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20 Aug 2025

SCGC Explainer: 4-Day Workweek and the Future of Work

Career Story
SCGC Explainer:
    • A staggering 70% of professionals now prioritize mental health over career success, the 4-day workweek has emerged as a powerful strategy for companies.
    • Its adoption is supported by growing international, data-backed evidence demonstrating advantages.
    • However, transitioning to this work mode presents hurdles that demand meticulous planning.
    • Ultimately, a successful implementation requires a fundamental shift in focus from hours worked to results delivered, embodying a smarter approach to modern work.

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What if Sunday scaries are not just a personal feeling, but a symptom of a fundamentally broken system? A recent PageGroup survey found a staggering 70% of professionals would choose their mental health over career success. This begs the question: Why is the modern workplace forcing us to make that choice at all?

In the wake of the pandemic's great experiment with flexible working, one radical solution has dominated the conversation: the four-day work week. But as this idea gains momentum from Bangkok to Boston, we have to look closer. As millions rethink their careers, it's worth asking if the four-day work week is the definitive answer, or if true flexi-time holds the more honest key to the work-life balance we’re all chasing. Let’s delve deeper with us SCGC on this workplace trend.

The 5-day Workweek: How We Got Here?

As the traditional five-day week gets ready to blow out 100 candles on its birthday cake in 2026, one has to ask: is it time for this centenarian to finally retire?

What started on Henry Ford's factory floors has certainly had a good run. For almost 90 years, the 40-hour, five-day work week has been an unquestioned fact of life, codified by America's 1938 Fair Labor Standards Act. Now, in 2025, that industrial-age legacy is facing a reckoning as companies and workers ask if the old model is still fit for purpose.

After the pandemic completely rewrote the rules of work, the old 9-to-5 grind is looking less like a standard and more like a relic. The massive shift towards remote work and flexible working has put employee wellbeing front and center, making today's talent much more interested in work-life balance than in simply punching a clock. In its place, the four-day workweek has emerged as a powerful contender.

With looming labour shortages making top talent harder to find, companies are realizing a 4-day work week isn't just a playful perk. Whether it’s a true four-day workweek, a compressed work week, or just more creative flexi-time, it’s fast becoming the ultimate strategy to attract the best and brightest in a world that refuses to work like it’s 1926.

What Is A 4-day Workweek? And How It Works?

While the concept of a four-day work week has gained significant traction in global business conversations, from Bangkok to Boston, its implementation is not uniform. The term primarily refers to two distinct models. The first is the compressed work week, where employees work a standard 40-hour week over four longer days. The second, more transformative model is the true four-day workweek, often defined by the ‘100-80-100’ principle championed by organizations like 4 Day Week Global: Employees receive 100% of their pay for working 80% of the time.

The widespread adoption of flexible working and flexi-time during the post-pandemic era has accelerated interest in both approaches, making the distinction between them crucial for accurately assessing impacts on productivity and employee wellbeing.

4-day Workweek: Trial Results

A growing body of international research provides compelling, data-backed evidence that a four-day work week significantly improves employee wellbeing. A landmark 2022 UK trial, the largest of its kind, saw 92% of the 61 participating companies continue with the shorter week after reporting a 71% reduction in employee burnout and a 39% drop in stress.

These findings are echoed by a more recent global study led by Boston College researchers, which tracked nearly 3,000 workers and found that after six months on a four-day workweek, employees reported 67% less burnout and a 41% improvement in their mental health. Crucially, these successful trials focus on a model of reduced hours for the same pay, not a compressed work week, directly linking the schedule change to tangible health benefits.

This groundswell of support for a 4-day work week is not merely a corporate experiment; it is a direct response to a workforce at its breaking point. Data from LinkedIn indicates that burnout has reached record levels, with younger generations feeling the most pressure. This has fueled a powerful demand for change, with a 2022 survey finding that 54% of employees rank a four-day work week among their most desired benefits. The post-pandemic shift in workplace expectations, which elevated the importance of flexible working, has solidified a new priority where work-life balance can outweigh salary. For many companies, adopting a four-day workweek is therefore becoming less of a perk and more of a strategic necessity to attract and retain talent in a profoundly changed world.

4-day Workweek: Case Studies

How does the shift to a four-day workweek actually unfold within a business? To provide concrete answers, we have compiled the following case studies, offering an inside look at the companies that have embraced this transformative model.

