of working time’ organization both for employees and employers,
such as: overtime, working on shifts, working part-time, floating working time, compressed work week and hourly work are
summarized in a tabular form.

It is important to emphasize that the different forms of flexibility can interact with each other: for example, temporary
employment can be used by enterprises in combination with temporary flexible working hours. Also, the enterprise may use
different forms of flexibility in terms of working hours; employers react to fluctuations in market demand by increasing or
decreasing the number of employees or by increasing or reducing the working time of employees. In fact, the last years of
global economic crisis clearly showed how the emphasis on flexibility of working hours could promote job stability, since

1 Currently in the EU and beyond there is some confusion about the concept of working time or time flexibility, especially in the context of
the ongoing debate in the EU on ‘flexicurity’. The focus of our research is solely aimed at flexibility of working hours, which is defined as
flexibility in the ways in which work is organized during a specified period of time. This kind of flexibility implies a certain number of
workers with variable or flexible working hours and should not be confused with flexibility in terms of number of employees.

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there were significantly fewer job losses in companies and countries (such as Germany and the Netherlands) which due to
the reduced market demand preferred to optimize the organization of working time of employees rather to proceed to staff
cuts.

Table 1: Advantages and disadvantages of different types of working-time arrangements for employees and
employers
Type of working-time EMPLOYEES EMPLOYERS
arrangement Advantages Disadvantages Advantages Disadvantages
Overtime + Higher earnings - Potential negative + Opportunity to better - Additional costs for
impact on health and synchronize working overtime payment
+ Longer periods of safety at work and on hours with the production
paid leave (if the balance or services requirements - Potential reduction of
compensatory time professional life – marginal productivity
off is granted private life + Increased production in
instead) response to the - Increased risk of work
- Work intensification, increased demand diseases and accidents
+ Greater possibility especially in certain
for the employees to periods + Extended working
control the hours
organization of
working time + Extended operating
(more intensive use of
facilities and equipment)

+ Possible catalysing of
more innovative changes
at the workplace

Shift work + Higher income in - Potential negative + Extended operating - Higher labour costs
case of premiums effects on health and (more intensive use of and wages
for certain types of safety at work and on facilities and equipment,
shifts the balance work life - including (semi-) - Greater complexity in
family life, especially in continuous production terms of work
+ Longer periods of the case of night work process organization
paid leave if
compensatory time - Other difficulties, + Better coping with - Potential negative
off is granted (e.g. lack of FMCG / perishable effects on health and
instead) transportation and goods safety at work,
training) particularly in the case
+ Better + Better use of increased of night work
reconciliation of productivity of human
work and family life capital and capital
resources

+ Better budget planning,

with predictable costs

Part-time + Better balance - Lower quality of work + Improved adaptation to - Potentially higher
arrangements between work and in terms of fluctuations in consumer administrative costs
personal life, due to remuneration, job demand
the smaller number security, training, - Higher taxes and
of working hours social protection + More flexible work social contributions in
planning the event that working
+ Means of (re) - Higher risk of poverty part-time cover the
entering the labour among workers + In certain cases, tax same hours for full-time
market for women incentives

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and youth - Possibility to reduce

the payment if + Increased ability to
+ Gradual transition overtime is eliminated predict future periods of
from full-time work and basic higher workload
to retirement remuneration is not
increased
Floating working + Ability to optimally - Potential + Better adapt to - Potential
hours use worker’s time, inconvenience for changes in workload administrative difficulties
which therefore has some workers, due to in keeping and
a positive impact on new schedules + Increase productivity monitoring
their health and and motivation of documentation
well-being - Potential risk of workers
overload in order to - Increased complexity
+ Strengthen the save time (limiting the + Extended operation of work schedules
stability of degree of time (more intensive use of (creating additional
employment sovereignty) facilities and equipment) costs)

+ Guaranteed stable - Possibility to reduce + Reduction in the cost of - Possible loss of control
income the payment if overtime and related over certain aspects of
overtime is eliminated compensation thus working time
+ Greater possibility and basic reducing the labour cost
for the employees to remuneration is not
control the increased + Reduction in turnover
organization of
working time - Loss of control on + Reduction in
actually worked hours absenteeism
+ Easier commuting (particularly in the
(less traffic case of individual
congestion and less contracts)
overburdening of
public transport
during peak hours)

+ More balanced
distribution of time
between work,
family and private
life

+ Extra time for

training, rest, private
life
Compressed work + Fewer working - A longer working day + Reduced operating - Increased fatigue and
weeks days costs (energy, water, risk of accidents
- Increased fatigue etc.).
+ Reduced and risk of accidents - Lower productivity
commuting time and
transport expenses - Labour - Possible loss of control
intensification, over certain aspects of
+ Better especially in certain working time
reconciliation of periods
work and private life

+ Larger paid leaves

with better planning
of leisure
Annualized hours + Stable income, - Unpredictable and + Better adaptation to - Complex
arrangements/other regardless of irregular working hours changing production administrative
forms of hours variations in hours requirements or services procedures and

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averaging worked - Workloads with provision associated costs

varying severity
+ Potentially + Increased opportunity - Possible loss of control
increased influence - Problems with to reduce overtime and over certain aspects of
(control) of balancing work and the related working time
employees on their personal life compensation, thus
working time reducing labour costs
- Possibility to reduce
+ Better the payment if + Reduction in labour
reconciliation of overtime is eliminated costs in the event that
work and private life and basic there is no overtime
remuneration is not payment
increased
+ Reduction in
- More unsocial absenteeism
working hours without
compensation (in + Reduction in turnover
particular the loss of
compensation for
overtime)

- Loss of control on
actually worked hours
(particularly in the
case of individual
contracts)

4. Discussion

The main advantages of the various types of organization of working hours for workers result in higher income, longer
periods of paid leave (in case of admission of compensatory rest), better reconciliation of work and family life, the
opportunity for optimal use of workers ‘time, thus resulting in a positive impact on their health and well-being, etc., and
among the disadvantages we would highlighted: potential negative effects on health and safety at work and on the balance
of work-life, intensification of work, especially at certain times, a longer working day, increased fatigue and risk of accidents
at work, intensification of labor, especially at certain times, etc.

With regard to employers as advantages we can highlight the possibilities for better synchronization of working hours with
the requirements of production or services, increased production in response to increased demand, more intensive use of
facilities and equipment, improved adaptation to fluctuations in consumer demand, more flexible work planning, and as
disadvantages the extra costs for payment of overtime, potentially reduced marginal productivity, an increased risk of
diseases and accidents at work, complicated administrative procedures and related costs, etc.

5. Conclusion

In order to optimize the working time in XXI century it is necessary to find a reasonable balance between the needs of
workers (which require protection in terms of occupational health and safety and personal / family life) and the requirements
of enterprises, which also take into account public needs.

Clearly defined rules on the organization of working hours in enterprises in the following posts would largely minimize and
eliminated the tension between workers and employers:

• Limits on daily working hours (maximum duration of the work shift and minimum daily rest periods);
• Limits on weekly working hours;
• Breaks during the working day; paid annual leave;
• Protection for night workers;
• Equal treatment of workers with a temporary employment;

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• Atypical/ precarious organization of working time;

• Achieving balanced flexibility of working time;
• “Work sharing”;
• Social dialogue and collective bargaining on working time.

The improvements in the work organization by introducing policies and regimes, developed on the basis of physiological,
social and health-based requirements, and in accordance with the specifics of the labor process can significantly reduce
the health risk and the level of occupational injuries in terms of micro and macro economical aspect.

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