Note that in white collar fields (most of us on HN) people are usually graded on "hours in the office" not "hours of productivity" and rarely if ever quit over hours, they just spend more time at amazon.com, facebook, HN, twitter, that kind of thing. "He's demanding we go from 10 hour days to 12 hour days so he can get a bigger bonus and we will get squat other than maybe a demand to work 14 hour days next year, well F him, I'm going to increase my time playing farmville on my phone and tweeting, from 4 hours to 7 hours per day" I've seen this kind of thing with my own eyes. This is the genesis of the effect where a bog standard boring off the shelf employee, when converted to "contractor" suddenly gets three times as much work done in a mere six hours as an employee required to be butt in seat for twelve hours can accomplish.
I think its a nearly universal truth amongst white collar employees that if they only had to be at work while actually working, they'd probably only be at work about four to six hours per day, but they'd get at least twice as much work done. This is obviously a Fortune50 kind of observation more so than a startup.
In the pre-internet era it was pointless meetings and teambuilding activities and water cooler talk and especially smoke breaks. Oh and extended lunch at desk, in addition to the actual lunch hour, plus extended breaks.
In the end, if not carried out to extremes, it works out for everyone. The white collar workers experience something like a grade school playground or perhaps kindergarten classroom experience where most of their time is spent talking about their feelings, and who's in or out of such and such club, gossip, and what they saw on TV last night, and the boss gets a promotion because obviously he's more effective because he had butts in seats for 12 hours and his management competitors only had butts in seats for 10 hours and that's all that matters because that's all that can be verifiably documented and measured. Its not a bad life, as things go, as long as you don't mind sitting around doing nothing in an office (literally) almost all day.