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The four-day workweek is not new. There are no endless debates about its advantages and disadvantages.
However, since the COVID-19 epidemic, there has been a renewed emphasis on flexible working and its effects on well-being, productivity, and innovation. As a result, the four-day week has become a hot topic, with governments and organizations testing various models to determine their benefits and drawbacks.
Companies in the United Kingdom chose which type of four-day week model to use for the 2023 trial. One alternative was a compressed week, in which employees worked the same number of hours as before but on fewer days. This strategy has been tried before. In Belgium, for example, individuals can legally opt into this paradigm.
Other approaches to the four-day week include reducing working hours by up to three hours per week, working half a day on Fridays, or taking a day off biannually (known as an alternate workweek). Depending on company requirements, the time off can be set or rotated. In a shared model, team members split the workload of a regular full-time job (perhaps working alternating four-day stints). Employees can pick between a four-day week with a 20% pay loss or a nine-day fortnight with a 10% pay drop.
Whatever the approach, the question of whether the four-day workweek can be spread beyond recent pilot studies has piqued the interest of both employees and employers. What tangible lessons can employers learn from all of the research and trials? Is a four-day workweek genuinely beneficial to employees, or are we seeing the situation through rose-tinted glasses?
Are we about to experience a productivity peak or trough?
The productivity improvements provided by the four-day week have been one of the model’s main selling points, but is there conclusive evidence of these advantages? Questions persist about whether the four-day workweek’s promise of increased involvement, well-being, and less absenteeism actually translates to increased production.
The news appears promising: while precise calculations are difficult to establish, a UK study has indicated that productivity increases obtained by firms adopting a four-day week have resulted in savings of £104 billion (US$131 billion).
Indeed, most four-day-week pilot studies have found that the majority of employees self-reported increased productivity. According to one survey, workers “actively sought out technologies that improved their productivity” during their reduced work weeks. If a four-day work week speeds up the integration of digital tools, productivity and collaboration may improve even more broadly. Given the potential for increased efficiency and productivity from generative AI and automation, a shorter workweek may make even more sense.
Other trials found comparable benefits. Employees in the New Zealand-based Perpetual Guardian four-day week trial reported lower stress and higher job satisfaction without losing output. During their four-day week test in New Zealand, Unilever also saw increased production. Senior stakeholders and partners indicated that the work was executed to a high standard and on time, which helped to increase income. These findings prompted Unilever to expand its four-day week study to Australia.
Why have such positive effects been observed? One explanation is that work frequently expands to fill the time people devote to it. Ryan Breslow, the creator of digital unicorn Bolt, justified his decision to eliminate Fridays. Similarly, Gavin Krugel, co-founder and CEO of the non-profit Digital Frontiers, aimed to “move to a more outcome-oriented work model” by giving employees more freedom to set their own pace, reject unnecessary meetings, and proactively schedule focus time in their calendars to complete high-priority tasks.
However, it is crucial to emphasize that we have yet to ascertain whether the productivity benefits recorded in four-day week experiments are sustainable in the long run, as it is just too early to say in many circumstances.
Another issue in assessing productivity improvements from a four-day workweek is that these gains are rarely assessed consistently across research and pilots. In reality, gains may not be measured consistently within the same business. According to recent research, leaders are more likely to use visibility and activity measures to judge productivity than results. Inconsistent or misaligned productivity measurements make it difficult to pinpoint what works and what doesn’t. When implementing a four-day week, it is critical to have clear metrics in place. Employee listening exercises should be conducted on a regular basis, and supervisors and reports should have open interactions.
It is also worth noting that the four-day week concept is not universally praised, and it does not work for all businesses. Some organizations that attempted the four-day approach are now switching back to five days in an effort to recoup lost production. Others were concerned about burnout, with Allcap, a small engineering and industrial supply firm, leaving the UK’s four-day week trial early due to staff working unsustainable hours.
More rest or more stress?
Long working hours are connected to an increased risk of heart disease and stroke. In comparison, a four-day week gives people more time to exercise, engage in physical therapy, plan healthy meals, or catch up on sleep. These exercises have been demonstrated to have a tangible impact on a variety of health issues, including type 2 diabetes. A four-day week can also aid with musculoskeletal disorders by eliminating ergonomic dangers, strain injuries, and extended periods of inactivity. Furthermore, research shows that after instituting a four-day week, 78% of employers indicated that their employees were less stressed because they had more time to relax and/or accomplish household duties that they would normally squeeze in over the weekend.
