The case for the 4-day work week
The 4-day work week has been championed by a growing number of companies and researchers. One of the most successful experiments took place in Iceland, where a nationwide trial of over 2,500 workers between 2015 and 2019 involved a nationwide trial that reduced working hours while keeping pay the same. The result? Productivity didn’t drop; in some cases, it even improved. For instance, Reykjavik’s Department of Accountancy processed 6.5% more invoices during the trial - The Economist July 2021.
Employees also reported feeling less stressed and healthier. Some even found they had more time to tackle household chores - benefits extended far beyond the workplace. This isn’t just an isolated case. Microsoft Japan ran a similar trial in 2019 and saw a 40% increase in sales per employee. So, it's not just about reducing hours for the sake of it; it’s about focusing on how work is done. Fewer distractions, fewer nice-to-have meetings, and a clear agenda that focuses on the task at hand. In many cases, the data suggests that with the right approach, fewer hours could mean higher productivity.
But beyond the numbers lies something more personal: time. Time to spend with loved ones, to pursue hobbies, or simply to rest. Workers often speak of feeling burnt out, constantly balancing the demands of work and personal life. A 4-day week could provide some much-needed breathing room. A report from BBC points out, giving employees this extra day off can lead to happier, healthier individuals - something that benefits everyone.
A greener approach to work
It’s not just employees who stand to gain from a 4-day work week. The environment could also see a positive impact. Fewer work days mean fewer commutes, leading to a reduction in traffic and emissions. Spain’s 4-day work week trial demonstrated a significant drop in pollution, “a reduction in nitrogen dioxide emissions and improved air quality" - World Economic Forum October 2023, as fewer people needed to travel to work. Think about it: with fewer cars on the road and less energy consumption in offices, the overall carbon footprint of businesses could shrink. For companies with strong sustainability goals, adopting a shorter work week might be a step towards a more eco-friendly future.
On a societal level, the shift could foster a healthier balance between work and personal life. Employees might spend more time engaging in community activities, pursuing hobbies, or simply enjoying more quality time with family and friends. These are the kinds of societal shifts that go beyond productivity - creating a more engaged and well-rounded workforce.
The other side of the debate
While the benefits of a 4-day work week are clear for many, the concept is not without its critics. In industries like healthcare, manufacturing, and retail—where constant service or production is essential—the idea of reducing workdays presents significant logistical challenges. For instance, healthcare professionals can’t simply compress their hours without affecting patient care. Staggered shifts or additional staffing might be solutions, but both options require careful planning and come with increased costs.
Retailers, too, might struggle with less staff on the floor, leading to a decline in customer service or even lost sales. This could especially impact smaller businesses, which may not have the flexibility or resources to absorb the additional costs. As one analysis in The Economist points out, while shorter work weeks work well in office environments, they may not be as successful in sectors that rely on continuous, customer-facing interactions.
Moreover, critics argue that a compressed work week could lead to unintended stress. Cramming five days of work into four could lead to longer, more intense days, leaving workers feeling even more overburdened than before. For those in high-pressure roles, the reduction in hours might not equate to a reduction in workload. As a result, some employees could experience burnout or exhaustion as they try to meet tight deadlines within a more condensed time frame. This was a concern raised during trials in Iceland, where some workers struggled to adapt to the shorter work week.
According to a survey conducted by Gallup, around 44% of employees reported feeling stressed on a daily basis, with burnout being a major concern under shorter work weeks. This reinforces the idea that, while a 4-day work week can offer many benefits, it can also bring challenges for those who struggle with compressed workloads.
There’s also the issue of inequality. Not all employees or industries may benefit equally from a 4-day week. Blue-collar jobs, for example, often have less flexibility, and in some cases, hourly workers might end up losing income if their shifts are reduced. This raises concerns about the accessibility of the 4-day work week—could it become a perk reserved for white-collar workers, while others are left out?
