[dropcap]Tea[/dropcap]The four-day work week continues to gain momentum, with pilots taking UK, Ireland, US, Canada And Australia, In the six-month period between February and November, employees at participating businesses are working only 80% of their time, but still receiving 100% of their wages and benefits.
These plans, which are being spearheaded by the non-profit coalition 4 Day Week Global, are supposed to “benefit all” by increasing worker productivity, improving work-life balance and happiness levels, and reducing unemployment.
But is it too good to be true? While many firms may find this a better arrangement than the five-day work week, there are a number of reasons why the concept needs more research and debate before we can even seriously talk about introducing it. do it.
1. Productivity Problem
A four-day week is unlikely to increase productivity unless it is already short. Countries such as Ireland and the UK already boast very high labor productivity, measured as GDP per hour Worked.
In fact, Ireland’s productivity is among the highest in the world, which is very high. US$125 (£103) per hour in 2019 (obviously something perverted With the presence of over 1,500 multinational companies). And while there’s been a lot of talk about UK productivity struggle to keep pace As with other major economies, it is still very high overall at US$54 an hour. The equivalent figures for China and India are US$11 and US$8 respectively.
To maintain these productivity levels while working four days a week, employees would need to significantly increase production per hour. This is simply because if everyone works 20% less then overall GDP will fall. in 1988 japan small Work week from 46 to 30 hours. Productivity did not increase enough to compensate, and between 1988 and 1996 economic output was 20% less than it would have otherwise.
Countries such as Ireland or the UK may require stricter work-floor practices, including requiring employees to work, to squeeze enough productivity into a four-day week. more daily hours already. This will increase the chances of excessive stress, industrial accidents etc.
2. The Truth About Happiness
Ignore the theory that we’ll all be happier by working four days hedonic treadmillWhich one? argues that Lasting extra happiness is a mirage. People can feel more happiness over a six-month period. But in the long term, they will arguably return to their previous level of happiness. In 2000, France reduced the work week among large firms from 39 hours to 35 hours. an assessment later concluded That it has failed to improve the happiness of workers.
Pleasant Treadmill Explains Why many retired go back to work or why lottery winner Continue in your job. or why, in the case of FranceMany workers found another job or moved to smaller firms. That’s why, at a minimum, we’ll need to run the four-day work week longer than six months.
Furthermore, there is little evidence of a crisis in work-life balance or job unhappiness in Ireland or the UK. according to a 2018 Eurostat Survey, 38% of Irish people rated their job satisfaction as “high” – the sixth highest in the European Union after Norway, Denmark, Iceland, Austria and Switzerland. UK job satisfaction was 29%, which is still above average. and as of 2021 UK census: “Overall, there has been an increase in the level of personal well-being in the UK.”
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3. Some will suffer
A four-day work week can exacerbate inequalities at work. Ireland and Britain are already suffering”hollowed out” And polarization The labor market, which means the ratio of middle-ranking jobs to lower-ranking jobs, has been falling for decades.
The four-day week will lead to a change of issue. Those who are already working four days a week – on four days’ wages – will find themselves doing the same work for less pay than those whose working days were just reduced.
Too, old worker The need to do more in less time will potentially result in damage. this is What happened When the average working week in the US was reduced during the Great Depression by approximately 48 hours to 41, it should be a concern Ireland And UK with them aging population,
4. Part Time Prejudice
there is one strong connection Between a reduction in working hours and an increase in part-time employment. This is because companies whose full-time employees reduce their hours have to work part-time to ensure that production does not drop, especially in the service sector.
However, there are part-time jobs, related With “low pay and temporary contracts”. Therefore the increase in part-time employment will be due to decrease in net income,
It will also increase job insecurity and can impair productivity. Although there is evidence surrounding productivity quite limited Here, it is unlikely to grow because firms invest less in their part-time workers. This is partly because these employees increase the firm’s management and transaction costs.
5. Unemployment benefits?
One perceived benefit of shortening the work week is reducing unemployment. This is why working weeks were reduced in America in the 1930s—which was justified, given that unemployment was 25% in 1933.
unemployment today UK 3.7%, the lowest in more than 20 years. In Ireland it is 4.7%, while long-term unemployment is a negligible 1.2%. In form of Irish Times Recently said: “Ireland has a lot of job vacancies, but where are the workers?”
When labor markets are so tight, it would be strange to reduce the labor supply by cutting everyone’s working hours (unless, of course, workers managed to be productive for more than five days). Such a shortage will further increase the labor shortage. It would also squeeze public finances – for example health services would require more staff, thus increasing the wage bill.
The four-day week would also place additional demands on holiday services. Imagine you want to spend your extra time traveling for a long weekend, only to end up long queue At Heathrow or Dublin airports. Oh wait, this is already happening.
Alternative
There are other low-risk ways to improve working conditions that may be more effective. it includes flexible retirement Plans and more Official Holiday Days and Bank Holidays. Or if governments provide better support for innovative entrepreneurs, it could encourage productivity growth, job satisfaction and de-carbonization all at once.
Professor of Economics at University College Cork
This article is republished from Conversation Under Creative Commons license. read the original article,
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