[kaftoy]

And more importantly above all, in my opinion, is the profit. A portion of the revenue generate by an employee becomes profit. Lower the revenue (since lower hours) means lower net profit. Giving up net profit is not somthing a business owner thinks about lightly.

[philmcp]

But if you pay lower salaries, you can hire more people.

There is very little difference (imo) between 3 employees @ 40hrs per week vs 4 employees @ 30hrs per week. There will be more administration and onboarding admittedly, but this should be balanced by more productive employees (i.e. less burnout)