Why 70-80 Hour Work Weeks Go Unchallenged
The phenomenon of prolonged work hours in various high-pressure industries continues to draw attention and provoke discussion. In particular, the consulting and financial services sectors have become synonymous with extended work weeks, often reaching 70 to 80 hours. This trend raises questions about work ethics, employee well-being, and industry expectations.
High Work Hours in Consulting and Finance
Sanjna Pathania, a former employee at KPMG, shared her experience on TikTok, highlighting the demanding nature of consulting. In her video, she recalled receiving late-night calls from partners, underscoring the relentless expectations faced by consultants. Despite her struggle for sympathy, many viewers viewed her story as typical rather than extraordinary.
Data from the Australian Bureau of Statistics indicates that the average Australian works approximately 35 hours per week. However, a 2024 study involving 2,500 professionals in the financial services sector revealed a different reality. For employees at sell-side firms, such as investment banks, workweeks averaged around 70 hours.
Legal Context and Industry Standards
While Australia’s employment law sets a standard workweek at 38 hours, it also permits employers to request “reasonable additional hours.” Associate Professor Stephen Clibborn from the University of Sydney notes the ambiguity surrounding the definition of “reasonable.” A recent court case involving the Finance Sector Union and National Australia Bank illustrates this uncertainty, as four managers claimed they were often required to work between 55 and 80 hours weekly, including unpaid hours.
Compensation and Expectations
Compensation plays a crucial role in shaping work expectations. Entry-level investment banking analysts earn an average base salary of $135,000 annually, excluding bonuses. This lucrative pay may lead employees to tolerate longer hours without protest.
Saurav Risbud, who left Bain, a leading consulting firm, mentioned that extreme work hours were commonplace, sometimes extending into the late evening. He recognized the high-pressure environment but emphasized the career benefits for those willing to push through.
Cultural Barriers to Speaking Out
As highlighted by John Howe, a professor at Melbourne Law School, employees in high-paying roles, like lawyers and investment bankers, often avoid voicing concerns about work conditions. There exists a pervasive belief that high salaries justify demanding hours. As a result, many employees refrain from taking legal action for fear of jeopardizing their careers.
However, change is on the horizon. Class actions are increasingly being pursued by junior doctors and solicitors for excessive hours and underpayment. These collective legal actions help mitigate the costs and reputational risks for individuals. Howe noted a growing interest from litigation funders in backing these claims, hinting that investment banking may soon become a focus for similar actions.
Conclusion
The culture of 70 to 80 hour workweeks in consulting and finance raises important questions about employee rights and workplace culture. As more professionals begin to advocate for change, industries may need to reassess their expectations to promote a healthier work-life balance.
