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> "Fixed costs are a small fraction of pay." Across all employee types in the US, the estimate is that wages are ~70% of the costs and the the other ~30% are b

> "Fixed costs are a small fraction of pay." Across all employee types in the US, the estimate is that wages are ~70% of the costs and the the other ~30% are benefits and other fixed costs: https://www.bls.gov/news.release/ecec.nr0.htm https://www.bls.gov/news.release/ecec.nr0.htm. If that's small, I'd like to see your definition of large. As another datapoint, though this site is likely a bit biased (they're selling consulting services), they provide an estimated breakdown for a $100k/year tech employee that comes to about 46% burden rate (i.e. for every dollar paid to the employee there's an extra 46 cents in cost): https://telegraphhillsoftware.com/hiring-technical-employees-true-cost/ https://telegraphhillsoftware.com/hiring-technical-employees...

JoeAltmaier 6y ago
Sure you 'fully load' costs on employees. But you have to have a building etc, no matter if its full. Not quite fair to divide 'cost of doing business' across employees, and mistakenly assume hiring another employee is going to change that. And yes, 1/3 is a small fraction. A large fraction would be 2/3 etc. I think I said that right, its normal mathematical usage. Anyway, its all talking thru our hats. In Russia for instance during the early Soviet years, they had no weekends. Only occasional holidays. So 40 hours is heaven compared to that. Honestly, 'full-time' Americans at least, typically get 114 days off a year. Out of 365. Pretty soft life.