Is a 4-day work week right for you?
There’s a lot of buzz about companies switching to a 4-day work week. You may have even seen it as a featured selling point in job postings, where the goal is to make the grass look greener. In a job market where talent is easily able to move to a competitor, and where quality of life is a high priority‚ this all makes sense.
How do you decide if a 4-day work week right for your business? Or—since we’re a fan of people-first framing here at Hello HR—how do you decide if a 4-day work week is right for your people?
Let’s start by looking at the pros and cons.
Benefits of a 4-day work week:
Some good news: a 4-day work week has the potential to increase employee satisfaction and work-life balance. A study by the University of Utah found that employees who participated in a 4-day work week reported a better work-life balance, improved job satisfaction and overall well-being. This can lead to lower turnover rates, increased productivity, and even a boost in recruiting.
It's also worth noting that a 4-day work week can be a great people strategy that increases retention and engagement. According to a survey by Buffer, a social media management company that has been offering a 4-day workweek for several years; 92% of employees said they would recommend their company to a friend and 91% reported feeling happy with their current role. Additionally, a study by the New Zealand company Perpetual Guardian found that employee engagement increased by 24% after switching to a 4-day workweek.
Another perk is cost savings. When employees work fewer days, businesses can save money on things like electricity, office supplies, and office space. Those savings can go towards further perks your team desires, whether that’s a fancy coffee machine, catered lunches, or daycare subsidies!
Potential downsides of a 4-day work week:
Now for the risks: a 4-day work week may not be suitable for all types of businesses. For example, businesses that rely on customer service or sales may struggle to provide adequate coverage with fewer employees working. Additionally, it may be difficult to schedule meetings or coordinate with other organizations that operate on a traditional 5-day work week.
That said, these are not insurmountable, with some extra planning. Some teams might be able to manage by staggering their extra day off. It doesn’t have to be a Mon-Thu week for everyone! For some people, a mid-week day off might just be better for family care, errands, getting to go to their kid’s sports game, or just for a change of pace.
Another potential risk is that some employees may feel pressure to complete their work in fewer days, leading to longer hours or increased stress. It is important to manage expectations and ensure that employees are not overworking themselves to meet deadlines. The goal is to improve quality of life, after all!
A deliberate approach with proper communication in advance will go a long way here. Some teams may opt to keep 40 hours, just over 40 days. Some might switch to 32 hours with no change in pay. Because of the productivity and engagement benefits, some businesses can do this without missing a beat. Whatever the case, your team needs to know what’s expected and should be consulted in the planning process.
How do you decide if a 4-day work week is right for you?
Implementing a 4-day work week can be challenging, and shouldn’t be done on a whim. You’ll need to consider your customers, vendors, team preferences, any relevant time zone conflicts, and numerous other factors. One of the biggest decisions you’ll need to make is whether you are running a trial, or making a permanent change.
If you know it’s going to work for your business, great! But a lot of us are just getting used to this idea, and aren’t sure if it will work out. If you’re going to run a trial, communicating that with your team—and that you’ll be measuring success—is critical. Your people will be planning their lives around a policy like this, and thus are owed transparency.
Some companies that have made the switch:
To help inspire you, here are several companies that have successfully implemented a 4-day work week:
Perpetual Guardian, a New Zealand-based trust company, saw a 20% increase in productivity after implementing a 4-day work week.
Famously, Microsoft Japan saw a 40% increase in productivity and a 23% reduction in electricity consumption after a 4-day work week trial.
Buffer, a social media management company, has offered a 4-day work week to its employees for several years and has seen a positive impact on employee satisfaction and productivity.
Coconut Software does “Cabana Days,” where they work Mon-Thu and are encouraged to take Fridays off—but the option to work is there for anything critical. It’s listed prominently on their career page to advertise their emphasis on life/work balance.
Putting it all Together
There are several key factors to balance when considering the change to a 4-day work week, and some might be in competition. How will this impact your people? And what does your team want the change to look like? Can your business goals still be met with fewer hours? How will you manage the change with your customers, vendors, or locations in different time zones?
Overlapping all of these, is your change-and-communication strategy. You want to make sure you do this one right, and with the team’s support!
How to Get Started
Many aspects of a people-first HR strategy—like a 4-day work week!—is not a small feat. It’s an investment and it will take effort. Even if you have an entire HR team, they’ve already got daily ops on their plates. Hello HR provides expert strategic consulting and insight. We’re like a superpower both for leadership and HR teams!
Drop us a line and we can get the ball rolling with a free discovery call.
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