FEWER JOBS FILLED AS FACTORIES RELY ON OVERTIME PAY
In another sign of how hard it is to create jobs, American manufacturers are paying record amounts of overtime and factory workers are putting in more extra hours than ever before. By relying on so much overtime, companies have avoided hiring and jobs in manufacturing have continued to disappear. For decades, overtime encouraged hiring. Companies found it cheaper to hire a new worker rather than assign more hours to existing employees, who have to be paid a 50 percent premium for the extra work.
