From the employees’ side of the analysis, if people have voluntarily chosen to work for a company, then employees must believe that this is the choice that makes them the best off. If there were alternative jobs that made them better off than their current jobs, then they would switch employers. Similarly, if they believed that they would be better off staying home and not working for pay in the labor market, then they would quit their current jobs. So, the employees must believe that their current job maximize their welfare. Form the employer’s side of the analysis, if the employer has voluntarily chosen to hire these people, then the employer must believe that these employees are the best ones available. If there were alternative employees who could better serve the employer, then the employer would replace the current employees. So, the employer must believe that the current employees maximize its welfare. Therefore, as long as the employment relationship is voluntary, then it must be true that both the employees and the employer believe that no alternative employment option would improve their positions. Thus, since the existing employment relationship has resulted in a condition in which neither the employer nor the employees can improve their situation, it must achieve the utilitarian goal of maximizing benefits and minimizing cost.