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Description
If you thought you would work the
same number of hours whether you
are in the US, Germany or India, you
may be in for a surprise! There are a set
number of maximum working hours for
every country. For instance, India has a
workweek of 48 hours, China of 40 hours
and Australia of 44 hours. Sometimes, it
is set by law and made statutory and
sometimes it is through negotiations between
the employers and the unions.
The 35-hour week in Europe is presently
mired in controversy. Employers are
demanding an increase in the working
hours without a corresponding increase in
pay, a move that the unions are resisting.
However, many European corporate majors
are pushing ahead. Siemens,
Germany’s fourth largest private employer
with a payroll of 1,67,000, has increased
the working hours per week from
35 to 40 without a corresponding increase
in wages. The decision is expected to decrease
labor costs by 10-15%, which
would be highly beneficial for the company
that has recently suffered losses.
Employees were forced to agree to the
policy for fear of the plant being shifted to
Hungary, a low cost area. The shift would
have led to about 2000 layoffs in Germany.