For companies, the practicalities of implementing a shorter work week aren’t always straightforward. It requires careful coordination and restructuring, especially for businesses operating across different time zones or regions. As highlighted by The Times, some companies worry that reducing working hours could limit their availability to clients and customers, particularly in industries where time-sensitive responses are critical.
Can everyone afford a shorter work week?
Another pressing issue is cost. While larger corporations may be able to absorb the cost of paying employees the same salary for fewer hours, smaller businesses may find this difficult to sustain. Reducing hours while maintaining pay could mean reduced profit margins, increased prices for customers, or a need to cut staff to compensate for the loss in productivity. In industries that already operate on thin margins, these changes could be financially detrimental.
Additionally, companies that rely heavily on project-based work may find that tighter deadlines lead to lower-quality output. Workers might rush through tasks to meet end-of-week deadlines, sacrificing attention to detail. This could affect the quality of work in creative and strategic fields, where deeper thinking and longer timeframes are often needed to achieve the best results.
Finally, there’s the broader economic impact. If a widespread shift to a 4-day work week occurred across industries, it could affect everything from consumer spending to tax revenues. With fewer working hours, some economists worry that overall productivity on a national scale might take a hit, leading to slower economic growth. While individual companies might find success with a 4-day work week, the question of whether it’s viable at a macroeconomic level remains unanswered.
The global movement
Despite these challenges, the 4-day work week is gaining traction worldwide. Countries like New Zealand, Japan, and even the UK are either exploring or already piloting shorter work weeks. In Australia, companies are beginning to experiment with this model, and government interest is growing.
What’s driving this global shift? The pandemic. COVID-19 changed everything, from where we work to how we approach work-life balance. The once radical idea of flexible working is now mainstream. Many companies that were once rigid in their 9-to-5 structures are now embracing flexibility in all its forms, including the 4-day week. As noted by Industry Europe, Iceland’s success has become a benchmark for other nations to follow.
As flexible work becomes more commonplace, it also influences where people choose to live. With days spent in the office, employees are no longer tethered to the cities where their jobs are based. Instead, many are seeking places that offer a higher quality of life, choosing locations based on factors like affordability, climate, and lifestyle preferences rather than proximity to their workplace.
This shift is already being seen in countries like Spain and Portugal, where remote workers and those with shorter workweeks are flocking to enjoy the lower costs of living and better work-life balance. Coastal towns, rural regions, and smaller cities are becoming increasingly popular as many people move away from expensive metropolitan centres to places that allow them to maximise their leisure time. As this trend continues, we may see a broader transformation in how we think about where we live and work—centering life enjoyment rather than purely job location.
Rethinking work: The future of the 4-day work week
So, where does this leave us? The 4-day work week may not be a one-size fits all solution, but it’s certainly a conversation worth having. It challenges us to rethink not just how long we work, but how we work. For office-based and knowledge-driven sectors, the shift seems feasible, and trials in countries like Iceland and Spain provide encouraging data. However, concerns about feasibility in sectors requiring constant presence, such as healthcare and retail, cannot be overlooked.
At UP, we have promoted remote and flexible working from day one. When and where people work is something they are best suited to plan and decide—provided that work goals are met. We believe that today’s workplace, in far too many companies, is out of step with the incredible enabling technologies all around us. Our founder, Julian Stubbs, has always believed that "people should be given the freedom and trust to work when and where they work best.” This philosophy reflects our unconventional approach—no traditional offices, but creative hubs across cities like Stockholm, London, and New York, where our global team connects. "What about offices? And what's really special?"
We have published a feature earlier on this subject by career BBC journalist Ritula Shah, interestingly titled The new world of work. Are you a TWAT? For her article click here.
As companies and governments around the world continue to explore flexible work models, the 4-day work week will likely remain a key topic of discussion. It may not be the right solution for every organisation, but for those willing to adapt, it could represent a significant step toward rethinking how we approach work in the modern era.
The world—Europe in particular—is searching for the next major productivity boost. We believe it won’t come solely from technology but from improved, fairer workplace practices. These productivity gains are achievable while also making workers' lives richer and more enjoyable - and this is good all round.