Will AI finally make the 4-day workweek a reality?
The following contribution is from Inc.com, one of the largest publications for small and medium-sized businesses in the United States, covering topics such as leadership, marketing, IT, HR, and more.
The author is Jessica Stillman, a writer and editor. Her daily column on Inc.com focuses on making work life (and life in general) more meaningful, joyful, and impactful. Visit jessicastillman.com for more information or to contact us.
A comprehensive study revealed that four-day workweeks benefit businesses and workers.
AI makes applying these findings more urgent than ever.
Much has been written about how artificial intelligence will soon reach many jobs.
People are already being laid off because AI has taken over their responsibilities.
What’s more, in a recent New York Times article, LinkedIn executive Aneesh Raman warned that AI technology is currently reducing the number of jobs available for entry-level positions. All of this has generated understandable concern among workers and labor market experts. But does the history of AI have to be one of loss and painful adaptation?
Not necessarily, according to Boston College economist Juliet Schor.
Her research points to a more encouraging possible scenario for AI’s near future.
Instead of precarity and unemployment, we would all have four-day workweeks and enjoy long weekends forever.
The 100-80-100 model is a proven success.
The push for the four-day workweek began long before OpenAI launched ChatGPT and ushered in the current AI race.
Entrepreneurs have experimented with it as a way to boost efficiency and morale.
Senator Bernie Sanders championed the idea as a fairer way to distribute the fruits of our collective labor.
And multiple countries, companies, and academic teams have conducted real-world trials of reduced workweeks.
Among the largest was a group of researchers led by Schor, who describes their findings in their new book, Four-Day Week:
The Transformative Solution for Reducing Employee Stress, Improving Well-Being, and Working Smarter (Harper Business).
The team’s three-year trial involved 400 companies around the world testing the 100-80-100 model: employees receive 100% of their previous pay for 80% of their previous hours, but 100% of their previous productivity.
Like previous trials, it showed that the four-day workweek is generally a resounding success on virtually every metric.
About 90% of companies chose to maintain the schedule after the trial ended, indicating that management was satisfied with the innovation.
Unsurprisingly, employees loved it.
«We have 20 well-being metrics, and they all show improvement,» Schor reported in a recent interview with MIT Sloan Management Review.
Workers didn’t feel more hectic or less connected to each other, and almost no one was looking for a second job in their newfound free time. Turnover was dramatically reduced.
AI Bolsters the Case for a Four-Day Workweek
This all sounds like the typical propaganda you hear from four-day workweek proponents. What does it have to do with AI?
While the arguments for a four-day workweek have always been sound, Schor says its implementation has taken on new urgency because of the expected productivity gains from AI.
As work experts from psychologist Adam Grant to computer scientist Cal Newport have documented, people have always wasted a lot of time at work.
The four-day workweek was conceived as a way to optimize that lost time, increasing employee productivity and rewarding them for their efforts with more free time.
But traditionally, Schor noted at Project Syndicate,
«We’ve been stuck with a five-day workweek, and the gains from productivity improvements have either been lost due to Parkinson’s Law [‘work expands to fill the available time’] or have been channeled into the owners’ pockets.»
«The four-day week seeks to ensure that workers reap significant benefits from improvements in productivity per hour,» he adds.
With AI powering the process of making work more efficient, there should be more productivity gains than ever to share.
This makes the question of how to distribute those benefits more urgent than ever.
Reasons for Skepticism
Schor warns that «the job-destroying potential of AI should lead everyone, from employers to unions to government officials, to seriously consider the four-day workweek as a solution to preserving jobs.
All recognize AI’s potential to create a large and growing pool of unemployed and underemployed workers.»
That outcome would add fuel to the fire of social instability, discontent, and violence, which is already a threat.»
Transferring Productivity to Employees in Reduced Hours
The sensible and socially responsible response to AI’s productivity gains is, therefore, to transfer some of them to workers in the form of reduced working hours.
This will contribute to a more stable (and humane) country and economy in the long run.
Which is a promising vision. Although there are reasons to doubt its viability. At least since the famous economist John Maynard Keynes predicted in 1930 that his grandchildren would one day work 15 hours a week, experts have argued that the benefits of technological progress should be passed on to workers in the form of more free time.
At least since then, workers and companies have chosen to continue working longer hours to earn more and consume more.
