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Working a four-day week boosts employee wellbeing while preserving productivity – study

Sixty-one organisations in the UK committed to a 20% reduction in working hours for all staff, with no fall in wages, for a six-month period starting in June 2022. The vast majority of companies also retained full-time productivity targets.

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Sixty-one organisations in the UK committed to a 20% reduction in working hours for all staff, with no fall in wages, for a six-month period starting in June 2022. The vast majority of companies also retained full-time productivity targets.

Now, results from the world’s largest trial of a four-day working week reveal significantly reduced rates of stress and illness in the workforce – with 71% of employees self-reporting lower levels of “burnout”, and 39% saying they were less stressed, compared to the start of the trial.

There was a 65% reduction in sick days, and a 57% fall in the number of staff leaving participating companies, compared to the same period the previous year. Company revenue barely changed during the trial period – even increasing marginally by 1.4% on average. 

In a report of the findings presented to UK lawmakers, some 92% of companies that took part in the UK pilot programme (56 out of 61) say they intend to continue with the four-day working week, with 18 companies confirming the change as permanent.

Research for the UK trials was conducted by a team of social scientists from the University of Cambridge, working with academics from Boston College in the US and the think tank Autonomy. The trial was organised by 4 Day Week Global in conjunction with the UK’s 4 Day Week Campaign.

Companies from across the UK took part, with around 2,900 employees dropping a day of work. Organisations involved in the trial ranged from online retailers and financial service providers to animation studios and a local fish-and-chip shop.

Other industries represented include consultancy, housing, IT, skincare, recruitment, hospitality, marketing, and healthcare.

Researchers surveyed employees throughout the trial to gauge the effects of having an extra day of free time. Self-reported levels of anxiety and fatigue decreased across workforces, while mental and physical health improved.

Many survey respondents said they found it easier to balance work with both family and social commitments: 60% of employees found an increased ability to combine paid work with care responsibilities, and 62% reported it easier to combine work with social life.

“Before the trial, many questioned whether we would see an increase in productivity to offset the reduction in working time – but this is exactly what we found,” said sociologist Prof Brendan Burchell, who led the University of Cambridge side of the research.

“Many employees were very keen to find efficiency gains themselves. Long meetings with too many people were cut short or ditched completely. Workers were much less inclined to kill time, and actively sought out technologies that improved their productivity.”

Dr David Frayne, a Research Associate at the University of Cambridge, said: “We feel really encouraged by the results, which showed the many ways companies were turning the four-day week from a dream into realistic policy, with multiple benefits.”

Joe Ryle, Director of the 4 Day Week Campaign, calls the results a “major breakthrough moment” for the idea of shorter working weeks. “Across a wide variety of different sectors of the economy, these incredible results show that the four-day week actually works.”

In addition to the survey work, designed in collaboration with colleagues including Prof Juliet Schor from Boston College, the Cambridge team conducted a large number of extensive interviews with employees and company CEOs before, during and after the six-month trial.

Other pilots run by 4 Day Week Global in the US and Ireland – with research conducted by many of the same academics – have already reported their findings. However, the UK trial is not only the largest to date but also the first to include in-depth interview research.

“The method of this pilot allowed our researchers to go beyond surveys and look in detail at how the companies were making it work on the ground,” said Frayne, from Cambridge’s Department of Sociology.

In terms of motivations, several senior managers told researchers they saw the four-day week as a rational response to the pandemic – and believed it would give them an edge when it came to attracting talent in the post-Covid job market.

Some saw it as an appealing alternative to unlimited home working, which they felt risked company culture. Others had seen staff suffer through health problems and bereavement during the pandemic, and felt an increased “moral responsibility” towards employees.

“I hated the pandemic, but it’s made us see each other much more in the round, and it’s made us all realise the importance of having a healthy head, and that family matters,” said the CEO of a non-profit organisation that took part in the trial.

However, many said shorter hours were being discussed long before Covid as a response to demanding or emotionally draining work. The CEO of a video game studio pointed to high-profile examples of “crunch and burnout” in their industry as a reason for involvement in the trial.

Perhaps surprisingly, however, no organisation interviewed was taking part in the trials simply because technology had reduced their need for human labour.

Some companies stopped work completely for a three-day weekend, while others staggered a reduced workforce over a week. One restaurant calculated their 32-hour week over an entire year to have long opening times in the summer, but much shorter in winter.     

