The Case for a 4-Day Work Week | Juliet Schor | TED

Summary

The pandemic has accelerated interest in a four-day workweek with full pay, aiming to reduce stress and burnout. Companies like Healthwise have seen increased productivity and employee satisfaction. The model involves reorganizing work to maximize productivity in fewer days, potentially benefiting society and the environment by reducing commuting and promoting sustainable living.

Takeaways

• 🌐 The pandemic has intensified global anxiety, leading to high stress levels among employees and record job quits.
• 📈 Companies are increasingly offering a four-day, 32-hour workweek with five days of pay as a response to the current crisis.
• 🔄 The concept of a four-day workweek is not new, but the pandemic has accelerated its adoption.
• 🏢 Employers are recognizing the potential benefits of rethinking work schedules beyond just remote work.
• 🤝 A four-day workweek can be advantageous for workers, companies, and society, including potential climate change mitigation.
• 📊 Research indicates that productivity often remains the same or improves with a shorter workweek, while stress and turnover decrease.
• 🌟 Companies like Healthwise have reported increased employee happiness, productivity, and revenue growth after implementing a four-day week.
• 🏥 The four-day workweek can also contribute to better self-care and managing systemic stressors like racism and sexism.
• 🛠️ Work reorganization is key, with companies cutting less productive activities and optimizing work processes to maintain productivity.
• 🌍 Government initiatives in countries like Iceland, Spain, and Scotland are exploring or implementing four-day workweek trials.
• 🌱 The four-day workweek can be a step towards a more sustainable and equitable way of living, addressing broader societal and environmental challenges.

Q & A

What is the current trend in employee stress and job quits due to the pandemic?

The pandemic has led to surging anxiety worldwide, with more than half of US employees reporting feeling stressed a lot of the day, and job quits are at record levels, running at four million a month.

What is the concept of a four-day, 32-hour workweek with five days of pay?

The concept involves employees working four days a week but receiving pay for five, aiming to reduce stress and increase productivity without cutting salaries.

How has the pandemic influenced the adoption of the four-day workweek?

The pandemic has accelerated the adoption of the four-day workweek as employers reevaluate work practices and seek to improve employee well-being and retention.

What benefits have been observed from implementing a four-day workweek?

Benefits include reduced stress, increased job satisfaction, better work-life balance, lower turnover, and higher productivity within the workdays.

Are there any specific industries where the four-day workweek is not feasible?

While the four-day workweek is being adopted across various industries, it may not be suitable for sectors like manufacturing, teaching, and certain healthcare roles where the nature of work requires a different approach.

What role does work reorganization play in the success of the four-day workweek?

Work reorganization is crucial, involving cutting out least productive activities, reducing meeting times, and shifting personal tasks to the off-day to ensure productivity is maintained.

How have government initiatives in Iceland influenced the adoption of the four-day workweek?

In Iceland, government initiatives offering 36 and 35-hour weeks have shown remarkable results, including reduced stress and improved work-life balance without compromising productivity.

What is the potential impact of the four-day workweek on climate change?

The four-day workweek can contribute to climate change mitigation by reducing commuting, promoting more sustainable daily life activities, and potentially leading to a longer-term dynamic of decarbonization through reduced work hours.

How does the four-day workweek address broader societal challenges beyond work-life balance?

The four-day workweek can help tackle issues like pandemic-induced burnout, racial and income inequalities, and climate change by promoting healthier, more sustainable, and equitable work practices.

What is the significance of the question about taking Fridays off in the context of the four-day workweek?

The question highlights the flexibility of the four-day workweek model, where companies can decide which day to have off based on their operational needs and employee preferences.

How does the speaker suggest we move from scarcity thinking to appreciating our true wealth?

The speaker suggests transitioning to a mindset that values ingenuity, compassion, and humanity over maximizing production and consumption, which can be facilitated by adopting practices like the four-day workweek.

Outlines

00:00

🌟 The Emergence of the Four-Day Workweek

The speaker, an expert on work since the 1980s, discusses the unprecedented rise in pandemic-induced anxiety and stress among employees worldwide. With job quits at an all-time high, many companies are now considering a four-day, 32-hour workweek with the same pay as a five-day week. This concept, while not new, has gained momentum due to the pandemic, as employers reevaluate the necessity of the traditional five-day workweek. The speaker argues that this change can benefit not only employees by reducing stress and improving work-life balance but also companies by lowering turnover and healthcare costs. The four-day week is also presented as a potential solution to climate change, as it could lead to less commuting and a reduced carbon footprint.