    • One of the most influential early case studies for the four-day work week came from Microsoft Japan in 2019. During its month-long ‘Work-Life Choice Challenge,’ employees worked four days without a pay cut, leading to a stunning 40% surge in productivity. The company also reported significant operational savings on electricity and printing. These remarkable gains were attributed not to working harder, but smarter—with the company citing shorter, more efficient meetings and better time management as the keys to success.
    • When Kickstarter permanently embraced a four-day workweek in 2022, it was a calculated move to address the growing corporate challenges of burnout and disengagement. The gamble has paid off. The company reports that the shift has significantly improved employee morale and engagement, all while business performance remains strong. Kickstarter’s experience provides a compelling real-world example of how decoupling hours from output can lead to a more satisfied and effective workforce.
    • Recognizing that a one-size-fits-all schedule doesn't suit a diverse workforce, Panasonic introduced an innovative, optional four-day workweek in 2022. This flexible approach puts the power of choice directly into employees' hands, allowing them to opt into a shorter week if it aligns with their personal needs and work style. For other large organizations, Panasonic's model offers a pragmatic path forward: a way to embrace modern work trends and enhance flexibility without the operational complexities of a full, mandatory overhaul.
    • Copenhagen-based comundo offers a compelling case study in building a company on a four-day workweek from the ground up. By launching with this progressive model, the carbon accounting firm deliberately challenged the traditional 9-to-5 culture, embedding flexibility into its DNA. The strategic payoff is evident, with 83% of its workforce reporting an enhanced work-life balance—a result that underscores the powerful impact of their foundational decision on employee satisfaction.

4-day Workweek Pros and Cons

As the four-day workweek moves from a bold experiment to a viable business strategy, the conversation is becoming more nuanced. While the benefits to work-life balance and employee retention are well-documented, it's clear this is not a universal solution. A successful implementation depends on industry, culture, and strategy. To provide a balanced perspective, we break down the compelling benefits and the significant drawbacks of making the switch.

Proponents of the four-day workweek point to a growing body of evidence suggesting significant business advantages, from increased productivity to enhanced talent management. Landmark trials, such as Microsoft Japan's 2019 experiment which saw a 40% productivity boost, have shown that reducing hours does not necessarily decrease output. In today's competitive labour market, where flexible working is highly sought after, offering a 4-day work week has also become a powerful tool for attracting and retaining top talent, ultimately reducing costly employee turnover.

Beyond the balance sheet, the move to a four-day work week is credited with substantial benefits for employee wellbeing and broader societal goals. Studies consistently show that an extra day off reduces stress and burnout, leading to improved mental and physical health. The societal impact extends further, with a UK study estimating that fewer commuting days could significantly reduce a nation's carbon footprint. Moreover, advocates argue it's a step toward gender equality, as a shorter week can help redistribute domestic labour more evenly, potentially mitigating career penalties often faced by working mothers.

However, we have come across some challenges for companies to implement a 4-day workweek shift. A primary challenge of the four-day workweek lies in its operational feasibility, as the model is not universally applicable across all industries. Businesses in sectors like healthcare, retail, and customer service often require continuous availability, making it difficult to maintain service levels without complex, staggered schedules that can create their own collaboration and communication hurdles. For many companies from Bangkok to Boston, ensuring seamless client support and internal coordination with a reduced schedule remains a significant logistical puzzle.

Ironically, a poorly implemented 4-day work week can undermine the very goal of improving employee wellbeing. If the model simply becomes a compressed work week with longer, more intense days, it can lead to increased fatigue and burnout. Furthermore, a major risk is creating internal inequity; if office-based teams get a day off while customer-facing or operational staff cannot, it can foster significant division and resentment within the workforce.

Beyond the logistical issues, transitioning to a four-day work week introduces significant financial and legal considerations. If productivity cannot be maintained in fewer hours, companies may face increased labour costs from overtime or the need to hire more staff. There are also often substantial upfront investments required for technology and automation to support efficiency. Additionally, businesses must navigate the legal and compliance hurdles of rewriting contracts and ensuring that new scheduling policies adhere to existing labour laws.

Perhaps the most subtle yet significant challenge is what psychologists call the hedonic treadmill—the risk that the initial boost in happiness from a four-day workweek might be temporary. This theory suggests that while a positive change creates an initial surge in well-being, humans have a remarkable ability to adapt. Over time, the new four-day schedule becomes the "new normal," and happiness levels can gradually revert to their original baseline. It's the same psychological pattern seen when lottery winners report no long-term increase in happiness or why many retirees, initially thrilled with their freedom, eventually seek the structure and purpose of work again. Therefore, while the short-term benefits are undeniable, the long-term challenge is ensuring the new model fosters sustainable engagement and purpose, not just a fleeting "honeymoon effect" from an extra day off.  

The four-day week is no longer a fringe idea but a complex, viable strategy with clear benefits and significant implementation hurdles. Its success hinges on careful planning, not just a change in schedule.

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