Why moonlighting is necessary and good for the economy?

Moonlighting is perfect. What is wrong with it? Moonlighting, as the name suggests, is an additional or second job done discreetly at night (or outside the regular office hours) to earn extra income or for professional pleasure!

Some large companies are objecting to moonlighting by their employees. I don’t find any reasons for their objections.

Look at it this way. Where can the employees of large enterprises find second jobs? For example, as an employee of a large company, M/s I, won’t get a job (even for moonlighting) in another large company, M/s W or T. The employee contracts of large companies won’t permit such options.

So, these employees have to find a second job in smaller companies where they don’t ask for relieving letter or experience letter and pay freelancer fees.

This model is helpful for the economy because the small companies can get the benefits such as:

The flow of knowledge – The smaller companies can’t afford to hire highly paid employees. Through moonlighting they can get their experience for a fraction of the cost and it will help them to grow.

The requirement is for short hours – The smaller companies don’t need full-time highly talented people. If they come for 2 hours a day or 4 hours a week, that would be sufficient. If not for moonlighting, how will they source such good talent?

If you ask me, large companies not only should encourage moonlighting but also ask their CEO, CFO or Managing Director to do moonlighting. Let the smaller companies get the benefit of highly skilled people, which otherwise they can’t afford.

Moonlighting is not a new idea

As I know the professors of all leading institutions are allowed to take up consulting assignments. Teachers take up private tuition, doctors set up clinics, lawyers open small offices in the evenings, newspaper boy takes up a delivery job, and a delivery boy takes up a waiter’s job.

The times have changed. This is the era of disruptions. These are not my words; I picked up from the lectures given by the bigwigs of the large corporates. If you want to encourage startups or small enterprises, allow disruption in the employment space as well. Not just allow but also participate to uplift the small businesses with your talent and experience.

If you don’t like this idea, no worries; the employees will continue to do moonlighting. It is you who will miss the bus. You will miss taking the credit for helping small organizations.

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About B E Kumar Prasad

He is a Practicing Chartered Accountant in Bengaluru, India. He has 28+ years of experience in income tax, business setup, and NRI matters. He is also an Insolvency Professional, Registered Valuer (F&SA) and Social Auditor.Prasad welcomes your comments and questions. Please email him at simplifiedlaws20@gmail.com

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