2005/02/13 - Jorge Valín - Libertad Digital

The 35 Hour Fiasco

The 35 hour work week doesn’t need to be destructive as long as it isn’t forced on people by law. We have gone from an average work week of 70 hours in the early 19^th century to around 40 today. Some believe this drop is thanks to the efforts of politicians, unions and lobbies. But, in truth, this decrease in hours worked was made possible by the free market, that is to say, capitalism.

France is reviewing its disastrous 35 hour work week law. According to Eurostat, since imposing the law, French productivity per capita has fallen 4.3%. In contrast, over the same period, productivity per capita in the United Kingdom has jumped 5% and in the United States 6%.

But the utter failure of the 35 hours hasn’t spurred the French government to abolish the law, merely “correct” it, contributing once more to the deterioration of its economy. Mark it down as another economically devastating “social conquest” (read imposition).

The 35 hour work week doesn’t need to be destructive as long as it isn’t forced on people by law. We have gone from an average work week of 70 hours in the early 19^th century to around 40 today. Some believe this drop is thanks to the efforts of politicians, unions and lobbies. But, in truth, this decrease in hours worked was made possible by the free market, that is to say, capitalism.   

As production and the division of labor grew from the creation and accumulation of greater amounts of capital, it was no longer necessary to work so much. One of the reasons we arrived at our current state is precisely the lack of political intervention in the private economy.

Imagine that at the beginning of the 19^th century, some socialist prophet had imposed a 40 hour working week by law. Do you think we would have arrived at our present level of wealth and living standards? No, these past 200 years would have witnessed our complete stagnation or even regression. Why? The 19^th century’s economy was neither sufficiently capitalized nor developed to allow for a 40 hour work week. This is what has occurred in France with its 35 hours. The government has attempted to impose a policy to which no economy today can consent. As a result, it has only contributed to lowering production and competitivity.

Economic history presents a clear lesson to learn: when bureaucrats believe themselves superior to the market, and therefore the free decisions of society, economies shrink and poverty expands. When there is less State, there is more wealth, more freedom and more prosperity for our future.