Work ethics: efficiency

Efficiency is a relative measure.  What is efficient differs depending on position and ontology; what objects are considered inputs and outputs, and how are these weighted in the judgement of efficiency.  

Regardless, we do tend to regard efficiency as an objective, unarguable good.  Who can argue against an increase in efficiency?  This is the rhetorical question that is asked whenever workers oppose measures to increase their productivity.  But the efficiency being considered here is organisational efficiency, investor efficiency or proprietor efficiency.  These are not, necessarily the same as worker efficiency.  Superficially, it does appear that we are discussing worker efficiency in these disputes.  But that demands that we understand workers as being mere tools, machines without subjective position, and such would be a totalitarian understanding.   

But as efficiency is a relative measure, what does it mean to be an efficient worker.  In the age of Homo economicus, of atomised economic units standing in the stead of thinking, civilised men and women, to be an efficient worker from the position and interests of the worker means to maximise the wages received while minimising the amount of labour input.  As, in most employing organisations, wages are fixed according to rank, and as promotion hierarchies narrow as one rises through the ranks, the surest way that the majority of workers can maximise individual efficiency is to contribute as little labour as possible while remaining in employment.  In other words, to skive and to slack.

Is it ethical to encourage such behaviour?  It has always been acceptable for employers to encourage an increase organisational efficiency, in other words a decrease in the individual efficiency of the worker.  It has always been acceptable for this to be achieved by encouraging increased contribution of labour by means other than a parallel increase in material reward.  This is overt; the business press regularly carries advice to increase productivity by holding events such as Christmas parties, justified by the rationale that for a small material outlay a much larger contribution of labour will be returned.  This, of course, has a mirror.  And the reflection it shows is this; a newspaper encouraging and advising, in all seriousness, workers in mechanisms of reducing their labour contribution while maintaining the material return.  So is it ethical?  Well, such a newspaper article would be damned as irresponsible.  But it is entirely comparable, morally, to the behaviour and attitude of the employers.   

Homo economicus, the stripping away of the weight of all in human relations except the exchange of material goods and services, therefore does, as Marx and Engels suggest in The Communist Manifesto, lead to increased and overt conflict between employers and employees.  The antagonistic interests of these two groups is laid bare when it cannot be hidden, and even soothed, by aspects of human experience such as community.  This heightening of class awareness is not, one might suspect, the intention of the majority of the advocates of remaking men as Homo economicus.

But class interests have not been heightened, you say.  Yes, perhaps ‘class’ is the wrong word.  ‘Class position’ is perhaps far more appropriate, as there is a lack of the solidarity that is implicit when the word ‘class’ is used alone.  Homo economicus is, after all, an individual, with no ties but those of overt materiality.  And more, there is mitigating propaganda two fronts; the traditionalists and the employers.  The traditionalists tell us that it is virtuous to play the role of efficient robot, rather than efficient man or woman.  A good ‘work ethic’ they say, when they justify acceptance of exploitation, rather than, if we are to be Homo economicus, a determination to exploit others, including our employers, in our material relationships, the category of relationships that are the totality of that which ought be important.  And the employers?  They tell us that we are part of a family, or some such narrative, to encourage sacrifice on the part of the workers that they would not make.       

But what is wrong with this?  Both democracy and the market.  If you are a believer in either of these you must be an opponent of lies.  For the market to work as both a moral system and as a superior distributor of resources it must be a market in which rational, informed actors operate.  Democracy demands that each citizen operates from a position of educated awareness of the state of the world and of their positions in the world.  If the workers believe, say, that they are part of a family represented by the company for which they work, then they are not informed, and their rational action is misplaced by this misapprehension.  Families do not discard members who become sick or otherwise unproductive, and indeed, in the typical company a belief in the company as family with mutual obligations based on more than mere material exchange forms no part of executive decision-making, being purely an attitude to be enculturated in those to be exploited.

So, there are two options.  The first is to embrace the market and Homo economicus and encourage the workers to maximise their own efficiency, to engage as rational economic atoms.  The second is to embrace democracy and build socialism, to make our economic system, and therefore our society, one that genuinely encourages behaviour that is based on more than the nexus of cash exchange; not the attractive illusion peddled by employers and traditionalists, but a system of genuine mutuality.

10 comments
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  2. “As, in most employing organisations, wages are fixed according to rank, and as promotion hierarchies narrow as one rises through the ranks, the surest way that the majority of workers can maximise individual efficiency is to contribute as little labour as possible while remaining in employment. In other words, to skive and to slack.”

    But that assumes that workers are stuck with the limited opportunities on offer from a single employer. Even if you stick to the same occupation, that’s rarely the case. (Even most public sector workers can go to work for different local authorities, NHS trusts, schools, etc.) That being the case, proving your efficiency for the employer can prove to be the most efficient course for the worker – in doing so, the worker builds their claim to a promotion by means of going to work for another employer. As a result, they can use increased work to result in increased wages – thus bringing the system more into alignment.

    Not that that always happens, but ‘the market’ is a far more cunning beast than I think you give it credit for here. Enough of ‘the workers’ see their efficiency in similar terms to those of employers. And those workers who see their best prospects resting on hard work will be the ones who set the culture – the workers who prefer to opt out and pursue the quiet life will normally do so for their own individual reasons, rather than as a statement on the ratrace.

