Four-Day Workweeks: Companies Leading the Change

 

In recent years, a growing number of companies around the world have been experimenting with four-day workweeks, offering employees an extra day off while maintaining their full salary. This workplace innovation aims to improve work-life balance, boost productivity, and enhance employee wellbeing. Let's examine the companies pioneering this shift, the benefits they're experiencing, and the challenges they're facing as they reimagine the traditional workweek.

Understanding the Four-Day Workweek Model

A four-day workweek typically means employees work four days instead of five, while still receiving their full pay. Most companies implementing this model have employees work 32 hours instead of the traditional 40 hours per week. The concept is built on the premise that with proper focus and efficiency, workers can accomplish the same amount of work in less time, while enjoying an improved quality of life.

Several different models exist:

• The compressed workweek (four 10-hour days)
• The reduced workweek (four 8-hour days)
• Flexible arrangements where days off are staggered to maintain coverage

Pioneering Companies Leading the Four-Day Revolution

Perpetual Guardian (New Zealand)

This New Zealand-based estate planning firm was one of the first to make global headlines for switching to a four-day workweek. In 2018, they conducted an eight-week trial that proved so successful they made it permanent.

Founder Andrew Barnes initiated the trial after reading research suggesting that employees are only productive for about 2.5-3 hours a day. The results were impressive:

• Productivity increased by 20%
• Staff stress levels decreased by 7%
• Work-life balance scores improved from 54% to 78%
• Team engagement increased by 20%

Barnes has since become a vocal advocate for the four-day week, co-founding the nonprofit 4 Day Week Global to help other companies transition to shorter workweeks.

Microsoft Japan

In August 2019, Microsoft Japan implemented a "Work-Life Choice Challenge," giving their 2,300 employees five Fridays off in a row without reducing pay. The results were remarkable:

• Productivity jumped by 40% compared to the same period the previous year
• Electricity costs fell by 23%
• Printing decreased by 59%
• 92% of employees reported being happier with the four-day workweek

The experiment highlighted how limiting meeting times (to a maximum of 30 minutes) and encouraging remote communication led to more efficient work processes.

Unilever New Zealand

The consumer goods giant began a year-long trial in December 2020, allowing its 81 employees to work four days a week while being paid for five. The company maintained its expectation that employees would deliver 100% of their KPIs.

Nick Bangs, Unilever New Zealand's managing director, stated: "Our goal is to measure performance on output, not time. We believe the old ways of working are outdated and no longer fit for purpose."

After the successful trial, Unilever extended the program and is considering implementing it in other markets.

Kickstarter

The crowdfunding platform announced in 2021 that it would test a four-day, 32-hour workweek beginning in 2022. CEO Aziz Hasan explained that they wanted to become a company that's "more productive, more healthy, and more fun."

The company designed their approach to maintain the same expectations for output while giving employees more flexibility and time for personal activities. Initial reports suggest high employee satisfaction and maintained productivity levels.

Buffer

The social media management company Buffer began testing a four-day workweek in May 2020 as a response to the burnout employees were experiencing during the COVID-19 pandemic. What began as a one-month experiment was extended multiple times before becoming permanent in 2021.

According to their internal surveys:

• 91% of team members reported being happier and more productive
• 84% were able to complete all their work in four days
• 73% felt the four-day workweek made them more focused

Buffer's CEO Joel Gascoigne noted, "The four-day workweek resulted in sustained productivity levels and a better sense of work-life balance. These were the exact results we'd hoped for."

Bolt

The e-commerce company Bolt started their four-day workweek trial in September 2021. Founder and CEO Ryan Breslow made the announcement saying, "It's not about working less, it's about working more efficiently."

After three months, they made the change permanent. Bolt reported:

• No drop in productivity or output
• Improved work-life balance for employees
• Better recruitment and retention rates
• More efficient meetings and communication

Panasonic

In January 2022, electronics giant Panasonic announced that it would offer a four-day workweek option to its employees. CEO Kusumi Yuki explained that the move would give staff more time to pursue personal interests, from side businesses to volunteer work.

This is particularly significant as it represents a major shift in Japanese work culture, which has traditionally been characterized by long hours and presenteeism.

DNB (Norway's largest bank)

DNB has been experimenting with flexible work arrangements, including four-day workweeks for certain teams. The bank's approach focuses on measuring results rather than hours worked, with employees having increased autonomy over their schedules.

Government-Backed Programs and Trials

Iceland's National Trial

Between 2015 and 2019, Iceland conducted the world's largest trial of a shorter working week. The trial included more than 2,500 workers (about 1% of Iceland's workforce) across various sectors.

Results showed:

• Productivity remained the same or improved in most workplaces
• Worker wellbeing increased dramatically across multiple indicators
• Work-life balance improved significantly

Following these trials, 86% of Iceland's workforce has either moved to shorter hours or gained the right to negotiate for them.

