The Effects of Fair Workweek Laws on Worker Schedules: Evidence from Chicago

37 Pages Posted: 18 Aug 2023

See all articles by Caleb Kwon

Caleb Kwon

Harvard University - Technology & Operations Management Unit

Ananth Raman

Harvard University - Technology & Operations Management Unit

Date Written: August 16, 2023

Abstract

Fair Workweek laws aim to help workers by entitling them to additional compensation from their employers when their schedules are unilaterally adjusted on short notice. Although they have been implemented in seven jurisdictions, little is known about their impact on worker schedules and employment. In this paper, we use a difference-in-differences strategy surrounding the enactment of Chicago’s Fair Workweek Ordinance to study its effects on scheduling and employment-related outcomes. Our analyses are based on administrative scheduling data, comprising more than 10 million employee shifts and more than 80,000 employees in over 4,000 retail stores. Consistent with the objectives of Chicago’s Fair Workweek law, we estimate a significant increase in the amount of notice provided to employees for their shifts. Importantly, this increase in advance notice is not accompanied by commonly expressed concerns about Fair Workweek laws, such as job loss, hiring reductions, decreased scheduled hours or shifts for employees, a trade-off between predictability and stability in schedules, or a shift from full-time to part-time employment.

Keywords: Fair Workweek Laws, Labor Scheduling and Staffing, Empirical Operations Management, Labor Economics

Suggested Citation

Kwon, Caleb and Raman, Ananth, The Effects of Fair Workweek Laws on Worker Schedules: Evidence from Chicago (August 16, 2023). Available at SSRN: https://ssrn.com/abstract=4542956 or http://dx.doi.org/10.2139/ssrn.4542956

Caleb Kwon (Contact Author)

Harvard University - Technology & Operations Management Unit ( email )

Boston, MA 02163
United States

Ananth Raman

Harvard University - Technology & Operations Management Unit ( email )

Boston, MA 02163
United States
617-495-6937 (Phone)
617-496-4059 (Fax)

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