    That’s why productivity-raising is seen to be unquestionably ‘a good thing’, and will remain so until those not wanting to pursue that ratrace (or want to pursue it somewhat less, anyway) can unite around a common conception of the good life, outside of getting-and-spending. But I don’t think any form of democratic socialism does that – they tend to be concerned more with the structure (i.e., mutuality) than the substance of society.

  3. Paul said:

    There are some shaky premises here.

    “It has always been acceptable for employers to encourage an increase organisational efficiency, in other words a decrease in the individual efficiency of the worker.”

    You are assuming this is a zero sum game. Why does an increase in organisational efficiency necessarily cause a decrease in individual efficiency? I just don’t see it…

  4. AndrewB said:

    True, so perhaps I should have written; “It has always been acceptable for employers to encourage an increase organisational efficiency, in many cases by means of a decrease in the individual efficiency of the worker.”

  5. chris said:

    As blimpish points out you assume that there is no market for labour, that there is only one employer for any particular job. Employers have to compete for labour and labour has to compete for employment, it is this competition that keeps things efficient.

    Of course if there where no competition, just one employer that offered jobs for life then your analysis would be completely accurate. There would be no incentive to work hard so it would be rational for the workers to do as little as possible, to slack and skive. This fits very well with the experimental evidence of what happened under the Socialist systems where there was only one possible employer. The workers pretended to work and the state pretended to pay them

  6. “it is this competition that keeps things efficient.”

    But what do you – and I am not [deliberately] being an arse – mean by efficiency here? Efficient for who? Efficient from what perspective.

    I believe that I may have miswritten; my post was not meant to be a description of what is, but rather a description of what ought be ethical behaviour on the part of the workers. In a system where it is perfectly acceptable to maximise organisational efficiency at the expense – and I accept that this is not necessarily so – of the individual efficiency, i.e. the wages to labour input ratio, in pursuit of private goods, then it ought be perfectly acceptable for the worker to attempt to maximise his or her own efficiency, by maximising wages while minimising labour input.

    I believe that in the vast majority of jobs, those that exist at the lower end of the labour market, the end where ‘incentive’ is a euphamism for threat rather than reward, this maximising of worker efficiency is most easily found in the minimising of labour input.

    As an anecdote, I recall the time a colleague of mine received bad service from the employees of a major retailer. I pointed out that they were poorly paid. I would have said exceptionally poorly paid, but this figure of speech would obscure the fact that these levels of income are the norm for great swathes of the British population. More, I knew that these employees would, in all likely hood, be on zero-hours contracts; a wonderful way to maximise efficiency of your ahuman labour units.

    My colleague replied by arguing that, if these people only worked harder they would get better pay, a better contract, a better job. I pointed out the simple truth that had seemed to entirely pass her by; that there are very many people at the lower end of this labour pyramid with, in many cases, dramaticaly fewer stations to be found on each tier to be climbed. If all of these zero-hours people worked harder, as she asked, the majority would do nothing but decrease their own efficiency, rewarding an employer who is objectively in conflict with their interests – a zero-hour-near minumum-wage contract can be described as nothing else – with increased organisational efficiency. The number of vacancies at the next tier of employment will not magically increase; the retailer will always need many more shop-floor staff and stock-room pickers than it does managers.

    And who would want to be a manager of an outlet that employs in such a way anyhow?

    Competition for labour might change the dynamic, the manner in which a worker finds it best to maximise his or her efficiency. But this is a priviledged position to be in, though I confess that many of my friends think that, as it is their own situation, being relatively educated people, that it is the norm. But from my own experience supplying labour at the bottom end of the market, it is not the norm.

  7. chris said:

    But what do you – and I am not [deliberately] being an arse – mean by efficiency here? Efficient for who? Efficient from what perspective.

    How about the system as a whole? No point building up a 6 pack if your legs are like twigs.

  8. chris: Fair enough, I understand where you are coming from, but if what we understand as ‘the system as a whole’ means the maximising of some inclusive societal good then we need to adopt a perspective on efficiency that is neither organisational, employer, shareholder, nor individual worker.

  9. “the retailer will always need many more shop-floor staff and stock-room pickers than it does managers.”

    Logically yes.

    The world of british business – no.

    In this world if your organisation isn’t doing very well you basically bring in management consolutants on fat fees – who will proceed to advise you to bring in more managers, raise wages for the board for the purposes of retaining their substantial talents, and sack half the shop floor to cut labour costs and scare the remaining workers into working harder.

  10. Frank said:

    The question has been posed by Paul:

    “Why does an increase in organisational efficiency necessarily cause a decrease in individual efficiency? I just don’t see it…”

    I can provide, lets say, a number of examples of this. However, I suspect that the validity of them will be dependent upon a common acceptance of the meaning of certain terms within the question.

    For example: “Efficiency.” does the term “efficiency” refer to the objective of the individuals labour – producing a satisfactory outcome for a “customer” or does it simply refer to a commercially defined bottom line?

    It may be argued that these two are one and the same. However, I would argue this is not so. “Customers” may get differing levels of service (or non at all) depending on their profitability, and I’m prepared to give examples if required.

    The examples I’m prepared to share will be based on the definition of efficiency being simply the bottom line from the point of view of the organisation.

    However, another problem arises. When we talk of “organisational efficiency” what exactly do we mean. The efficiency of the whole organisation or different constituent parts of it – the sub-organisations within it?

    Agian, the examples I’m prepared to share depend upon the reality of this in the real world.

    If what I have defined is accepted as a working definition let me know via the comment section of this subject within the blog and on Saturday, when I’ve got more time, I’ll provide some examples.