However, it is not certain that employees would always use the extra time to rest and recover. In actuality, some people may spend the extra day doing an additional job to supplement their income. They may also discover that each day of their four-day workweek turns into overtime. Furthermore, less time in the workplace may imply that employees have fewer opportunities to connect and collaborate with coworkers, which could have a detrimental impact on their social well-being.
One thing is certain: a four-day model will elicit diverse responses from each employee. Some may welcome the concept with open arms, actively using their extra free time to do something enjoyable for themselves, returning to work feeling refreshed and optimistic. Others may look at it with trepidation, wondering how they would fit their ever-expanding “to-do” list into only four days. Most likely, this type of individual will continue to check their emails on their extra day off. They may also be more likely to experience burnout.
Given this reality, companies that wish to implement a four-day week must establish clear expectations and provide some structure within the new flexible model. They may consider including a four-day program into a larger health and well-being approach that addresses the root cause, rather than the symptoms, of any underlying job stress and health issues.
No more no-shows or performative presenteeism?
Absenteeism and presenteeism are two sides of the same coin, and employers prefer to prevent both. Employee health and well-being are the foundations of a successful organization, with these two issues reduced or avoided.
A four-day model is one method to promote the type of healthy culture that businesses require, in which employees believe their well-being is actually prioritized. The impact is evident, with a 2023 report indicating a 65% decrease in sick days during the UK’s four-day week test. These findings help to connect the dots between time off and happier, healthier employees.
Presenteeism, absenteeism’s productivity-sapping relative, frequently targets marginalized or underprivileged populations. Indeed, according to a Europe-wide survey, persons with low salaries, those living in high-unemployment areas, or those working in the industrial or healthcare sectors are the most likely to go to work unwell.
By moving the focus of performance assessments away from hours worked, the four-day model can assist to (slowly but steadily) relieve the strain that drives a presenteeism culture. It can also save businesses money. Business in the Community estimates that tackling the low productivity linked with presenteeism in the UK may save £110 billion (roughly US$139 billion), which is a significant sum.
Flexibility for everyone, or just a few?
If the future of work is to be equal and inclusive, firms must pull out all the stops to provide flexible working arrangements for all employees. This requires businesses to be intentional about the difficulties that people encounter and creative in their solutions.
For example, many people with long-term illnesses are unemployed because existing systems do not meet their needs. A four-day week, along with an evidence-based health and well-being strategy, could be part of a return-to-work campaign for such employees. This strategy would also benefit parents, who would be able to more evenly distribute their caregiving obligations because they would have more time to spend with their family and on household tasks. Another advantage noted by the UK experiment was that a four-day work week can save over 20% of employees money on childcare costs. According to the report, parents with two children can save approximately £3,200 (US$4,000) per year using the four-day approach.
Businesses must guarantee that flexible work practices promote workplace equity rather than further alienating marginalized people. The experiences of underrepresented groups should consequently be prioritized in flexible working arrangements. For example, requiring that the fifth day off be a Friday may exclude some employees (for example, those who observe religious holidays on this day). In the United States, one company has addressed the issue by allowing employees to choose how their four-day week should be structured, making their four-day model more inclusive. The corporation has also adopted shift work to ensure that the four-day model benefits both knowledge and skilled staff.
A four-day workday, “Good Work,” and the ESG agenda
People choose employers who take responsibility for environmental, social, and governance (ESG) challenges. Furthermore, developing a unique employee value proposition (EVP) that shows and reflects a company’s commitment to flexibility and sustainability can provide a competitive advantage. In this context, a four-day workweek can represent more than just employee flexibility; it can also portray a company as progressive on environmental and social issues. Indeed, the World Economic Forum’s Good Work Framework encourages enterprises to push for flexible working arrangements for all people who sign up to the pledge.
Are the expenses outweighing the benefits?
Many organizations that have implemented four-day weeks have found them to be value-generating, with Wanderlust noting that its yearly revenue nearly doubled a year after switching to the work paradigm, which is rather significant. Microsoft Japan’s productivity increased by roughly 40% after utilizing the methodology. The UK’s four-day week trial also cites the approach’s “resounding success” in improving the bottom lines of the start-ups and SMEs that participated. Following adoption, firm revenues increased by an average of 1.4% (weighted by company size). The proof is in the pudding: 92% of the 61 participating companies agreed to make a four-day week policy permanent in their organizations, indicating that they recognized the long-term benefits.
