Why Australia is one step closer to a four-day work week | The Business | ABC News

ABC News (Australia)

11 Sept 202304:12

Summary

TLDRThe video script discusses the growing trend of a four-day workweek as a response to labor shortages and the pandemic's impact on traditional work patterns. Oxfam Australia is pioneering the concept locally, aiming to maintain productivity without increasing work hours. Early trials worldwide have shown increased productivity and improved well-being among employees. The script highlights the potential for this model to become the norm across various sectors, with large-scale trials in the UK reporting positive outcomes and companies like Unilever adopting the practice.

Takeaways

📅 The traditional 9-to-5, Monday-to-Friday workweek is being reevaluated due to the premium on human capital.
🌐 The pandemic and labor shortages have prompted organizations to explore alternative work arrangements.
🏢 Oxfam Australia is pioneering a four-day workweek trial in its workplace agreement, aiming for a win-win for both workers and employers.
🤝 There's an ongoing conversation about how to best organize work and ensure the well-being of employees while maximizing productivity.
💼 The four-day week at Oxfam is not about reducing hours but changing work patterns to maintain the same output with the same pay.
📈 Global trials have shown consistent productivity increases with the implementation of a four-day workweek.
🛠️ Union leaders are now negotiating enterprise bargaining agreements involving four-day workweek trials.
📊 A large UK trial reported significant drops in sick days, reduced employee turnover, and increased productivity.
🛑 Consumer goods giant Unilever has successfully implemented a four-day workweek in its New Zealand office and is expanding the trial in Australia.
🔄 The concept of a four-day workweek, once considered radical, is gaining traction as employers find benefits in reduced labor costs and increased staff engagement.
📚 A recent senate report has called for government agencies to trial the four-day workweek, indicating its potential for broader adoption across sectors.

Q & A

What is the traditional concept of a workweek that the script challenges?
-The traditional concept of a workweek is nine to five, Monday to Friday.
What factors are driving organizations to seek alternative work arrangements?
-The pandemic and labor shortages are forcing organizations to look for different ways to work.
Why is Oxfam Australia believed to be the first local organization to trial a four-day week?
-Oxfam Australia has a four-day week trial written into its workplace agreement, which is a result of ongoing conversations about work organization and employer responsibility.
What is the main goal of the four-day workweek according to the script?
-The main goal is to change work patterns to maintain the same output in just four eight-hour days with the same pay, without compressing the standard 38-hour week into four days.
How does the four-day workweek impact productivity according to trials conducted worldwide?
-Trials have shown consistent productivity increases as a result of implementing a four-day workweek.
What role is the union leader playing in the adoption of the four-day workweek in Australia?
-The union leader who struck the Oxfam Australia deal is already negotiating five to ten Enterprise bargaining agreements that involve a trial of the four-day workweek.
How does the script suggest the concept of a four-day workweek will evolve in the future?
-The script suggests that the concept will shift from small businesses to larger workforces through unions bargaining on behalf of staff and will move from sector to sector.
What has been the outcome of a large trial in the UK regarding the four-day workweek?
-Firms in the UK reported big drops in sick days, fewer employees quitting, and higher productivity as a result of the trial.
What did Unilever's experience with the four-day workweek in New Zealand lead to?
-Unilever's successful 18-month experiment in New Zealand led to the continuation of the four-day workweek and a trial involving 500 staff in Australia.
What does the script suggest about the broader implications of the four-day workweek for different sectors and types of businesses?
-The script suggests that the four-day workweek is a workplace improvement applicable to all sectors and workers, not just those based in offices or small agile businesses.
What recent call has been made by a senate report regarding the trial of the four-day workweek?
-A senate report has called for government agencies to trial the four-day workweek concept.

Outlines

00:00

📈 The Shift to a Four-Day Workweek

The script discusses the growing trend of organizations adopting a four-day workweek as a response to labor shortages and the pandemic's impact on traditional work patterns. Oxfam Australia is highlighted as a pioneer in implementing this change through its workplace agreement. The concept is not about reducing hours but reorganizing work to maintain productivity in fewer days. Trials worldwide have shown increased productivity with this model, and unions are now advocating for larger workforces to adopt it. A large-scale trial in the UK reported positive outcomes such as reduced sick leave and higher productivity. Businesses like Unilever have also found success with the model, suggesting a potential shift towards this as a new workplace norm across various sectors.

