What do companies pay employees for - Time Or Value they create?

I read an article that said companies pay their employees for their time and not for the value they create. I don't know whether this is true or not; but its definitely something worth considering.

What do you get paid for? The time that you spend in the company or the value that you create? There can be arguments for both the sides; the question that pops up in my mind is whether your pay is in proportion with the value that you create?

Replies

  • Anil Jain
    Anil Jain
    The_Big_K
    What do you get paid for? The time that you spend in the company or the value that you create? There can be arguments for both the sides; the question that pops up in my mind is whether your pay is in proportion with the value that you create?
    80 % of the employees get paid for Time and 20 % for the value. This fits everywhere, be it a IT company or may be a manufacturing firm.

    Some time your work requires to invest time essentially, in that case un-doubtfully time becomes the important factor and company does pay for the time. However in other cases work level is so high that value you add to that becomes of utmost importance.

    Hence answer to this question will always be debatable.

    -CB
  • vishnu priya
    vishnu priya
    What i think is even though if they pay for "time" then if the employee works for hours and hours together and if he adds nothing to his project then the company may take some actions on that person.So they do pay for time but after a period of time if they don't add any value then they may discard him and pay him no more!
  • Sahithi Pallavi
    Sahithi Pallavi
    I think its good to have this thread in our debate section. 😀
    Nice point raised Biggie.
  • Saandeep Sreerambatla
    Saandeep Sreerambatla
    I am sure Employees are paid for time!
    For the time they spend in office , next for the number of years they stay in the same company even doing nothing!
    No of leaves taken is also a consideration which comes under time only.

    Value ah! I think very few people will be paid for value , as when ever I attend an interview everyone asks what is your experience I mean no of years but not what have you done something special at your office?

    So many companies pay for time! or else 50 percent of software employees would have been laid off by now.

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