Software is one such industry where there is no concept of overtime. An employee can work for 16 hours a day or over the weekend but there is no recognition or compensation for that. Moreover, it’s assumed that employees will be ready for extended hours and weekend working. And it’s usually required more often than not.
Few companies do offer a compensatory day off for working over the weekend. But no company offers anything for working crazy hours on weekdays.
Why is it hard for companies to compensate? or are they simply not willing?
The Indian IT industry is more than 50 years old. It also has an apex body like Nasscom to govern its practices. The industry also has some brilliant minds with diverse experience working in these IT companies. So, why is it so hard for software companies to come up with a decent structure to compensate the employees for their overtime?
Why should the Companies Compensate?
Legal and Humane:- The simplest reason is that companies are taking more work from the employees. Despite working hours not missing from employees’ contracts, the hours are governed by the law of the land. Labour laws should at least be like that of other standard companies.
Motivation:- Getting compensated in some form for the extra efforts that an employee puts in could be a good motivator. Or else people will put in the time but output might not be of good quality. Also, compensation can serve as a good motivator for other employees as well. They will understand that when needed if they pitch in and help out then it will be appreciated and recognized.
Productive and Efficient Employee:- A human body can only do so much. Beyond a certain point even if an employee is physically present he might not be productive or efficient. So why not compensate the person with a break, to relax and get refreshed. A tired mind has the potential to make mistakes as well, which may be counterproductive.
Highlights System Inefficiencies:- Working overtime shouldn’t become a trend in any organization. Employees having to work overtime often, point towards the lacunas in the system. It’s highlighting the inefficiencies within the system if only you are ready to take stock of that. There could be several reasons for employees working overtime. Either the estimates were wrong, or the client is getting the employees overworked, or the requirements were not clear, someone was not present when required or that the skills of the employee in question are not up to the mark. In any case, once you identify the root cause, you can put a fix and can stop the problem from growing. But whatever the shortcomings of your organizational system, the employee shouldn’t have to pay for it.
If companies give it a serious thought, they will understand that compensating the employees for overtime is not only good for employees morale but also helps the organizational cause in several ways.
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