It's Off To Work We Go
One of my favorite scenes from “Snow White and the Seven Dwarfs” has the dwarfs heading off to work: lanterns, picks and axes in hand. Dopey – who is not really so dumb – is climbing back in the window so he can catch a second goodbye kiss from Snow White.
I often sing “heigh ho, heigh ho” to Harlan (my dog, for new readers) as I remind him that I’d like to stay home and send him to earn a living – particularly on the beautiful days we’re enjoying of late. Labor Day offers a perfect opportunity to review the economic and financial aspects of work.
“Human capital” is an economic term that refers to the ability to provide a product or service. The components of human capital include knowledge, skills, natural talents, experiences and energy that can be exchanged for or have economic benefit. Consider a pro golfer. Her human capital includes natural talents and special skills (she has the motor coordination with which to make contact with a stationary 1.68-inch sphere) as well as experience and awareness; a good pro will have knowledge of the course, clubs, wind direction and speed, and the angle at which she should aim her shot.
In the economic marketplace, individuals may exchange human capital for compensation, which is often distributed by an employer. Compensation includes pay or wages, health and retirement benefits, and paid leave time. However, the employee costs an employer more than pay and benefits. Employers are required to assume or share the cost of lost wages by paying unemployment, worker’s compensation, Social Security and Medicare taxes. Typically, employers also cover employee training and professional education, which benefits all parties. Societies, governments and laborers have a right to expect employers to provide fair wages and clean, safe working conditions. It is important to point out that in our society, compensation is based on many factors and not necessarily on value received (e.g. it may be argued that teachers offer more value than a pro golfer).
What do employers expect of workers in return for compensation? They expect workers to dedicate full attention during work hours to the job. They expect employees to complete assigned tasks in an adequate and timely fashion. Workers should not steal from employers – neither money nor time; not pens, pencils or postage stamps. And, just like familial living, everyone is expected to participate, regardless of the pleasantness of a task or topic of a meeting.
Most countries expect employees to contribute a portion of their earned income for long-term retirement income. Workers do that in the U.S. through Social Security and Medicare payroll taxes. Ideally, employees also plan and save for their long-term income needs, utilizing retirement planning accounts to do so.
Not all human capital is exchanged for pay. Some families elect to have a spouse manage a household, producing meals, a safe environment, education and supervision of the growth of children. These services have great economic worth; unfortunately, this work is sometimes overlooked or devalued because its value is difficult to quantify. The work is truly priceless, even if parts of an at-home spouse’s work can be priced. The U.S. bishops have on several occasions called for spouses who work at home to receive a stipend for their efforts. In the U.S., work-at-home spouses do receive Social Security benefits based on their spouse’s wage rate.
The opportunity to work and earn a living for our families is a privilege and blessing from God. Do we honor those who work – both in the marketplace and at the household? Are we taking advantage of boosting our human capital through education, work and related experiences? Have we ever considered work “beneath us” and declined to accept a position that may help ourselves and our family? Is work kept in its proper place, not allowing it to overwhelm our spiritual and familial needs? Do we apply moral and Catholic teaching at work as well as at home? Most importantly, does our work honor God and His will for us?
Sharon A. Burns is director of Catholic Charities of the Diocese of Evansville.