05:02

📈 Productivity and Well-being in the Four-Day Workweek

The speaker details the positive outcomes of companies and governments experimenting with shorter work hours without pay cuts. These experiments have shown that employees are less stressed, more engaged with their jobs, and have improved personal lives. Productivity often remains the same or even increases, as seen in trials in the United States, Ireland, and other countries. Companies like Healthwise have reported happier employees, increased productivity, and reduced resignations and sick days after implementing a four-day week. The speaker also discusses how work reorganization, such as reducing non-productive activities and meetings, is key to maintaining productivity during shorter workweeks. Government initiatives in Iceland have shown similar improvements in well-being and productivity with reduced work hours.

10:04

🌍 The Broader Implications of the Four-Day Workweek

The speaker explores the broader implications of the four-day workweek, including its potential to address the challenges of the pandemic, burnout, inequality, and climate change. The speaker suggests that as technology and AI advance, there is an opportunity to reduce work time and improve quality of life. The four-day week is presented as a step towards a new way of living and working, which could be facilitated with government support. The speaker also touches on the need for a universal basic income to ensure that lower earners can afford the additional day off. The conversation concludes with a discussion about the practical implementation of the four-day week, highlighting that the approach varies by company and is tailored to their specific needs and operations.

Keywords

💡Four-day week

The four-day week refers to the concept of employees working four days instead of the traditional five, without a reduction in pay. It is a core idea in the video, where companies experiment with a 32-hour week to increase employee well-being, reduce burnout, and maintain or even improve productivity. The video cites several examples, such as the company Healthwise, which adopted the four-day week with great success.

💡Burnout

Burnout is a state of physical, emotional, and mental exhaustion caused by prolonged stress and overwork. The video highlights the growing burnout experienced by employees, particularly during the pandemic, and positions the four-day week as a solution to reduce this phenomenon. Companies adopting shorter workweeks have seen reductions in burnout, leading to improved health and productivity.

💡Pandemic-fueled anxiety

This term refers to the increased levels of anxiety and stress that have arisen due to the COVID-19 pandemic. The video mentions how the pandemic has accelerated changes in the workplace, pushing companies to rethink work models, such as adopting the four-day week, to alleviate the anxiety and stress employees face.

💡Productivity

Productivity in the video is defined as the output employees generate during their work hours. A major argument presented is that employees can maintain or even increase their productivity in a four-day week, despite working fewer hours. The video presents evidence from various trials, including those in Iceland and companies like Healthwise, where productivity remained stable or improved with reduced work hours.

💡Work-life balance

Work-life balance refers to the equilibrium between time spent on work and personal life. The video emphasizes how the four-day week improves this balance by giving employees more time for family, hobbies, and self-care. The concept is illustrated through examples of workers who use their extra day for personal activities, reducing stress and increasing job satisfaction.

💡Decarbonization

Decarbonization refers to the reduction of carbon dioxide emissions, particularly in the context of combating climate change. The video discusses how shorter workweeks can contribute to decarbonization by reducing commuting and encouraging less carbon-intensive activities. It argues that reduced working hours can lead to a lower overall carbon footprint for countries.

💡Health care workers

Health care workers are professionals on the front lines of patient care, and they are discussed in the video in the context of needing more rest, not intensified work. The video applauds health care workers for their role during the pandemic and highlights trials in countries like Sweden, where shorter hours for nurses improved well-being and patient care.

💡Universal basic income

Universal basic income (UBI) is a policy concept where all citizens receive a regular, unconditional sum of money from the government. The video connects UBI with the four-day week, arguing that low-income workers would need financial support to benefit from a shorter workweek without losing pay. The mention of UBI underlines the broader social implications of changing work patterns.

💡Scarcity thinking

Scarcity thinking refers to a mindset that focuses on limitations rather than possibilities. The video contrasts scarcity thinking with the potential of new work models like the four-day week to address challenges and create abundance.

Highlights

Pandemic-fueled anxiety is surging around the world.

Job quits are at record levels, running at four million a month.

A growing number of companies are offering a four-day, 32-hour week with five days of pay.

