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As the global workforce evolves, the four-day workweek is emerging as a transformative model for boosting productivity, enhancing employee well-being, and reshaping workplace culture. In New Zealand and Australia, a growing number of companies across diverse sectors are adopting or trialing the approach, showing encouraging results that local leaders can learn from.

What Is a Four-Day Workweek?

Not all 4 day weeks are created equal.

The most common model, known as 100:80:100, offers employees 100% pay for 80% of the time, with a commitment to maintaining 100% productivity. It's not about compressing 40 hours into four days; it's about rethinking work processes to do more with less time, while protecting output and supporting well-being.

However, some organisations instead adopt a compressed workweek model - where employees work the full 40 hours over four longer days, rather than five. While this does not achieve the same outcomes or intention as the 100:80:100 model, it can still offer a form of flexibility and extended recovery time by reducing the number of commuting or office days. For some industries or roles, this may be a more practical first step toward rethinking work schedules.

Global and Local Evidence of Impact

A landmark global study led by economist and sociologist Juliet B. Schor, in partnership with 4 Day Week Global, studied 245 companies and 8,700 employees since 2022 across industries and geographies. The results are remarkably consistent: companies maintain or improve productivity, employee stress levels decline, well-being improves across 20 different measures, and organisational loyalty strengthens. After one year, 90% of companies remained committed to the model.

Schor’s research highlights several surprising findings:

• Work intensity did not increase, indicating that productivity gains were due to more efficient workflows, not increased pressure.

• Social connectedness among teams remained strong, with no decline in workplace relationships.

• The larger the reduction in hours, the greater the well-being improvements, particularly for those with an 8+ hour reduction.

• Wellbeing gains were consistent across gender, race, and age, suggesting equitable impact.

• Second-job holding decreased slightly, countering fears that people would need to supplement lost income.

In Australia and New Zealand, companies are reporting similarly positive results:

• Perpetual Guardian (NZ): A pioneer of the model ran a successful trial in 2018 and made the four-day week permanent after observing improved productivity and employee engagement.

• Juliette Hogan (NZ): A women's retail clothing brand is currently trialling a 9-day fortnight model with 4 Day Workweek.com.

• Unilever NZ and AU: After an 18-month trial in NZ showing a 34% drop in absenteeism and 33% lower stress, Unilever expanded the model to 500 Australian staff.

• Automio (NZ) and CloudCannon (NZ): These tech companies have adopted permanent four-day weeks with full pay, emphasising flexible, high-trust environments.

• Raisely (AU): This fundraising platform saw a 10% productivity lift after switching to a four-day workweek.

• Medibank (AU): Following strong internal results, the insurer scaled the model to 500 staff.

• Bunnings (AU): Offered 40,000 staff the option to work longer days across fewer days to improve balance.

• BugHerd (AU) and Lookahead (AU): Software and recruitment companies that embraced the model to attract and retain talent.

See this article from the American Psychological Association for more information.

Further reinforcing these findings, 4 Day Week Global's long-term pilot report revealed:

• 69% reduction in employee burnout

• 57% reported an increase in work ability

• 32% decrease in attrition rate

• 15% increase in revenue over the trial

• 95% of employees expressed a desire to continue with the four-day workweek

These statistics underscore the model's potential to enhance employee well-being and organisational performance over the long term.

Key Benefits

• Improved Productivity: Teams often maintain or exceed previous performance levels, with many self-reporting productivity increases. For some, the four-day week acted as a forcing function to eliminate inefficiencies such as unnecessary meetings or poor documentation practices.
• Enhanced Wellbeing: Research shows a 69% reduction in burnout, 57% increase in work ability, and consistent improvements across 20 wellbeing metrics.
• Talent Attraction and Retention: Flexible work has led to improved recruitment and dramatically lower turnover—for example, one marketing team went from 30–40% annual turnover to zero after the shift.
• Environmental Impact: Fewer commutes reduce carbon emissions and support sustainability goals.
• Stronger Engagement: Contrary to concerns, social cohesion and sense of relatedness at work remain strong.

4 Day Week Global's research indicates that 63% of companies found it easier to attract talent, and there was a 42% decrease in employee resignations, highlighting the model's effectiveness in improving employee satisfaction and retention.

Challenges and How to Overcome Them

• Workload Compression: Risk of burning out staff trying to do five days of work in four.

  • Solution: Rethink priorities and eliminate low-value tasks. Use automation where possible. Build focus time into work days and reduce unnecessary meetings.

• Customers' Expectations: Customers, clients or stakeholders may expect five-day coverage.

  • Solution: Implement staggered schedules or on-call teams to ensure continuity. Ensure both business communications and individual email footers make work schedules and availability clear. Most customers are supportive if proactively informed.

  • Something like this:

• • Or: “I work flexible hours and will respond in my normal working hours” 

• Unequal Applicability: Not all industries can adopt it uniformly (e.g., emergency services, retail).

  • Solution: Customise based on roles, with hybrid or flexible adaptations - like job sharing or staggered schedules.

Implementation Guide for Leaders

1. Start with a Pilot: Test the model with one team or department for 3–6 months. Gather baseline data and include bottom-up input to assess readiness.
2. Set Clear Metrics: Define and track productivity, wellbeing, absenteeism, turnover, and customer satisfaction.
3. Redesign Workflows: Identify inefficiencies, reduce time-wasting meetings, improve documentation, and promote deep work practices.
4. Build Weekly Rhythms:
   • Strategic Planning Sessions: Regularly align on goals, resourcing, and emerging opportunities.
   • Weekly Team Stand-Ups: Promote transparency and support prioritisation.
   • One-on-Ones: Strengthen accountability, coaching, and team support.
5. Empower Autonomy and Clarity:
   • Use tools like Trello, Notion, or Asana to centralise project tracking.
   • Align KPIs and team norms around output, not presence.
6. Make Adjustments Thoughtfully:
   • Introduce access protocols for emergencies.
   • Differentiate between full disconnect days and “lightly available” days.
   • Revisit public holiday weeks or staffing overlaps.
7. Check In Often: Use fortnightly retrospectives and surveys to refine the approach.
8. Communicate Transparently: Internally and externally. Let clients know the ‘why’ and share data to build confidence.

The Bottom Line

The four-day workweek isn’t just a perk; it’s a strategic business decision that can enhance resilience, innovation, and long-term success. 

While it’s not a one-size-fits-all solution, with the right planning and cultural foundations, it can help Australasian businesses stay competitive and human-centred in a rapidly changing world of work.