I ran and then sold a few successful small businesses before the credit collapse. I never paid by the hour. Only per order, per page, commission, etc. Being paid for actual work done encourages people to actually seek work and work better. Employees see more incentive to have your business succeed. People that could do more work in less time were greatly rewarded for it instead of slowing themselves down to be slightly faster than the next employee. And if someone messed up, they had to redo the work without more pay so it encouraged them to do it fast and right.
The only exception I see is “stand-by jobs” like gas station attendants and security guards. They have to be on constant stand-by for random customers or events and should be compensated for all their time, even if there are hours in between when they are waiting.
“I always thought the idea of being paid for the hours you are present is wrong in most cases”
Hey, I resemble that. I’m in the automobile business and we only get paid if we sell something. NO HOURLY!! The only problem with that is if you don’t get paid by the hour your employer figures “why not stay there all the time”. So, in my case that’s 50 to 70 hrs a week.
If I could come and go as I please then yea, that’s great. In the real world, not so much