The four-day week can benefit workers, companies, and society, and even address climate change.

Companies and governments have been experimenting with shorter hours without pay cuts for nearly a decade.

People are less stressed, value their jobs more, and have better lives outside of work with shorter hours.

Companies can see benefits through lower turnover and a higher-quality applicant pool.

Healthwise, an education company, implemented a four-day week and saw increased happiness and productivity.

Resignations and sick days are down, revenue has grown, and customer satisfaction scores are outstanding at Healthwise.

The four-day week helps with self-care and managing daily stresses of systemic racism, sexism, and classism.

People are willing to squeeze all their productivity into four days in return for a day off.

Work reorganization, cutting out the least productive activities, is key to the four-day week model.

Government initiatives in Iceland showed remarkable improvements in physical and mental health with shorter work weeks.

Productivity and service quality stayed the same or got better in Iceland's trial, and it was revenue-neutral.

The four-day week can reduce commuting and contribute to decarbonization.

Countries with low annual hours, like Germany and Denmark, tend to have high productivity and low carbon emissions.

The four-day week is a step towards a new way of living and working that appreciates our true wealth: ingenuity, compassion, and humanity.

Government help may be needed to move beyond innovative companies to a more universal four-day week.

The four-day week addresses challenges like the pandemic, burnout, depression, inequalities, and the climate crisis.

Transcripts

I've been studying work since the 1980s,

and I've never seen anything like what's happening today.

Pandemic-fueled anxiety is surging around the world.

In the US, more than half of all employees report feeling stressed

a lot of the day.

Job quits are at record levels, running at four million a month.

People are burning out.

In response,

a growing number of companies are offering a four-day,

32-hour week,

but with five days of pay.

Now, it's not a new idea,

but the pandemic has turbocharged it.

Employers are realizing

that if they can rethink where people work,

they can also rethink how many days they're on the job.

Sounds pretty great, but is it realistic?

Well, actually, yes.

Unlike policies in which one party profits at the expense of another,

the four-day week can benefit workers, companies and society,

and it can even be a gateway for addressing climate change.

But first, let's talk about the workplace.

For nearly a decade,

companies and governments have been experimenting with shorter hours

with no cuts in pay.

While the results do vary,

the research shows that people are less stressed,

value their jobs more

and have better lives outside of work.

In most cases,

they are as productive in four days as they are in five.

Companies can also see benefits through lower turnover

and a higher-quality applicant pool.

Less burnout reduces health care costs, mistakes and poor service.

With colleagues,

I'm studying four-day week trials now in progress in the United States

and Ireland,

with summer start dates for the UK, New Zealand and Australia.

We have thousands of employees participating.

Healthwise, an education company, didn't wait for our trial to begin.

In June, their employees were quitting in droves.

By August, they'd implemented a four-day week.

Six months later,

CEO Adam Husney reports that people are dramatically happier

and have never been more productive.

Resignations and sick days are down,

revenue has grown

and customer satisfaction scores are outstanding.

Healthwise employees are spending their Fridays off

doing family activities like sports or errands.

One mother of young children reported that now she can occasionally manage

a guilt-free pedicure.

The four-day week can help with self-care

and managing the daily stresses of systemic racism,

sexism and classism.

Now a key part of the model

is that in return for the gift of a day off,

people are willing to squeeze all their productivity into four days.

So while they may be spending less time at work,

they're not necessarily doing less work.

The secret sauce is work reorganization,

cutting out the least productive activities.

Meetings are a prime target.

Yes, I see everyone nodding.

Most companies reduce their frequency and length

and the number of attendees.

At Healthwise,

people save time by messaging colleagues rather than making phone calls,

which inevitably includes some social chatting.

They shifted personal tasks, like doctor's appointments,

to the off-day.

And yes, the pace of work at the office does go up.

"Let's be honest," one explained,

"I'm not goofing off or looking at Facebook,

which I was."

But people have adapted

and they prefer getting their downtime as a whole day off

rather than in snippets.

Government initiatives have similar findings.

In 2015, the city of Reykjavik

and then the National Government of Iceland

started offering 36 and 35-hour weeks,

eventually enrolling more than 2,500 employees.

The results have been remarkable.

Physical and mental stress went down

while work ethic, job satisfaction,

work-life balance, energy levels, all improved.