Mindmap

Keywords

💡Nine to Five

The term 'Nine to Five' traditionally refers to the standard full-time work schedule from 9 a.m. to 5 p.m. In the context of the video, it represents the conventional workweek that organizations are beginning to question and change, as they explore alternative work models like the four-day workweek.

💡Pandemic

A pandemic is an outbreak of a disease that occurs over a wide geographic area and affects an exceptionally high proportion of the population. The video mentions the pandemic as a catalyst for reevaluating work structures, leading to the adoption of new models like the four-day workweek to address labor shortages and changing work-life balance expectations.

💡Labor Shortages

Labor shortages describe a situation where there is a lack of available workers to fill jobs within an economy. The script highlights labor shortages as a driving force behind organizations' interest in the four-day workweek, as a means to attract and retain talent in a competitive labor market.

💡Oxfam Australia

Oxfam Australia is a part of the international Oxfam confederation, focused on alleviating poverty and injustice. The video notes that Oxfam Australia is believed to be the first local organization to trial a four-day workweek, embedding this concept into its workplace agreement, which is a significant step in the adoption of alternative work models.

💡Productivity

Productivity refers to the efficiency of production, i.e., the output of goods and services in relation to the inputs used. The video emphasizes that trials of the four-day workweek have shown increases in productivity, suggesting that employees can maintain or even improve output with fewer working days.

💡Enterprise Bargaining

Enterprise bargaining is the process of negotiating employment conditions between employers and a group of employees. The script mentions that a union leader is already negotiating agreements involving a trial of the four-day workweek, indicating a shift towards larger workforces adopting this model through collective bargaining.

💡Work Patterns

Work patterns refer to the regular and repeated ways in which work is organized and performed. The video discusses changing work patterns as a means to maintain the same output in fewer days, emphasizing the importance of reevaluating how work is structured to maximize value and employee well-being.

💡Unions

Unions are organizations that represent the collective interests of workers and negotiate with employers on their behalf. In the script, unions are portrayed as agents of change, helping to implement the four-day workweek for larger workforces, which suggests a broadening of the concept beyond smaller or founder-led businesses.

💡Unilever

Unilever is a multinational consumer goods company. The video cites Unilever's successful 18-month experiment with a four-day workweek in New Zealand and its ongoing trial in Australia with 500 staff, illustrating how large corporations are embracing alternative work models.

💡Sick Days

Sick days are days taken off work due to illness. The script reports that a large trial in the UK found a significant drop in sick days as a result of implementing the four-day workweek, suggesting that this model can have positive implications for employee health and well-being.

💡Workplace Improvement

Workplace improvement refers to efforts to make a work environment more efficient, productive, and pleasant. The video concludes by positioning the four-day workweek as a form of workplace improvement applicable to all sectors and workers, not limited to office-based or small businesses, indicating a potential shift towards a new norm in working practices.

Highlights

The concept of a traditional 9 to 5, Monday to Friday workweek is being challenged due to the premium on human capital.

The pandemic and labor shortages are driving organizations to explore alternative work arrangements.

Oxfam Australia is pioneering a four-day workweek trial as part of its workplace agreement.

There's an ongoing discussion about optimal work organization for both employers and employees.

The four-day workweek at Oxfam involves maintaining the same output in fewer days without reducing pay.

Productivity expectations and quality measurement will be collaboratively set by colleagues.

The four-day workweek is distinguished from compressing work hours into fewer days, as proposed by Bunnings.

Global trials have shown consistent productivity increases with the four-day workweek model.

Union leaders are negotiating enterprise bargaining agreements that include four-day workweek trials.

The four-day workweek concept is gaining momentum in Australia and is expected to expand to larger workforces.

A large UK trial reported significant drops in sick days and employee turnover, along with increased productivity.

Unilever's successful 18-month experiment in New Zealand has led to a continuation of the four-day workweek in Australia.

The four-day workweek, once considered radical, is now seen as a potential norm in the workplace.

A senate report has encouraged government agencies to trial the four-day workweek concept.

The four-day workweek is positioned as a workplace improvement applicable to all sectors and workers.

The new work model is expected to become increasingly normalized across various sectors.