The situation that Snow White faces in this case can be looked at from three different perspectives. The first perspective is the legal aspect of the case presented. The company is financially strained and may not be in a position to pay Happy for the extra hours spent at work. This is the reality and Ms. White has the legal obligation to explain the situation to Happy and a legal right to demand from him that he stops working the extra hours. She may need to put it down in a written agreement as a way of avoiding any legal actions against the company in future.
The case can also be looked at from an ethical perspective. Happy did not start putting in extra hours when he knew he was eligible for payment for extra hours. He has been doing that for a long time and he made it his culture to give his company the best of his efforts. He is only happy that based on the current labor laws he will be eligible for payment for the extra effort he puts in at work. Ethically, Ms. White must find a way of reaching a common ground with this hard-working employee so that his extra effort can be rewarded in some way to maintain his high level of motivation.
The third angle is the economic perspective. Happy is not taking extra hours at work doing irrelevant things. Yesterday, he was able to complete a project that has been pending for some time because he spent some extra hours at work, and Ms. White was pleased. Every hour he spends at work, therefore, brings money to this company. With such effort, it is likely that the company will be making more profit with him working for extra hours than when he does not. The best thing to do, under such circumstances, is to compensate him for the extra hours because he is a very important asset for the company now and in the future. Happy is right that he is in fact eligible for overtime payment. He deserves it, given his past record of spending more time at work even at a time when the company was not paying him for that extra effort.
References
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Blackett, A., & Trebilcock, A. (2015).Research handbook on transnational labor law. Cheltenham, UK: Edward Elgar Publishers Ltd. Web.
Kirchner, J., Kremp, P., & Magotsch, M. (2010). Key aspects of German employment and labor law. Heidelberg, Germany: Springer. Web.
Springer G., Kirchner, J., Morgenroth, S., & Marshall, T. (2016). Transfer of business and acquired employee rights: A practical guide for employers in Europe and across the globe. Berlin, Germany: Springer Berlin Heidelberg.
Zenker, I. (2014). Basics of German labor law: The employment relationship. Norderstedt, Germany: Books on Demand. Web.