Comment 122101

By KevinLove (registered) | Posted November 02, 2017 at 13:45:00

This is rather profoundly disfunctional. Since overtime is paid out at a rate of at least 1.5 times regular hours, how are they saving anything by not hiring more employees?

The counter-argument is new employees also get benefits, but working overtime does not incur any benefits costs. In the USA, where health insurance is typically an employee benefit, I have seen cases where overtime hours are actually cheaper than regular hours for this reason.

But this is Ontario! ATU members are covered by OHIP. I find it rather hard to believe that their benefits are so good that it would not save money to hire more people and cut back on this crazy overtime.

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