A few companies in the trial attached strings to the reduced hours, including fewer holiday days, agreement that staff could be called in at short notice, or a “conditional” four-day week: one that only continued while performance targets were met.

Interviews documented how companies reduced working hours without compromising on targets. Common methods included shorter meetings with clearer agendas; introduction of interruption-free ‘focus periods’; reforming email etiquette to reduce long chains and inbox churn; new analyses of production processes; end-of-day task lists for effective handovers or next-day head starts.

When employees were asked how they used additional time off, by far the most popular response was “life admin”: tasks such as shopping and household chores. Many explained how this allowed them a proper break for leisure activities on Saturday and Sunday.  

“It was common for employees to describe a significant reduction in stress,” said researcher and Cambridge PhD candidate Niamh Bridson Hubbard. “Many described being able to switch off or breathe more easily at home. One person told us how their ‘Sunday dread’ had disappeared.”

For some parents of young children, a midweek day off meant savings on childcare expenses. For those with older children, it meant some welcome ‘me time’. All reported doing more of the activities they already enjoy – from sport to cooking, music making to volunteering. Some developed new interests, while others used the time to get professional qualifications.  

“When you realise that day has allowed you to be relaxed and rested, and ready to absolutely go for it on those other four days, you start to realise that to go back to working on a Friday would feel really wrong – stupid actually,” said the CEO of a consultancy organisation involved in the trial.

When it came to working culture, employees were generally positive, feeling more valued by their employer and describing a shared sense of purpose arising from efforts to make the four-day week a success.

However, several staff at one large company had concerns about intensifying workloads, while some at creative companies expressed disquiet over reduced worktime conviviality due to ‘focus time’, and argued that unstructured chat often generates new ideas.

By the end of the six-month trial, many of the managers said they could not imagine returning to a five-day week. “Almost everyone we interviewed described being overwhelmed with questions from other organisations in their industry that are interested in following suit,” said Burchell. 

“When we ask employers, a lot of them are convinced the four-day week is going to happen. It has been uplifting for me personally, just talking to so many upbeat people over the last six months. A four-day week means a better working life and family life for so many people.”

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Office owners or managers, take note: Increased risk of bullying in open-plan offices

In traditional open-plan offices it is easier to notice colleagues’ shortcomings and become irritated by them. If someone gets frustrated and takes it upon themselves to “do something about” a colleague’s behaviour, and there are no clear guidelines for handling such situations, there is a risk that it may escalate into bullying. Those who are subjected to bullying lack access to a private space for retreat. 

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Open-plan offices entail a clearly increased risk of workplace bullying compared with employees having their own office or sharing with just a few colleagues. This is shown in research from Linköping University, Sweden. 

“Increased bullying is a tangible negative consequence of how you choose to organise the workplace. It’s important to highlight this, as it hasn’t previously been examined,” says Michael Rosander, professor at the Division of Psychology at Linköping University.

Open-plan offices, where many employees share the same space, have become increasingly common. Employers often justify this development as a way to use premises more efficiently and to encourage creative interactions between employees. However, research has shown that open-plan offices do not promote health, job satisfaction or productivity.  

Until now, it has been unclear whether open-plan offices also affect the risk of bullying and employees’ motivation to look for another job. Through surveys of more than 3,300 randomly selected individuals in employment in Sweden, Michael Rosander has now provided an answer. The results are published in the journal Occupational Health Science. 

Thirty per cent of those with some form of office-based work reported that they worked in a traditional open-plan office with no access to private space. Thirteen per cent worked in so-called activity-based offices, where employees spend part of their time in an open-plan environment but also have access to designated rooms for tasks requiring peace and quiet. The remainder had their own office or shared one with only a few colleagues.

For traditional open-plan offices, the survey responses showed a clearly increased risk of bullying compared with those who had their own office or shared an office with only a few colleagues. The difference remained regardless of factors such as personality traits and the extent of remote working. This suggests that the problems are indeed caused by the work environment in the office.  

The researchers’ explanation is that in traditional open-plan offices it is easier to notice colleagues’ shortcomings and become irritated by them. If someone gets frustrated and takes it upon themselves to “do something about” a colleague’s behaviour, and there are no clear guidelines for handling such situations, there is a risk that it may escalate into bullying. Those who are subjected to bullying lack access to a private space for retreat. 