Productivity and service quality stayed the same or got better,

and the trial was revenue-neutral.

Today, roughly 85 percent of all Icelandic employees

are either on or eligible for these schedules.

The governments of Spain and Scotland have announced four-day week trials

in which they'll be subsidizing the fifth day's pay.

Now one reason for these successes

is that with reduced work time,

each hour typically becomes more productive.

Norway and Denmark,

the two European countries with the shortest average hours of work

at about 1,380,

have outsized productivity.

France and Germany are similar.

In contrast,

the long-hours countries like the UK and Italy

have much, much lower productivity.

The US historically led the world in productivity

and would likely do better now if its work time weren't so high.

While tech firms comprise the biggest group

adopting four-day reduced hours schedules,

companies are also making the switch in banking,

PR, marketing and design,

nonprofits, consumer goods, even a restaurant chain.

But it's also true

that doing 100 percent of the work in 80 percent of the time

isn't feasible everywhere.

Manufacturing was sped up decades ago.

Many teachers and flight attendants need to slow down, not intensify.

And of course, health care workers on the front lines of the pandemic

need to work less, not more.

(Applause)

Thank you, health care workers.

Here, another government effort is instructive.

In 2014, the city of Gothenburg in Sweden

gave nurses at one of its facilities a six-hour day.

As expected, the nurses' health and overall well-being improved,

as did productivity and patient care.

But in this trial,

they hired new staff for the hours that weren't being covered.

The striking finding was how much lower sick pay

and unemployment benefits helped offset those additional salaries.

Now the Swedish case raises a bigger, more existential question.

How much time should we be dedicating to work?

In many countries,

jobs are getting more, not less demanding.

And scarcity thinking,

the idea that even rich countries need to tighten their belts,

has taken hold.

But really,

we should be heading in the opposite direction

as digitization and artificial intelligence

offer the chance to reduce work time.

Amid pandemic fatigue,

we should be doubling down on restoring the quality of life and our social fabric,

especially in wealthy countries where we already produce enough

for everyone to have a good standard of living.

And this path has the added benefit of addressing the climate crisis.

"How so," you may ask.

Well, with the four-day week,

there's the obvious impact of less commuting.

But if we use productivity growth to continue to reduce hours of work

just by a couple of percent a year,

we can create a longer-term dynamic of decarbonization.

Research by me and others has shown this time and again

across countries, across states, across households.

One reason is that when people are time-stressed,

they tend to choose faster and more polluting modes of travel

and daily life activities.

In contrast,

when people get time rather than money,

they tend to have a lower carbon footprint.

But the bigger reason has to do with the size of the economy.

By opting to work less,

countries are choosing not to expand production to its max,

thereby avoiding additional emissions.

Carbon success stories like Germany and Denmark

tend to have low annual hours.

France and the Netherlands are also low on both carbon and work time.

The four-day week is a down payment on a new way to live and work.

And yes, we're going to need government help

if we're going to move beyond the innovative companies

that already see its virtues.

But as the three-day weekend spreads,

we can realize everyone deserves a right to free time.

And that brings the logic of a universal basic income squarely into view.

Because without financial support,

low-earners can't afford to take that fifth day off.

There's a lot of talk these days about the future of work

and the opportunities that it offers.

But there's more at stake here than opportunity.

We have an imperative.

An imperative to face the challenges of our current moment.

The pandemic, burnout and depression,

inequalities of race and income,

the climate crisis.

A four-day week addresses each one of these.

For now, we're starting company by company.

But as momentum builds and it becomes universal,

we'll have made the transition from scarcity thinking

to appreciating the true wealth that we possess.

Our ingenuity,

our compassion

and our humanity.

Thank you.

(Applause)

Helen Walters: Juliet, thank you so much.

I have a very practical question for you.

So you mentioned in the talk that people were taking Friday off.

Is the recommendation that people all take the same day off,

or is this something that people can take, kind of, any day they want off?

What's the ideal mechanism to have in place here?

JS: Every company does it the way that works for them.

And that's one of the things in our trial.

We do coaching, and we work with the companies before they start

to figure out are they a company that can shut down for one day?

Do they need to have 24/7, you know, customer service available?

So really, it depends, and we're seeing every type.

HW: Juliet, thank you so much.

(Applause)