Workers Get Fewer Hours, Deepening the Downturn

[onehandle]

Source: New York Times

Not long ago, overtime was a regular feature at the Ludowici Roof Tile factory in eastern Ohio. Not anymore. With orders scarce and crates of unsold tiles piling up across the yard, the company has slowed production and cut working hours, sowing worry and thrift among its workers.

“We don’t just hop in the car and go shopping or get something to eat,” said Kim Baker, whose take-home pay at the plant has recently dropped to $450 a week, from more than $600. “You’ve got to watch everything. If we go to town now, it’s for a reason.”

Throughout the country, businesses grappling with declining fortunes are cutting hours for those on their payrolls. Self-employed people are suffering a drop in demand for their services, like music lessons, catering and management consulting. Growing numbers of people are settling for part-time work out of a failure to secure a full-time position.

The gradual erosion of the paycheck has become a stealth force driving the American economic downturn. Most of the attention has focused on the loss of jobs and the risk of layoffs. But the less-noticeable shrinking of hours and pay for millions of workers around the country appears to be a bigger contributor to the decline, which has already spread from housing and finance to other important areas of the economy.

Read more: http://www.nytimes.com/2008/04/18/business/18hours.html

[truedelphi]

1. And laid off workers used to rely on part time jobs

To get them through until the next full time job came along.

But how can anyone work part time - unless the job is within walking distance?

[limit18]

2. Our company cut us back in Jan.

We still get about 10 hrs overtime but nothing over 50 hrs a week.Don't work Saturdays anymore.