Very interesting point of view.
I think the whole idea of using number of hours as a unit to measure work in the Information Age breaks down pretty badly at other places too.
I have seen so many payroll systems for large corporations built on the concept of hours worked.
For one of my first software engineering internships, the company that I was working for had a fixed hourly rate for me and my pay was based on how many hours I stay in office and consequently log in the online time sheet.
Since I was relatively new to writing code and the job itself, I had the need to stay late frequently.
Work ethic aside, under that model, a person is in fact rewarded for taking much longer than average to do his work.