Study evaluates benefits of four-day workweek
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Recent research on the value of a four-day workweek is prompting conversations in the executive suite, human resource departments, and at the “water cooler.” Researchers at two of the leading business schools in Indiana say certain industries should seriously examine the paradigm shift in what is considered a traditional workweek. The study, a collaboration between Boston College and the University of Cambridge in the United Kingdom, examined the impact of a reduced work week on an organization’s performance, and also employee’s well-being.
In an interview with the Associated Press, Kate Zipay, a professor of organizational behavior and human resources in the Mitch Daniels School of Business at Purdue University, said a four-day workweek helps remove personal chaos from a worker’s life.
“For organizations, employees are less likely to be burned out, they’re less likely to resent the organizations, they’re less likely to lie when they have to take care of their kids or have to go to these appointments,” said Zipay, who adds it could create a stronger relationship with the organization.
The pilot study involved more than 60 businesses with approximately 3,000 workers who voluntarily adopted to a truncated work schedule from June to December 2022. It was considered the largest-ever trial of the four-day workweek.
The results showed 91% of the companies intend to definitely continue with the abridged workweek, 4% said they were leaning towards continuing the practice, and another four percent said they would not continue.
Cristiano Guarana is an assistant professor at the Indiana University Kelley School of Business in the Management and Integration Department. He said the results showed benefits not only to the workers, but the employers.
“It found that company’s revenue didn’t change much during the trial period, and there was no loss of productivity,” said Guarana. “For employees, there were lower levels of anxiety, fatigue, and sleep deprivation, which is great. In general, employees’ mental and physical health improved.”
The results showed with the additional personal time, employees were exercising more, and companies observed fewer instances of absenteeism and sick days.
Zipay says companies could be missing out on the ability to recruit and retain talented workers.
“Anecdotally, I’m hearing more and more from students that are foregoing those career paths because they know or see them as incompatible with what they want to achieve in their non-work life,” said Zipay. “It’s even more critical for these industries that have a reputation for a grueling workweek to consider what they’re missing out on, or more specifically, who they’re missing out on if they don’t take this as a real possibility.”
Could a wider swath of U.S. employers adopt a shortened workweek? Guarana believes without external pressure, business organizations are not likely to change until they have a difficult time recruiting and retaining talent.
“More companies are beginning to feel pressured to try a new approach to how they manage their teams. Such market forces could push more employers to start adopting the four-day workweek,” said Guarano.
Last week, California Congressman Mark Takano reintroduced the Thirty-Two Hour Workweek Act. The legislation would reduce the standard workweek from 40 hours to 32 hours by amending the Fair Labor Standards Act.
“Workers across the nation are collectively reimagining their relationship to labor – and our laws need to follow suit,” said Takano.
Zipay says not all industries are able to adopt a shorter workweek simply because of what they manufacture or the service they provide in a healthy economy. Still, the study helped further the discussion.
“The idea that we work five days a week, or we work 40 hours a week because of systems that have been in place long before any of us started our careers, that we can break down that idea and give people back time and efficiency and a new way of working is conducive to most work environments,” said Zipay. “The problem is going to be how much adjusting or shifting they’re going to need.”