Spain's Pilot Program

In 2021, Spain announced a pilot program for companies interested in testing a four-day workweek. The government allocated €50 million to help companies cover costs associated with the transition. The three-year pilot aims to reduce risks for companies willing to try the concept.

UK's Four-Day Week Pilot

In 2022, more than 70 UK companies with over 3,300 workers began a six-month trial of a four-day week with no loss of pay. The program, led by 4 Day Week Global, measured impacts on productivity, worker wellbeing, gender equality, and environmental impact.

The results showed that 92% of participating companies decided to continue with the four-day week after the trial ended, citing benefits to both business performance and employee wellbeing.

Benefits Companies Are Experiencing

Organizations that have implemented four-day workweeks report numerous advantages:

Improved Employee Wellbeing

• Reduced burnout and stress levels
• Better mental health outcomes
• More time for family, rest, and personal activities
• Increased job satisfaction and happiness
• Lower healthcare costs

Enhanced Productivity

• More focused work during the four days
• Fewer unnecessary meetings and distractions
• Improved efficiency and prioritization skills
• Greater energy and concentration during work hours

Better Talent Attraction and Retention

• Powerful recruitment tool in competitive job markets
• Reduced turnover rates
• Higher employee loyalty
• More diverse applicant pools, especially among parents and caregivers

Environmental Benefits

• Reduced commuting, lowering carbon footprints
• Decreased energy use in office buildings
• Lower resource consumption (paper, electricity, etc.)

Business Performance

• Reduced operating costs in some cases
• Enhanced customer service due to happier employees
• More innovation as employees have time to recharge
• Fewer sick days and absences

Challenges and Considerations

While many organizations report positive outcomes, implementing a four-day workweek comes with challenges:

Industry-Specific Hurdles

Some sectors face greater difficulties in implementation:

• Healthcare and emergency services requiring 24/7 coverage
• Customer service industries expecting five or seven-day availability
• Manufacturing with continuous production needs
• Seasonal businesses with fluctuating workloads

Operational Adjustments

• Need for staggered schedules to maintain coverage
• Technology requirements for remote collaboration
• Process redesign to eliminate inefficiencies
• Training managers to focus on outcomes rather than hours

Potential Work Compression

• Risk of creating more stressful four days if not implemented properly
• Need to address "work creep" into the fifth day
• Ensuring part-time workers aren't disadvantaged

Cultural Resistance

• Overcoming traditional work paradigms
• Addressing concerns about productivity and availability
• Managing client expectations

Implementation Strategies for Success

Companies considering a four-day workweek can learn from those who have successfully made the transition:

Start with a Trial Period

Most successful implementations begin with a three to six-month trial to work out kinks and measure results.

Focus on Outcomes, Not Hours

Shift evaluation metrics from time spent to results achieved, emphasizing productivity and quality of work.

Audit and Eliminate Inefficiencies

Before implementing, identify and eliminate unnecessary processes, meetings, and tasks.

Improve Communication Tools and Protocols

Establish clear communication guidelines and leverage technology to maintain connectivity while respecting time boundaries.

Involve Employees in Planning

Get input from staff about potential challenges and solutions specific to their roles.

Create Clear Boundaries

Establish explicit expectations about availability on days off to prevent work from bleeding into free time.

The Future of Work: Where Are We Headed?

The movement toward four-day workweeks appears to be gaining momentum globally. The pandemic has accelerated conversations about work-life balance and alternative work arrangements, creating openness to new models.

Research suggests that the future workplace may become increasingly flexible, with organizations offering various arrangements to suit different roles and individual needs. Rather than a one-size-fits-all approach, we may see a spectrum of options:

• Four-day workweeks
• Flexible hours
• Hybrid remote/office models
• Results-only work environments

Resources for Organizations Considering the Shift

For companies interested in exploring four-day workweeks, several resources are available:

• 4 Day Week Global (https://www.4dayweek.com/) offers toolkits and support for organizations transitioning to shorter workweeks
• Work Time Reduction Center of Excellence (https://wtrcoe.org/) provides research and case studies
• Society for Human Resource Management (https://www.shrm.org/) offers guidelines on alternative work arrangements

Conclusion

As more companies experiment with four-day workweeks, the evidence suggests that with proper planning and implementation, working fewer days can lead to equal or greater productivity, improved employee wellbeing, and stronger business results. While not without challenges, this reimagining of the traditional workweek represents a significant evolution in how we think about work, productivity, and success in the 21st century.

The companies leading this change are demonstrating that by focusing on work quality rather than quantity of hours, organizations can create environments where both businesses and employees thrive. As the movement continues to grow, we may be witnessing the early stages of a fundamental shift in work culture that prioritizes efficiency, wellbeing, and sustainability.