The four-day work week is gaining more and more attention as a potential way for employers to positively improve culture, give the leading edge on attracting and retaining talent and even, counter-intuitively increase productivity. Yes, you read that last part correctly!

In part 1 of this blog post we explore the potential ‘pros’ in support of a four-day work week.

Pros – In support of a 4-day workweek

1. Improved Work-Life Balance
   • With an extra day off, it goes without saying that employees will have more time to spend with family, pursue hobbies, or relax, leading to a better overall work-life balance. Which leads to…

2. Increased Ability to Attract and Retain Talent
   • Companies offering a 4-day workweek can be more attractive to potential employees, leading to better talent recruitment and retention. ‘Greater work-life balance and better personal wellbeing’ are increasingly on employee’s wish lists for their next job, with a recent Gallup Survey showing that 61% of US employees rating this an important factor when job hunting.

3. Increased Productivity
   • Some studies (more on this below) show that employees working fewer hours are often more productive during their working days. A condensed workweek can lead to a more focused, efficient approach to tasks.

4. Reduced Stress and Burnout
   • The additional time off can help employees recharge, reducing stress and the risk of burnout. This can contribute to better mental and physical health over time.

5. Cost Savings for the Business
   • With fewer days in the office, companies may save on overhead costs, such as electricity, office supplies, and even less wear and tear on facilities.

6. Broader Societal and Environmental Benefits
   • A shorter workweek may result in:
     1. reduced commuting, leading to lower carbon emissions, less traffic congestion, and fewer resources used in daily commutes.
     2. More family time in general, where parents are able to spend more quality time and care for their children and a greater ability to share typically gendered household duties.

What evidence is there to support the 4-day work week?

Globally there are several studies and trials which assessed the effectiveness of a 4-day workweek. The studies mentioned below provide statistical evidence supporting the potential benefits. Although ‘the devil is always in the detail’ and results vary depending on the industry and how the four day work week is structured. Here are some key statistics from prominent studies:

Iceland’s 4-Day Workweek Trial (2015–2019)

Iceland conducted one of the largest and most comprehensive trials of a shorter workweek, involving about 2,500 workers (roughly 1% of the country’s working population). The trial involved reducing working hours from 40 hours to 35 or 36 hours per week without a reduction in pay.

Key statistics:

• Productivity and Performance: Over 85% of workers either maintained or increased their productivity.
• Employee Well-Being: Workers reported lower stress levels, a better work-life balance, and improved mental health.
• Implementation Success: As a result of the trial’s success, around 86% of Iceland’s workforce now works shorter hours or has access to more flexible working arrangements.

Microsoft Japan’s 4-Day Workweek (August 2019)

Microsoft Japan implemented a “4-day workweek” experiment for one month, giving employees Fridays off.

Key statistics:

• Productivity Increase: Microsoft Japan saw a 40% increase in productivity during the trial period.
• Energy Savings: The company reported a 23% reduction in electricity use, partly due to fewer employees in the office.

The UK’s 4-Day Workweek Pilot (2022–2023)

In the UK, a six-month pilot program was launched in 2022, involving 70 companies and 3,300 workers. The program was organized by 4 Day Week Global, in collaboration with researchers at the University of Cambridge.

Key Statistics:

• Productivity: 61% of companies reported no change in productivity, while 23% reported an increase. Only 4% reported a decrease in productivity.
• Employee Well-Being: 71% of employees reported lower stress levels, 39% experienced less burnout, and 48% had a better work-life balance.
• Retention and Job Satisfaction: 56% of employees said they were less likely to leave their job, and 78% of employees felt the 4-day week was a positive change.

The 4-Day Workweek Trial in New Zealand (2018–2020)

In 2018, the New Zealand company Perpetual Guardian implemented a 4-day workweek trial for eight weeks.

Key Statistics:

• Productivity Boost: Productivity increased by 20%.
• Employee Satisfaction: Job satisfaction rose by 24%, with employees feeling more motivated and less stressed.
• Work-Life Balance: 78% of employees said they felt they had a better work-life balance.

Closer to home, the 2023 Australasia Pilot Program facilitated by 4 Day Week Global showed all the same positives, where notably:

• Companies that participated in the program rated the impact of the 4-day week on business productivity a 7 out of 10.
• Of the 20 companies that participated, only 1 company did not move forward with the 4-day workweek model after the trial period.

These statistics suggest that the 4-day workweek, when implemented thoughtfully, can benefit both employees and employers in terms of productivity, job satisfaction, and overall well-being.

Stay tuned for part 2 where we’ll explore some of the pitfalls to be across and key business considerations prior to implementation.

Nick Hedges is the founder of Resolve HR, a Sydney-based HR consultancy specialising in providing workplace advice to managers and business owners. He recently published his first book, “Is Your Team Failing Or Kicking Goals – Take Control Of Your People & Their Performance”. It is a practical response to the most pressing HR challenges, which can be found at https://resolvehr.com.au/.

Disclaimer: The contents written do not constitute legal advice and does not cater for individual circumstances.   The information contained herein is not intended to be a substitute for legal advice and should not be relied upon as such.