Human Resources

Why So Many Americans are Working Multiple Jobs

Employco USA

New research from the Labor Department reveals that 1 in 20 Americans work multiple jobs. While that is the national average, several states have higher numbers than that. 8.7 percent of job holders in South Dakota work two jobs, followed by 8.5 percent of job holders in Vermont, and 8.4 percent in Nebraska.

“Currently, it is difficult to say whether or not these numbers point to a troubling economy or a solid economy,” says Rob Wilson, employment expert and CEO of Employco USA, “On the one hand, it illustrates that many Americans have to work two jobs in order to make ends meet, but on the other hand it also illustrates that people are able to find work.”

Still, Wilson believes it could be a troubling trend. “I believe that Obamacare could be partially behind American’s need to have multiple jobs,” he says, “Many employers balked at the idea of providing insurance to their full-time staff, so in order to skirt around the new rulings, they simply shaved hours off their employees’ schedules.”

Not only did this allow employers to avoid providing health insurance (as only firms with 50 or more full-time staff are required to provide insurance), but it also will allow them to navigate around other potential financial landmines.

“If the new overtime law goes into effect, shaving hours off employees’ schedules might become a must for companies who simply cannot afford to pay their staff these increased wages. Sadly, the people who suffer here are the average Americans—because they now have to find supplemental work just to make ends meet.”

Why Small Businesses Could Suffer under Changes to United States’ Employment Laws

Employco USA

A recent study from Duke University found that employment laws which protect employees from being fired affect small businesses to a much greater extent than large businesses. This is because these employee protection laws leave plenty of room for loopholes, loopholes which large companies can easily utilize to their advantage.

Employment expert and CEO of Employco USA Rob Wilson explains, “Under employee protection laws in places such as Europe, employees are kept safe from being fired under certain circumstances. This means small business owners are forced to keep them on and pay their wages. However, large companies can often sidestep this law by shunting employees off to new locations or rearranging their staff—a luxury a small firm cannot afford.”

Both Wilson and the study researchers conclude that implementing such employee protection laws in the United States could wreak havoc on small businesses.

Wilson says, “Companies large and small have already suffered under recent changes to employment laws. From Obamacare to the minimum wage to proposed changes to overtime, employers are facing new financial strain every day.”

What the New Minimum Wage Requirement Could Mean for Companies

Employco USA
As of last Wednesday, the new minimum wage in Chicago bumped from $8.25 to $10. By 2019, the new minimum wage requirement will be set at $13. However, employment expert Rob Wilson says that there are loopholes which people should look out for.
He says, “There are a few ways that people can possibly work around the minimum wage requirement. The main way is by keeping their company located outside of the city. For example, a company could be located in Deerfield, but still do business in the city, whether it is window-washing or tent rentals. In doing so, they can avoid paying their employees the new legal wage set by the city.”
Wilson, who is the CEO of Employco USA, an employment solutions firm, continues, “Virtual companies could also be confronted with new issues due to this law. For example, virtual companies in Chicago might have to leave if they have minimum wage workers elsewhere. All in all, this new wage ruling will have unexpected consequences as well as potential loopholes.”