For decades, faced with the choice between having Fridays off or having more things, we have collectively opted for having more.
Perhaps not consciously. Perhaps because we fear that if we don’t give our all, someone will devour us. But we can make that choice.
The fate of the four-day workweek rests with business leaders.
Perhaps, thanks to the magnitude of the disruption AI promises, this time it could be different. Schor is fighting for that outcome.
«The sooner [the four-day workweek] becomes widespread, the easier the transition to AI will be,» he says.
In fact, it’s one of the few things that will fulfill the promise humanity has long awaited from technological progress: freeing us from unnecessary work, providing sufficient free time, and creating a healthy rhythm of life.
Entrepreneurs, who set policies in their companies, are in a prime position to help decide whether their request will be met.
If AI makes it possible to adopt the 100-80-100 model and implement the four-day workweek in your company, would you do it? Or would you prefer to lay off staff and create a more efficient company?
Jobs and the Future of Work
The following contribution is from the World Economic Forum website and is written by Douglas Broom, senior writer for the Forum Agenda.
Spain’s four-day workweek results in healthier workers and less pollution
Giving workers an extra day off per week increases productivity, improves physical and mental health, and reduces CO2 emissions.
These are some of the surprising benefits of a four-day workweek, according to research.
Speaking at the World Economic Forum’s annual meeting in Davos in January 2023, Sander van ‘t Noordende, CEO of the human resources consultancy Randstad, said the four-day workweek was «a business imperative.»
Working smarter, not harder, has been the mantra of management consultants for decades.
But what if you simply work less? There is growing evidence that abandoning the conventional workweek benefits both employers and employees.
The World Economic Forum’s landmark 2020 report, «The Future of Jobs,»
predicted that the rapid digitalization of the world of work would lead to two-fifths of the global workforce working remotely. Many organizations would fully embrace flexible working, it added.
This principle was tested in a series of trials around the world in 2022, coordinated by the non-profit organization 4 Day Week Global, with the participation of employers from Ireland, the United States, Australia, and New Zealand.
Surprising Benefits of the Four-Day Workweek
The global studies were followed by major trials at the municipal and national levels.
In Valencia, Spain’s third-largest city, a pilot program tested a four-day workweek, scheduling local holidays on four consecutive Mondays during April and May 2023.
The new temporary workweek affected approximately 360,000 workers, who took advantage of the additional free time to exercise, relax, and prepare meals, according to an independent panel of health and science experts tasked with evaluating the program’s impact.
The results showed that people who participated in the program had better self-reported health, reduced stress levels, were less tired, and felt happier and more personally satisfied.
Reduced city pollution
Reduced commuting also led to reduced nitrogen dioxide emissions and improved air quality.
And in another 2022 study—one of the largest single-country trials in the UK to date, involving 73 companies and 3,300 employees—the results were similar: four days of work for five days’ pay benefited both employers and employees.
The majority of companies that participated in the four-day workweek trial said they were likely to implement it in the future.
Nearly half of respondents said productivity improved, either slightly or significantly, and 86% said they were very likely to continue with the four-day workweek after the study.
Increased Productivity
Simply put, working four days a week meant people were accomplishing more in less time.
In 2019, Microsoft Japan introduced the four-day workweek and reported a 40% increase in productivity.
Similar results were found in the 2022 global trials, where employees committed to covering 100% of their usual workload 80% of the time.
When asked to rate the improvement in productivity during the trial on a scale where 1 was negative and 10 was very positive, employers gave it a 7.7.
One employee in the Irish trial commented, «I think I’ve been a lot more thoughtful with my schedule. It’s one thing to plan, to make time to focus, or to identify my priorities for the workweek… and another to not accept every meeting that comes along.»
Happier Workers
More than nine out of ten employees who participated in the global trials stated they wanted to continue with the four-day workweek, with a rating of 9.1 out of 10.
Indicators of stress, burnout, fatigue, and work/family conflict decreased.
At the same time, employees reported improved physical and mental health, a better work-life balance, and greater overall personal satisfaction.
Although some employees continued to work on their day off, most felt more productive and performed better.
People reported exercising more and sleeping more during a four-day workweek.
For families, the results of the UK study were very positive: the time men spent caring for their children increased by 27%.
