Is a shorter working week better than a pay rise?

01 Dec 2022

There's been a lot of talk surrounding the pros and cons of a four-day working week in recent months, and according to new findings by The Times, a shorter working week could replace a pay rise to keep employees happy. This comes amid strike action over pay throughout the UK by NHS staff, Royal Mail, university workers and transport services and has been fuelled by 100 firms in Britain moving to a four-day week model without a salary reduction. 

Four-day week trial 

These 100 companies, according to the 4 Day Week group, are in addition to the 70 companies that are currently piloting a four-day week for a six-month period. The initiative will grant over 2,600 staff the chance to reduce their working week on a permanent basis. In addition, according to a poll by the Chartered Institute of Personnel and Development, 34% of businesses believe a four-day week will be a reality for most workers in Britain within a decade. Adam Ross, CEO of global marketing company Awin, taking part in the trial, commented: "Over the course of the last year and a half, we have not only seen a tremendous increase in employee wellness and well-being but concurrently, our customer service and relations, as well as talent relations and retention also have benefited."

Shorter week vs pay rise

Working a day less a week may sound tempting, but is it sufficient for employees who may decide to leave in search of higher wages somewhere else? According to the chief executive at Reality HR, Sally-Ann Hall-Jones, a shorter working week could help with staff retention: "Offering a four-day work week in place of a pay rise may give people an opportunity to balance their working life with their personal life, without either one suffering," she said. "Employees would also be paying less to commute and would see a reduction in expenses such as lunch and coffees during the day – meaning more disposable income to be spent where it is needed most." In contrast, the head of employment at Mayo, Wynne Baxter, said of a four-day week: "There has to be a query as to whether offering a four-day week in lieu of a pay rise can be described as a change that involves no loss in pay. In real terms, there is going to be a downgrading of pay." Yet, the director of the 4 Day Week campaign, Joe Ryle, stated: "We want to see a four-day week with no loss of pay become the normal way of working in this country by the end of the decade. With many businesses struggling to afford 10% inflation pay rises, we're starting to see increasing evidence that a four-day week with no loss of pay is being offered as an alternative solution."