What is Voluntary Reduced Work Time?
‘Voluntary Reduced Work Time’ refers to a kind of arrangement between the staff and the employer that allows them to pay the employee less for reduced work time. Usually, it is set for a limited period of time, beyond which things return to normal.
It is used as an alternative to laying off the employee due to poor business. It helps the employee to stay employed even during bad business conditions. Voluntary reduced work time would also entail a reduction in the work benefits too.
In some cases, the employees themselves seek out voluntary reduced work time as a means to adjust to some major event in their personal life such as a marriage or the birth of a newborn.