How to Implement a Four-Day Work Week

In recent times, numerous businesses have expressed an interest in shortening the traditional work week. Japan, Iceland, and New Zealand are just some countries pioneering the introduction of four-day working weeks.

Shorter work weeks can help encourage a better work-life balance – resulting in healthier and happier employees. However, employers must ensure they fully understand what’s needed before implementing the change. If not, you could end up with and overworked employees.

Let’s take a look at how to implement a four-day work week arrangement that works for your business – encouraging growth, productivity, and success.  

What is a four-day work week?

A four-day work week is the period where employees complete their job duties in four days, rather than the traditional five. Employees work four days a week without facing a loss in salary.

What is the law on four-day work weeks?

As of 2024, there isn’t a law that outlines the rules on four-day work weeks.

Full-time employees can already request the right to a four-day working week from their first day of employment. They must still complete their contracted work hours to receive their full pay. However, their hours are compressed into a shorter week.

In April 2024, workers were given the right to request flexible working as soon as they start their job. However, employers aren’t legally required to accept them. They should instead make informed and reasonable decisions based on individual cases.

What are the benefits of a four-day work week?

There are numerous benefits, for employees and businesses, which come from a four-day work week. Let’s take a look at a few:

Boosts recruitment numbers

One of the main advantages of a four-day work week is that it attracts potential candidates. Since the COVID-19 pandemic, people are continuously looking for jobs that promote a better work-life balance, and that includes flexibility.

By promoting work flexibility, businesses can easily reach a wider range of potential applicants, as well as retain valuable employees.

Increases work productivity

Employees who work through the four-day arrangement are considerably happier and focused on their work duties. They aspire to complete their tasks within their set days; and many look forward to enjoying their time away from work.

Whilst it might seem like four days are too short to complete five days’ worth of work. They may receive alternative tasks and deadlines which are more suitable for this working format.

Improves wellbeing

It’s crucial for all workers to acknowledge the importance of having a good work-life balance. This means being able to complete work duties within a reasonable time, without it affecting their personal hours.

Having an extra workday can help reduce all kinds of work-related health issues. The most common ones include anxiety, stress, depression, and burnout. Employees can use free time to rest, exercise, or spend time with their friends, family, and loved ones.

Reduces utility costs

Businesses that are run on four days a week benefit from maintenance savings. It might seem like one day can’t have that much influence; but this is one day – per week - across an entire working year.

Some of the most common savings comes through utility bills; water, gas, and electricity bills are the main ones. But businesses can make huge savings through general supplies used in kitchens and bathrooms.

Practice sustainability

It might seem implausible, but four-day working weeks can help businesses practice sustainability. Less workdays equates to less employees commuting per day – reducing their carbon footprint.

Less people will be driving or using public transport to get to work, which results in lower carbon emissions overall. Overall, four-day work weeks are beneficial when it comes to practicing environmental awareness.

What are the downsides of a four-day work week?

Whilst the pros might seem tempting, it’s important not to ignore negatives. Some of the biggest downsides of four-day work weeks include:

This might prove difficult for those who struggle with compressing five days’ worth of work into four.

If it’s not managed well, employees could suffer from poor wellbeing, low morale, and lost productivity. In the end, employees are left feeling dissatisfied with their job and may decide to resign from their job.

Reduction in work productivity

Work hours, tasks, and deadlines are usually agreed to before initiating a four-day working week. However, dealing with the reality of the change can leave employees struggling to keep up.

With the pressure of completing tasks, employees may produce incomplete or unsatisfactory work. They could also suffer from stress and burnout – resulting in poor employee wellbeing.

Decrease in customer satisfaction

Continuing from the previous, poor productivity and output can lead to a decrease in customer satisfaction. This usually derives from a lack in service and support from the business they trusted and invested in.

Some businesses have invested in technology to assist with managing customer services. However, some prefer human assistance over technology. In the end, customers are left frustrated and disappointed with the services.

