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In a revealing study by ADP, the phenomenon of unpaid overtime is becoming a concerning norm for many workers globally, with 62 per cent of employees admitting to contributing up to five hours of unpaid work each week. The findings are particularly striking in Canada, where 13 per cent of workers report dedicating 16 hours or more to unpaid labour each week. This trend, while often rooted in employee engagement, raises significant concerns about long-term burnout and turnover.
The Burden of Unpaid Hours
ADP’s research highlights a stark disparity in unpaid work across different job levels. The data shows that nearly half of upper management and C-suite executives report contributing at least six hours of unpaid work each week. Alarmingly, 20 per cent of these leaders even claim to work more than 16 extra hours. In contrast, only 9 per cent of individual contributors report similar levels of unpaid time.
Stacey Hummel, an HR executive consultant at ADP Canada, noted that this trend suggests a dangerous cultural norm where leadership is equated with overwork, potentially pressuring all employees to follow suit. “When leaders model this behaviour, it can create a ripple effect, normalising unhealthy work habits across the organisation,” she explained.
The Consequences of Unpaid Labour
The implications of this unpaid work are severe. Workers logging higher unpaid hours frequently report elevated stress levels and a diminished sense of well-being. While they may exhibit strong engagement in their roles, they are also more inclined to seek new employment opportunities, a trend particularly prevalent among executives and upper management.
Hummel cautioned employers about the risks associated with chronic unpaid work. “This is a warning sign of impending burnout, disengagement, and long-term mental health challenges, which ultimately cost organisations far more than the ‘free’ labour they think they are gaining,” she said.
Addressing the Root Causes
One of the primary drivers of unpaid work is often a lack of clarity regarding job expectations. Hummel pointed out that when employees do not have a clear understanding of what constitutes success, they may feel compelled to overwork themselves. “Without defined priorities, workers can become overwhelmed, leading them to extend their hours unnecessarily,” she stated.
Employees can take proactive steps to mitigate this issue by seeking clearer priorities from their managers, scheduling regular check-ins, and resisting the tendency to glorify overwork. Employers, on the other hand, should focus on improving delegation, aligning weekly tasks with priorities, and shifting the emphasis from hours worked to measurable outcomes.
“Employers must help their teams differentiate between healthy engagement and harmful overextension. Engagement should invigorate, not deplete,” Hummel emphasised.
The Rise of Side Hustles
Interestingly, the trend of unpaid work is mirrored by the rise of side hustles among Canadians. A survey conducted by Omnisend revealed that 85 per cent of Canadians who have side jobs embarked on these ventures for financial reasons rather than personal fulfilment. This highlights a growing necessity for additional income, often driven by the pressures of unpaid labour in their primary jobs.
Why it Matters
The increasing prevalence of unpaid overtime and side hustles underscores a significant shift in workplace dynamics. As employees grapple with unclear expectations and the pressure to demonstrate commitment, the risk of burnout escalates, potentially leading to higher turnover rates and decreased productivity. It is imperative for both workers and employers to cultivate a healthier work environment that values balance and clarity, ensuring that engagement enhances rather than diminishes overall well-being.
