In 1926, Henry Ford gave his workers a five-day week, which was unheard of. Then, in 1932, the U.S. made it standard for all workers.
Is it time for a change after 92 years? Some people think, yes, we are ready.
The United Kingdom is testing whether four days is better than the current five days.
Here is the simple test. A total of 3,300 UK workers across various industries are working four-day weeks:
In exchange for maintaining 100 percent productivity,
Employers are required to continue paying the same amount as the 5-day week.
In addition, the test seems simple, but many companies, think tanks, and universities are also reviewing the data and overseeing the experiment.
The U.K.'s four-day workweek is not an isolated project. The movement has spread to Spain, and the Scottish governments will conduct their tests this year.
Should the four-day workweek become the next evolution of working time almost 100 years after Ford's experiment?
Some Frequently Asked Questions:
How do you feel about the four-day workweek when some people must continue to work five days a week?
How long it takes to achieve productivity, and whether compressing the workweek will save anyone any time,
How much work depends on collaborative work, which requires coordinating individual schedules one less day a week.
Will the pressure to achieve equivalent productivity increase stress?
Some pros and cons?
It may hinder the organization's ability to accomplish its goals.
One positive aspect is the potential for individuals to have four focused work days and three days to spend as they wish. This would essentially provide a 50 percent increase in time off.
With more free time, people may have the opportunity to travel, reduce transportation expenses, and enjoy more quality time with loved ones. That all sounds great. As an economist, I have used the expression, "When you change one side of an equation, the other side must also change."
What will the impact on inflation be as people spend more money?
I doubt that it will increase savings and help fund people's retirements.
It may lead to more debt, which is already at historic levels.
The main concern is ensuring that this workplace change is appropriately implemented to reap its benefits fully and not negatively impact individuals, the organization's sustainability, or our already weakened economy.
Many changes normally proceed slowly, but Covid has changed the world way too fast.
The structure may not be agreeable to many employers. Everyone is watching these kinds of experiments. Further, it depends on the future of the economy and the workforce and whether it becomes a new expectation for the vast majority of workers, as it has become for most knowledge workers to be able to work remotely at least part-time.
One thing I can say for sure is employee education is needed. Link to HR Guide here.
The economizer H.R.'s next few issues will further examine the 4-day work week.
Steps to take today:
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Read the HR guide here.