Recent results from a large pilot program showed that a 4-day work week improves employee health and company revenue.
In June, ResumeBuilder.com surveyed 976 business leaders to find out their current attitude toward a 4-day work week policy.
Overall, 20% of business leaders say their company currently has a 4-day work week and 41% say their company has plans to implement the policy. These 600 respondents completed the full survey.
Additional key findings:
- Of companies that have a 4-day work week, 69% say not all full-time employees are eligible
- 50% of business leaders who say company has plans to implement a 4-day work week say it will happen by EOY
- 84% say a 4-day work week has helped the company compete for top talent; 88% say it positively impacted profitability
- Salaries and PTO have been or will be negatively impacted for some employees
20% of business leaders say their company has a 4-day work week
Overall, 20% of business leaders say at least some employees at their company work a 4-day work week.
Of business leaders at companies with a 4-day work week, less than one-third (31%) say 100% of employees are currently eligible. Additionally, 55% say 75% of employees are eligible, while 9% say 50%, and 6% say 25% or less.
The most common determinant for eligibility is level of responsibility (64%), followed by remote or in-person work location (52%), work performance (51%), and the employee’s department (45%).
While 19% say they’ve had a 4-day work week for more than 2 years, 18% say they’ve only implemented the policy within the last 6 months. The remaining 54% say they’ve had a 4-day work week for between 6 months and 2 years.
Chief Marketing Officer at Paradigm Peptides Christy Pyrz is a proponent of a 4-day work week.
“A four-day workweek helps employees work to live, not live to work,” says Pyrz.
“As more companies are experimenting with this work model, more discussions will be had in the C-suite. The conversation may start with the tech industry and expand in 2023, and companies will opt for a Monday-Thursday workweek. A strict nine-hour workday, five days a week is exhausting. If workers can get the job done in less time, then why not implement it? Hustle-culture causes a negative impact on employees, and leads to burnout over time. Not only does this new way of working improve productivity, but it also allows workers to focus on their own happiness and organize their day-to-day tasks in a way that makes sense.”
8 in 10 say policy has helped the company compete for top talent
Only 19% of business leaders say employees are working fewer hours now than with a 5-day work week. Additionally, while 39% say there was no change in total work hours, 42% say employees are now working more hours per week.
At companies where employees are working fewer hours, 21% of business leaders say those employees had their salaries reduced, and 61% say they have less paid time off.
The majority (84%) of business leaders say implementing a 4-day work week has helped the company compete for top talent, and 88% say it has positively impacted profitability.
Max Shek, founder of nerDigital, says he’s seen several benefits to implementing a 4-day work week.
“Firstly, employee morale and engagement have significantly improved. Our team members are more motivated, energized, and happier in both their personal and professional lives. This positive mindset has translated into increased productivity and higher-quality work.
“Additionally, we have observed that employees are more focused and efficient during their working hours. The compressed work week has encouraged them to streamline processes, eliminate time-wasting activities, and optimize their workflows.
“Overall, the implementation of a 4-day work week has had a positive impact on our organization. It has fostered a healthier work environment, boosted employee satisfaction and engagement, and resulted in sustained or improved productivity levels. We firmly believe that this shift in the traditional work schedule has been beneficial for both our employees and the company as a whole.”
4 in 10 companies plan to implement a 4-day work week
Of business leaders who say their company has plans to implement a 4-day work week, 50% say the policy will become effective in 2023, 42% in 2024, and 8% not until 2025 or later.
Nearly all business leaders (98%) say the company will run a trial period before implementing the policy. The plurality (50%) say this trial period will last 1-3 months, while 11% say it will be for less than a month, and the remaining 39% say 3 months or longer. The trial will include all eligible employees according to two-thirds of business leaders, whereas a third say only a smaller group will participate.
The majority (81%) of business leaders say not all employees will be eligible for a 4-day work week. Forty-one percent say about 75% of employees will be eligible, 21% say about 50%, and 19% say 25% or less.
The employee’s department is the most common determining factor for eligibility (69%), followed by level of responsibility (66%), work performance (65%), and work location (remote vs. in-person) (54%).
More than three-quarters (76%) of business leaders say implementing a 4-day work week will likely reduce employee turnover, 92% believe it will help the company compete for top talent, and 85% think it will positively affect company profitability.
Tyler Seeger, managing director of Retirement Being, says his company plans to move to a 4-day work week.
“Implementing a 4-day work week is in my future plans. From my experience and the results I’ve seen other businesses get, it is a solid strategy to push the business and employees forward, so I’m curious how it would work for my company,” says Seeger.
“I expect to see the benefits everyone praises the 4-day work week for, such as increased employee productivity, cost savings, a positive company culture, and an improved work-life balance for my employees, resulting in improved engagement and loyalty levels.”
1 in 10 employees will see salary reductions
The number of hours employees work per week are likely to say the same according to 37% of business leaders. Additionally, 38% say total hours will decrease, while 25% say there will be an increase.
Of those who say the number of hours will decrease, 30% say it’s likely employee salaries will be reduced, and 73% say it’s likely paid time off will be reduced.
Methodology
This survey was commissioned by ResumeBuilder.com and conducted online by the survey platform Pollfish on June 6, 2023. In total, 600 participants in the U.S. completed the full survey. All participants had to pass through demographic filters to ensure they were currently age 25 or older, earn more than $50,000 annually, and had an organizational role of C-level executive, director, president, owner, senior management, or HR manager.
The survey used a convenience sampling method, and to avoid bias from this component Pollfish employs Random Device Engagement (RDE) to ensure both random and organic surveying. Learn more about Pollfish’s survey methodology or contact [email protected] for more information.