Possible additional costs

Whilst making financial savings is possible, the four-day working week arrangement can also lead to potential hidden expenses some businesses might not have considered before.

Employers may incur additional costs through paying overtime or hiring agency staff to assist during busy hours. Remember, these aren’t one-off events; they’re weekly occurrences that can last the entire working year.

Not suitable for all businesses 

Regardless of what competitors are using, the four-day working week arrangement isn’t suitable for all businesses. For example, industries like transportation, hospitality, and care, might not find the arrangement suitable.

That’s because they often run seven days a week or on a 24/7 basis. In the end, such businesses may suffer from staff shortages and lack of customer satisfaction.

How to implement a four-day work week arrangement into your business

Working a shorter week doesn’t mean less productivity and output for your business. In fact, if it’s done well, four-day working weeks can help encourage engagement, morale, and overall output.

Let’s take a look at ways to implement a four-day work week arrangement into your business:

Think about business suitability

The first step employers should take is thinking about whether a four-day work week is suitable for their specific business. You’ll need to consider how your productivity and output suits this working time arrangement.

For example, if your business is based on 24/7 customer support, a four-day work week might cause issues around availability and communication. Customers are left dissatisfied with your service and seek them from alternative rival companies.

Before implementing the scheme, you should consider whether a four-day working week is realistic within your business. And more importantly, if the arrangement encourages or stunts productivity and growth.

Calculate productivity and profitability

Employers must make calculative decisions before switching to a four-day working week. You’ll need to consider whether changing your work arrangement is a profitable choice or not.

For example, a shorter working week can result in less productivity and revenue. This isn’t a one-off incident. Without proper supervision, the loss is repeated weekly – resulting in overall financial losses across the entire working year.

Some businesses work better through a five-day working week, like customer service or IT departments. So, it’s important for employers to consider the outcome of the four-day arrangement, especially any potential losses in productivity and profit.

Inform all affected staff members

The next step to consider is informing all staff members that could be directly (and indirectly) affected by four-day work week arrangements.

Whilst the change might be welcome to some, employers need to find a good balance between introducing the change and protecting job satisfaction for all.

It’s also important to keep stakeholders updated on your four-day arrangements. They should know what the change includes, what is expected from employees, and what possible issues may occur during the transition.

Build a contingency plan

It’s crucial for employers to build a contingency plan that covers your four-day work week arrangement. The plan helps identify, control, and even minimise certain risks related to working shorter weeks.

Contingency plans also help employers make changes without causing direct business issues. This includes any impacts on staff, productivity, or overall work culture.

Employers should include all four-day working week terms into the contingency plan. With the right information, employees will be aware of all upcoming changes related to their work duties and environment overall.

Are there alternative methods to the four-day working week?

Working four days a week isn’t fully functional across all workplaces. That’s why it’s important for employers to consider the pros and cons of the arrangement before commencing them.

There are several alternative methods that might prove more beneficial compared to the four-day working week. For example:

• 9/80 schedules: This is when employees slightly increase their working hours over two weeks in return for one additional day off every other week. Employees benefit from additional paid holidays without reducing their hours or pay.
• Shorter working hours: This is when employees receive shorter working hours over a five-day period or more flexibility on Fridays. This eases work pressures on employees to complete their tasks before the end of each working day.
• Hybrid working: This is when employees are encouraged to increase their work-life balance without implementing shorter weeks. This can be done through being given more paid time off or working from home benefits.

Get expert advice on four-day work weeks with Peninsula

Every employer wants their staff to work in a happy and healthy manner. This comes from having a great personal and professional balance – which can be attainable through a four-day work week.

Remember, this arrangement comes with its own legal requirements which employers must adhere to. If not, you could end up underpaying, overworking, and burning out your valuable employees.

Peninsula offers expert advice for companies with four-day work weeks. We offer 24-hour HR advice – helping you deal with all payment entitlements. You can also download our free annual leave and holiday pay guide for further information.

Want to find out more? Contact us on 0800 028 2420 and book a free consultation with an HR consultant today.