California 4-Day Work Week Bill Called a 'Job Killer'; How Does It Work?

By Mary Webber Apr 12 2022, 20:38 PM EDT

California 4-Day Work Week Bill will prompt a change in the workweek, from 40 hours to 32 hours, where any time spent working after that limit is compensated at a rate no lower than one-and-a-half times of the regular pay.

The bill was proposed by Democratic Assembly members Cristina Garcia and Evan Low, according to a Newsweek report. It aims to give California residents a better work-life balance that many called for during the onset of the pandemic.

Employers would carry a more expensive cost by asking employees to work overtime.

However, the proposed legislation noted that not all companies will be legally bound to shorten their working staff's workweek if it passes.

Only employers with more than 500 employees will have to comply with the measure, while employers with smaller companies will continue to work eight hours a day for five days a week.

California 4-Day Work Week

Cristina Garcia noted that it does not make sense that many are still upholding a work schedule "that served the Industrial Revolution," according to a CNBC News report.

She added that the COVID-19 pandemic and "Great Resignation," also called "Great Reshuffle," have made a point that the time to "make the change is now."

The Democratic Assemblymember also said that there has been no correlation between working more hours and better productivity when it comes to working.

Meanwhile, the bill has also faced criticisms, particularly from the California Chamber of Commerce.

The California Chamber of Commerce opposes the measure and described it as a "job killer" as it will end up imposing more costs on businesses.

Ashley Hoffman, the public policy advocate at the California Chamber of Commerce, noted that labor costs are often one of the highest costs a business faces.

Hoffman added in her letter to Low that such a large increase in labor costs will affect the businesses' ability to hire or create new positions, adding that it will ultimately limit job growth in California.

Dozens of companies across the United States and Canada started a six-month pilot of a four-day week, currently being led by 4 Day Week Global.

Joe O'Connor, CEO of 4 Day Week Global, said that more and more companies are recognizing that the new frontier for the competition is quality of life, adding that reduced hour and productivity-focused work is the vehicle to give them the competitive edge.

Overall, the shortened workweek has been a "relative rarity" across the country, where workers work longer hours in most other industrialized countries, according to a CBS News report.

Only four nations consistently put in longer working hours than America namely, Israel, Korea, Russia, and Mexico.

The common American worker currently works around 1,770 hours a year.

Garcia's proposed measure is similar to a federal bill introduced in Congress by Mark Takano, a California Democrat.

Takano said in a statement that people are spending more time at work and less time with their loved ones, adding that people's health and well-being are worsening.

Takano also cited that the pay has remained for stagnant, which calls for a change.

This article is owned by Latin Post.

Written by: Mary Webber

WATCH: California Bill Would Create 4-Day Workweek - from NBC Bay Area