Experiments in the private sector are one thing, but impressions of the four-day workweek when sponsored by taxpayers can vary. A local government minister has requested that the South Cambridgeshire district council suspend their four-day week trial due to worries about taxpayers’ “value for money.” During the trial, council employees received full compensation for fewer hours worked. In this situation, the optics of a four-day workweek aroused politically charged concerns.
Clearly, the impact of a four-day week on the bottom line is unclear, as it will affect a wide range of company difficulties. For example:
Reducing working hours can have an impact on the total incentive delivered to each employee, including pensions and benefits; should these be decreased in proportion to less time worked? If they are not, what will the cost to the company be? If so, what would employees miss out on?
Businesses should also consider their approach to overtime and accrued leave in a four-day workweek: would overtime become more common? What will be your position on this? These are serious issues that, if not addressed appropriately, can have costly consequences.
So, what comes next?
Most businesses have yet to implement a four-day workweek, in part because they require five days’ worth of output. As a result, rather than providing a break from the five-day work week, many employers are addressing employee well-being and engagement issues by increasing the number of learning and contact days available.
For some businesses, a four-day model would necessitate a disproportionate investment in employee benefits. Instead, they opt for job sharing or shift employment, which allows them to reduce benefits correspondingly.
Some company leaders are concerned that a four-day workweek would allow employees to find a side occupation that would divert their attention away from their primary job, or perhaps inspire them to begin planning for early retirement.
For employees, the cost of living issue has severely weakened the appeal of the four-day model, which requires individuals to take a salary cut as part of the package (usually 10–20%).
Will a four-day work week benefit your business?
Effective business transformation requires insights and strong guiding concepts. Companies must thus ask themselves what difficulties a four-day week (or any other form of flexibility) would address: productivity, sustainability, diversity, or distributed work patterns. Take your pick.
Artificial intelligence (AI) can assist clear the way by providing a better view of how employees use their time, thereby determining the true impact of a four-day model.
To determine the practicality of the four-day week and plan your own four-day week trial, consider:
Your goals:
What are the primary challenges you hope to solve by working a four-day week? Increased attraction and retention? Better possibilities for underprivileged communities? Increasing the representation of women, caregivers, and other underrepresented groups in your workforce? Are employees healthier and happier? Higher productivity? Determine where your concentration is and how a four-day week would help you achieve your goals.
What form should your four-day work model take?
Will employees receive 100% of their salary for working 80% of the time and producing 100% of the regular production (the 100-80-100 arrangement)? Will you implement a shorter workweek, a model in which employees agree to accept a 10%-20% wage drop, or a shared model? Will there be any guidelines for how the day off should be spent (e.g., internal gigs, learning, outside activities, etc.)?
Caveats & Seasonality:
Consider if a four-day option would be permanent or seasonal (for example, during the summer months or for a set length of time for new parents returning to work).
How you will measure success:
Set goals and define performance indicators as part of any trial period. These should include both tangible (e.g., sick days, retention) and intangible (self-reported productivity, engagement, and well-being), as well as any outputs (sales, revenue, etc.).
Whatever the business justification for experimenting with a four-day workweek, how it is received will be influenced by the opinions of various persona groups, cultural norms, and employee expectations. Evaluating these variants, along with other forms of adaptability, will be crucial in determining success.
Overall, your firm’s approach to the four-day week (or any other type of flexibility) must be part of a strategic decision centered on the path your company wishes to go and the message it wishes to convey. If the strategy is consistent with that message, as well as your overall beliefs and visions, it should be researched and considered.
If a four-day work week is not a possibility for your company, think about what alternative flexible choices you could provide. This may include:
Personal hours provided during the working day (e.g., for self-care, grocery shopping, a parent attending their child’s school play, etc.)
Volunteering Hours
Working abroad for a specific amount of days each year
Flexible hours (scaling hours per day according to demand)
Job sharing
The Why of Work (how the work ties to a larger mission or purpose or allows an individual to “dive back” through ESG-focused behaviors)
Providing flexibility in some or all of these areas ensures that every employee has some degree of flexibility in their employment, based on what is practical, sustainable, and reasonable for the company.
One final word.
Moving forward, four-day workweek models might be worth investigating more. This is because the productivity improvements created by AI and automation may lead to shorter standard work hours sooner than expected. This could hasten the adoption of a four-day week among businesses that wish to expand this type of flexibility and return productivity advantages to their employees.