Better for the Planet
With one less day of work, weekly commuting time was expected to decrease, and that’s precisely what happened: it went from 3.5 hours to just under 2.6 hours, a 27% decrease.
But an even bigger surprise was the overall reduction in car commutes, from 56.5% to 52.5% of employees.
Remote Work and Greater Environmental Awareness
The researchers stated that this was partly due to remote work, but there were other signs of increased environmental awareness as well.
Time spent on household recycling, walking, cycling, and shopping for eco-friendly products saw a «small but significant» increase.
A previous study from the University of Massachusetts Amherst found that a 10% reduction in the workday reduced an individual’s carbon footprint by 8.6%, leading senior research economist Juliet Schor to argue that a shorter workweek is key to reducing global carbon emissions.
Are they here to stay? Four-day workweek trials garnered near-unanimous approval from participating employees, with 97% stating that it should be permanent in their organization.
Employers were also very positive: 92% of participants in the UK are maintaining the four-day week.
Globally, participating companies reported that their revenue increased by approximately 8% during the trial and was 37.55% higher than the same period in 2021.
Recruitment increased, absenteeism decreased, and even the number of resignations decreased slightly.
Either a reduction in hours or an increase in pay
A worrying finding for companies that do not adopt the four-day week is that seven out of ten employees stated they would demand a pay increase of between 10% and 50% if they were required to work five days a week; 13% stated that no amount of money would convince them to give up the four-day week.
Business Imperative
Speaking at the World Economic Forum’s annual meeting in Davos in January 2023, Sander van ‘t Noordende, CEO of global HR consultancy Randstad, said the four-day workweek was «a business imperative» in a world where talent is scarce.
Urging a change in attitude among employers, he stated that bosses should treat employees as customers. «You ask your customer what they want and try to do the best possible job for them. You should treat talent equally,» he stated.
A Randstad study showed that half of employees were willing to quit their jobs if they were dissatisfied there.
Flexible scheduling and hybrid working (combining in-office and remote work) are proven ways to increase job satisfaction, van ‘t Noordende added.
The four-day workweek has become permanent for most UK companies in the world’s largest pilot.
The following contribution is from The Guardian and written by Rachel Hall, a reporter for the outlet.
A study shows that 51% of participating companies adopted the change permanently, while 89% are still implementing the policy one year later.
Most UK companies that participated in the world’s largest four-day workweek pilot have made the policy permanent, according to a study.
Of the 61 organizations that participated in a six-month pilot program in the UK in 2022, 54 (89%) are still implementing the policy one year later, and 31 (51%) have made the change permanent.
More than half (55%) of project managers and executive directors said that a four-day workweek, in which staff worked at 100% capacity for 80% of their time, had a positive impact on their organization, according to the report.
For 82%, this included positive effects on staff well-being; 50% saw a reduction in staff turnover, while 32% reported improved recruitment. Nearly half (46%) reported improved work and productivity.
Report author Juliet Schor, a professor of sociology at Boston College, said the results showed real and lasting effects.
«Physical and mental health, as well as work-life balance, are significantly better than at six months. Improvements in burnout and life satisfaction remained stable,» she stated.
However, Matthew Percival, director of the Confederation of British Industry,
said that the four-day workweek was not a one-size-fits-all solution and would be unlikely to pay for itself in many sectors.
He said: «If companies have the budget to extend their offering to employees, they will consider the benefits of shorter working hours against increased pay, pensions, or paid parental leave, as well as improved health and wellbeing support.»
The report on the four-day workweek, by the think tank Autonomy and researchers from the University of Cambridge, the University of Salford, and Boston College (USA), concluded that «many of the significant benefits seen during the initial trial have been maintained 12 months later,» although they noted that this was a small sample.
Almost all (96%) of staff said their personal lives had benefited, with 86% reporting improved job performance, while 38% felt their organization had become more efficient, and 24% said it had helped them with family responsibilities.
Organizations reduced working hours by an average of 6.6 hours to achieve a 31.6-hour workweek.
Most gave their staff a full day off per week, either universally or on a staggered basis.
The report concluded that protected days off were more effective than those where staff were on call or expected to work occasionally.
The most successful companies made their four-day workweek clear, reliable, and well-communicated, and designed their policies jointly with staff and management, carefully analyzing how to adapt work processes, the authors wro
