Because it costs a lot less.
Look at it this way, a while back where I work, we worked 8.5 hours a day, and had an unpaid lunch. As the economy started to tank, right before the 2008 recession, after a couple of expensive attempts to upgrade our facility they needed to make some cost cutting measures.
One of the things they did was cut our hours from getting a full 8 hour a day paycheck to having us only work 8 hours with an unpaid 30 minute lunch. So we were only getting 7.5 hours a day of pay.
That 30 minutes a day that they no longer were paying us saved them over 1 million dollars a year in payroll for our a bit over 1.1k employee factory.
It’s simply much more cost effective to pay a small amount now than it is to greatly increase your payroll costs.
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