Wednesday, July 10, 2019
The impact of working less hours on policy.
Part-time work is increasing across the advanced economies, including those working part time but wanting full-time work. Initially this seemed to be a distinctly Japanese problem, but it is now being recognised as a more widespread source of stagnant wages, blue-collar despair and populist politics.
- Weak demand since 2008 has allowed more firms to offer fewer hours to desperate job seekers, giving the under-employment trend momentum.
- Japan has changed its labour laws and broken down norms attached to the content of a job since the 1990s; other countries will follow.
- Convenience and lower wages drive firms to include under-employed workers in their workforce; only a tighter job market will end this.