June 14, 2023 | Eul Basa

The Four-Day Work Week: Is It Worth It?

Over the past couple of years, the four-day workweek has gained popularity among the more progressive companies around the globe. Preliminary studies have shown that the arrangement can have several benefits for both a company and its employees.

On top of allowing for more work-life balance, a four-day workweek also contributes to a dramatic increase in workplace productivity. Back in 2018, Perpetual Guardian, a New Zealand estate planning firm, ran an eight-week trial and saw amazing results—not only did productivity spike by 20 percent among its employees, but common issues like burnout and work-related stress were also minimized in that short period of time.

Soon after the trial, the company decided to make the four-day workweek a permanent policy. Andrew Barnes, the CEO of Perpetual Guardian, and Charlotte Lockhart, the company's former sales and marketing director, also encouraged other companies to run their own tests to see if a four-day workweek would be a good fit for them.

It all comes down to weekly hours

Lockhart believes that people should not confuse a four-day workweek for a shorter week. The key to its success does not come from working one day less, but rather, cutting total weekly hours to a reasonable amount without affecting pay. According to various studies conducted in Iceland, reducing weekly hours from 40 to just 35 can already do wonders for productivity, whether those hours are compressed into four days (which would result in a three-day weekend) or spread out over five.

That said, time is money, so if a company does decide to reduce hours, it must be prepared to pay the additional costs. For example, in Gothenburg Sweden, the working hours for care workers were reduced to six hours per day, which led to city officials hiring 17 more staff members to cover the extra hours. Such resulted in a 22 percent increase in payroll at a total cost of $738,000.

Of course, not every company can function on a four-day workweek. It really boils down to the scope of work and a company's values. Some jobs require constant attention, while others are better managed with a more spread-out schedule. Still, if the circumstances are right and the company has the means to give a four-day workweek a shot, what's the harm in trying?







People Share The Last Straw That Made Them Cut Family Members Out Of Their Lives

Dealing with family members can be a tricky proposition. For some, it's easier to cut family members out of their lives completely and be done with them.
June 20, 2018 Eul Basa

People Share The Most Horrific Dates They've Ever Been On

Dating sites give us plenty of opportunities to find people to date. Unfortunately, that isn't always the case.
July 6, 2018 Eul Basa

Conflicted People Reveal Their Most Dark And Disturbing Family Secret

Here lie real accounts of the moments people who thought they were "normal", discovered that their personal family secret is darker than expected.
July 12, 2018 Eul Basa

People Share The Quickest They've Ever 'Noped' Out Of A Job

We’ve all been there before, or at least know of someone that has. Those jobs where you instantly 'noped' out and walk away with no regrets.
July 21, 2018 Eul Basa

Divorce Lawyers Share The Most Ridiculous Reason A Client Has Filed For A Divorce

A divorce is most often always a painful event. Here, divorce lawyers share the strangest reasons someone has come to their office and asked for a divorce.
August 10, 2018 Eul Basa

Ex-College Students Share Their Crazy Expulsion Stories

Between partying and struggling to make pass, there are many chances for you to meet trouble in your college years. Rarely, though, people face expulsion.
August 11, 2018 Eul Basa

Dear reader,

It’s true what they say: money makes the world go round. In order to succeed in this life, you need to have a good grasp of key financial concepts. That’s where Moneymade comes in. Our mission is to provide you with the best financial advice and information to help you navigate this ever-changing world. Sometimes, generating wealth just requires common sense. Don’t max out your credit card if you can’t afford the interest payments. Don’t overspend on Christmas shopping. When ordering gifts on Amazon, make sure you factor in taxes and shipping costs. If you need a new car, consider a model that’s easy to repair instead of an expensive BMW or Mercedes. Sometimes you dream vacation to Hawaii or the Bahamas just isn’t in the budget, but there may be more affordable all-inclusive hotels if you know where to look.

Looking for a new home? Make sure you get a mortgage rate that works for you. That means understanding the difference between fixed and variable interest rates. Whether you’re looking to learn how to make money, save money, or invest your money, our well-researched and insightful content will set you on the path to financial success. Passionate about mortgage rates, real estate, investing, saving, or anything money-related? Looking to learn how to generate wealth? Improve your life today with Moneymade. If you have any feedback for the MoneyMade team, please reach out to [email protected]. Thanks for your help!

Warmest regards,

The Moneymade team