New report reveals strong support for shorter work weeks as long as core benefits intact
More than half of employees in Australia are open to the idea of a four-day work week, but not if it comes at the expense of other benefits, according to a new report.
HiBob's survey among 2,000 Australian employees revealed that 65% of Australians would like a four-day work week compared to the traditional five days.
However, their openness to the working arrangement drops if it comes at the cost of other benefits offered at work.
According to the report, less than half of employees would accept a four-day work week if it meant:
A pro rata reduction in salary (15%)
A pro rata reduction in holiday allowance (22%)
Giving up flexible work arrangements, such as hybrid work (33%)
Sabrina Scherm, HiBob's client advocacy manager, said their findings show that organisations planning to implement a four-day work week should do so without forcing employees to compromise.
"Otherwise, those businesses may experience a further decrease in productivity or an increase in employee churn," Scherm said in a statement.
The findings come in the wake of growing support for four-day work week arrangements in Australia.
Last year, data from Robert Half revealed that 65% of employees want a four-day work week with retention of salary. There are also a growing number of organisations that have implemented four-day work weeks in their workplaces, such as:
Our Community – Implemented a six-month trial in 2022 that led to permanent adoption a month before the six-month trial ended, according to its website.
Your Creative – Introduced a four-day work week for six months in 2022 and made it permanent after the trial ended, according to its website.
Raisely – Introduced a four-day work week in 2022 and also made it permanent.
Medibank – Introduced a four-day work week plan in 2023 before expanding it to more employees in 2024.
Despite a growing number of organisations trialling the scheme, Australian Chamber of Commerce and Industry chief executive Andrew McKellar said earlier this year that a four-day work week is "completely unrealistic."
"What are the standard working hours, what delivers the best outcomes for those individual enterprises, that should be with the enterprise, and we do not seek to tell individual businesses what they should do to run their own business," McKellar said.
McKellar's remarks come in the wake of the Australian Greens' election policy announcement earlier this year to introduce a four-day work week through nationwide trials across a range of industries.
Senator Barbara Pocock said a four-day work policy is "good for everyone."
"It can increase productivity, reduce absenteeism, improve recruitment and retention, and give employees more time to manage their home life. This change will allow workers to create a working week that works for them," Pocock previously said.
According to Robert Half, some of the risks in implementing a four-day work week include:
Coverage gaps, where the team's availability can be impacted especially when customers expect a five-day service
A dip in productivity instead of a gain
Compliance with overtime laws, as some jurisdictions may require overtime rates for workers who exceed eight hours in a single day
Potential pay inequity in the workforce
However, Robert Half also noted that implementing a four-day work week can come with various benefits, such as:
Attracting top talent and boosting retention
Fuelling productivity
Boosting wellness and fending off burnout
Trimming costs
Medibank, which has trialled a four-day work week, also underscored that the initiative delivered "significant and sustained improvements" in employee engagement, job satisfaction, as well as the health and wellbeing of participants.
"For four-day work weeks to become mainstream, employers are going to have to take a leap of faith," said HiBob's Scherm.
"It's understandable that many business leaders are sceptical, but the results from trials show that it works, and it doesn't come at the cost of profitability."
