Paul Cohen
In today’s labor landscape, some companies are experimenting with various options to increase workplace flexibility, adapting to the organization's and its employees' evolving needs. Compressed schedules allow employees to complete their weekly hours in fewer days by working longer hours each day. For instance, the 4/10 model—where employees work 10 hours a day for four days and rest for three—is standard in industries like healthcare or manufacturing, where operations must run for extended periods. However, this setup can pose challenges, such as fatigue from long workdays, which may negatively impact productivity and employee well-being.
On the other hand, flexible schedules give employees control over their workday, if they observe certain required core hours. These are common in remote or hybrid environments. In a Results-Only Work Environment (ROWE), the focus is solely on outcomes, giving employees more freedom in how and when they work. This model is better suited to creative roles, software development jobs, and work where goals and deadlines matter more than continuous supervision.
Other options include job sharing, where two individuals split the responsibilities of a single role (typically seen in healthcare, education, and hospitality), or reducing the workweek—ranging from 32 to 36 hours instead of the traditional 40—without reducing employee compensation.
However, not all work arrangements fit every type of job, employer, or industry equally. Each format comes with its own set of challenges and requires a tailored analysis to evaluate its relevance and implementation. Among these alternatives, the reduced workweek (32–36 hours vs. 40) has gained attention, with success stories both locally and internationally highlighting its potential benefits. In this article, we explore the advantages and challenges of adopting this type of work arrangement—not as a recommendation, but as an invitation to reflect for companies seeking innovative workplace solutions that enhance employee experience, retention, and productivity.
To support this analysis, we present a hypothetical case study: Patricia, a technology professional who has been promoted to president to lead her organization.
Productivity in the Digital Era
On her first day as president, Patricia reflects on how to balance two key perspectives. From an organizational standpoint, technological advancements aim to free up employee time for higher value-added activities such as innovation and improving the customer experience. From the employee’s point of view, technology can be a tool to become more efficient and gain more personal time. The challenge lies in finding the right balance between increasing efficiency and providing more free time, ultimately boosting productivity and overall organizational performance.
This scenario calls for a deep analysis of the potential to adjust the workday—exploring the challenges, benefits, and risks of a shorter workweek to enhance both employee well-being and organizational productivity.
Improving Employee Experience is Good Business
A four-day workweek could offer a range of meaningful benefits for Patricia and her team, but it’s not typically the main driver behind business decisions. If Patricia wants to promote the initiative, she must start by positioning the incentive for her organization: improving employee well-being leads to better business outcomes.
In conversation with one of our consultants, Patricia asks about the impact of the employee experience on organizational performance. The consultant explains that the employee experience (EX) encompasses all aspects of an employee's journey with a company—from recruitment and onboarding to their eventual departure. It includes not just daily responsibilities but also interactions with colleagues, managers, and the organization as a whole.
The consultant further explains that a positive employee experience profoundly affects several aspects of organizational performance. Studies have shown that companies prioritizing EX outperform competitors in key areas like profitability, productivity, and customer satisfaction. Organizations with highly engaged employees enjoy 26% more revenue per employee and 13% higher total returns to shareholders. Organizations with high EX scores show more frequent and successful innovations. For instance, those same companies reported a 12% increase in customer satisfaction ratings due to enhanced service quality and innovation-driven solutions. A positive employee experience also influences attitudes within the organization, ultimately impacting motivation, job satisfaction, employee engagement, and turnover intent.
This is where Patricia sees her best opportunity. If the data is true, there must be evidence in recent real-world experiences—and in fact, she finds promising results.
Recent Experiences
In recent years, various companies and countries have adopted the four-day workweek, either through pilot programs or as a permanent shift:
Commitment and Strategy
Although Patricia is convinced of the advantages of a four-day workweek, she is also aware that implementing it involves significant challenges and a strong commitment. Any action must align with the company’s broader strategy and directly support its organizational vision. However, she also acknowledges that risks—such as potential work overload on fewer days, difficulty maintaining service quality, or employee resistance to change—must be carefully managed.
The first step is to conduct an in-depth analysis of its impact on her team and business operations, using a comprehensive reference framework to properly prioritize necessary actions, mitigate potential issues, and maximize the benefits of a reduced workweek.
A Comprehensive Framework for Evaluating and Implementing the Reduced Workweek
Patricia and our consultant continued their discussion about what workforce management implications need to be considered when implementing the initiative. The consultant presents the V2A Human Capital Management Model (Fig. 1), which allows for a detailed evaluation of the initiative’s impact on day-to-day people management while maintaining a customer focus.
- Capacity and Organization: A shorter workweek may affect customer service due to reduced available hours, potentially compromising responsiveness and quality. To mitigate this, companies could hire more staff, reorganize shifts, or adjust customer expectations—though these solutions come with additional costs.
- Compensation and Benefits: The initiative itself acts as a benefit, returning 20% of employees’ time (absorbed by the organization). Further considerations include employee classification, eligibility policies, and implementation fairness.
- Talent Development: Beyond hiring or outsourcing, implementation may require upskilling in areas such as planning and delegation to maintain effectiveness in fewer hours.
- Infrastructure: Investments in technology are essential to monitor performance, facilitate collaboration, and enhance customer experience. Internal policies and manuals must also be updated to ensure adoption across all levels.
- Culture and Climate: Fostering a culture that balances customer focus with employee well-being is key. Identifying cultural shifts needed to support a successful reduced workweek is essential. Our organizational culture mapping tool greatly supports this effort.
Furthermore, using tools like the V2A Organizational Climate Survey (ECO) offers valuable insights to help monitor and enhance the employee experience. Comprehending employee perceptions and needs enables organizations to assess the impact of implementing initiatives such as the reduced workweek or others designed to improve employee satisfaction experience.
Conclusions
Armed with information from the consultant, Patricia concludes that employee experience is a critical factor for business success. By prioritizing employee experience and creating a positive, supportive work environment, she can boost engagement, productivity, customer satisfaction, and profitability. Investing in employee experience is an investment in the organization’s future, leading to a more engaged, motivated, and productive workforce committed to achieving organizational goals.
However, Patricia understands that this model is not suitable for every company. While improving the employee experience has shown positive impacts on performance, implementing a reduced workweek poses considerable challenges—such as potential service disruptions, workload accumulation, and resistance to change.
Success is not guaranteed, as industry characteristics, organizational structure, and culture are crucial in determining its viability.
For employers like Patricia considering this option, we recommend developing a robust human capital strategy using a conceptual framework that clearly defines objectives and rigorously analyzes costs, benefits, and risks. This ensures well-founded decisions and an implementation that focuses on the most critical elements.
It is also important to consider the phenomenon of hedonic adaptation (or the hedonic treadmill): while a 32-hour workweek may temporarily boost well-being, over time, that sense of happiness may return to baseline, leading to new demands for even shorter hours.
In summary, the four-day workweek can be effective in specific contexts, but it requires strong commitment, careful planning, and a strategic approach that considers both immediate benefits and long-term sustainability.
At V2A Consulting, we help you design effective strategies for organizational structure, human capital management, and workforce transformation—tailored to your company’s unique needs.
Write to us at paulcohen@v2aconsulting.com or reach out to explore how we can implement innovative work models that boost both productivity and employee well-being in your organization.