Activity-based open-plan offices, by contrast, showed no increased risk of bullying, likely due to the availability of private spaces. However, in both types of open-plan office, employees were more likely to consider changing jobs. One possible explanation is that activity-based offices also involve more distractions, according to Michael Rosander.

For employers who have introduced, or are planning to introduce, open-plan offices, there are some lessons to be learned. One is to be prepared to deal with irritation and conflicts before they escalate. Another is the importance of providing rooms where employees can work undisturbed. Placing individuals with similar needs and tasks near one another may also reduce the risk of disruption.

“Traditional open-plan offices are in themselves negative for the individual, for productivity, and make people more likely to leave their job. Social interaction also suffers. So it’s worth considering how to handle it,” says Michael Rosander.

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Long-serving CEOs may weaken innovation, study finds

Companies led by long-serving chief executives may become less innovative over time unless challenged by strong independent boards.

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A new study from the University of East London has found that companies led by long-serving chief executives may become less innovative over time unless challenged by strong independent boards.

The research examined 215 FTSE 350 companies over an 11-year period between 2010 and 2021. It explored how CEO tenure and independent directors influence a company’s “R&D knowledge stock”, which is the research, expertise and technological capability built through investment in innovation.

The study published in the journal Corporate Governance found that CEOs who remain in office for many years often become more cautious and less willing to back risky research and development projects. These companies were more likely to reduce investment in innovation and long-term technological growth.

Firms with higher numbers of independent directors were more likely to continue building innovation capacity with experienced CEOs and independent directors forming an effective partnership, to combine deep company knowledge with outside challenge.

However, both experienced CEOs and independent directors become more cautious and less willing to back risky research and development projects when the company fails to meet performance aspirations, suggesting that independent directors do not have stable risk preferences.

The findings suggest that innovation is shaped not only by technology and finance, but also by leadership culture and corporate governance structures.

Author Dr Igbekele Sunday Osinubi, of the Royal Docks School of Business and Law, said: “Long-serving CEOs can bring valuable experience and stability, but there is also a risk that leaders become too cautious or too attached to existing ways of thinking. Our findings show that independent directors play an important role in encouraging companies to continue investing in innovation, especially during difficult periods when firms may otherwise retreat from long-term research and development.”

He added: “This matters beyond individual companies. Innovation drives productivity, competitiveness and economic growth. The study highlights how governance structures can influence whether firms continue building the knowledge and technologies that shape future industries.”

The paper argues that regulators and policymakers should consider governance reforms and incentives that encourage long-term innovation strategies, particularly in firms led by long-serving executives. The findings may also influence how boards think about CEO succession planning, oversight and the balance between short-term financial pressures and long-term investment.

Osinubi’s research, “Long CEO tenure, independent directors and R&D knowledge stock: the moderating effect of performance shortfalls”, was published in the Corporate Governance: The International Journal of Business in Society

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Profit alone is a poor measure of success, study shows companies can look efficient while harming the planet

Firms that appear highly efficient at generating revenue can perform far worse when their environmental footprint are included in the calculation.  

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Companies celebrated for strong financial performance may actually be inefficient once their environmental impact is taken into account, according to new research from the University of Surrey. 

The study, published in the European Journal of Operational Research, shows that firms that appear highly efficient at generating revenue can perform far worse when their environmental footprint are included in the calculation.  

To tackle this problem, researchers developed a new way to measure “sustainable corporate efficiency”, combining traditional financial metrics with environmental data such as energy consumption, carbon emissions and revenues generated from environmentally friendly products and services.  

Dr Menelaos Tasiou, co-author of the study and Senior Lecturer in Finance at the University of Surrey, said: “Businesses have long been judged on how efficiently they turn resources into profit. But if those profits come with large environmental costs, the picture changes completely. What we show is that true efficiency means generating revenue while also reducing the environmental damage caused by production. In other words, profitability alone can mask how wasteful a business really is when environmental costs are considered.  

The research analysed more than 2,800 publicly listed companies across 61 countries between 2010 and 2022, creating one of the largest global datasets measuring how sustainable companies are, when both financial performance and environmental impact are assessed together.  

The team combined company financial records, in alignment with the green economy (defined as a low carbon, resource efficient and socially inclusive economy), with environmental disclosures such as energy use and greenhouse gas emissions. They then applied a machine learning technique known as Convexified Efficiency Analysis Trees (CEAT) to estimate how efficiently companies convert resources into revenue while minimising pollution.  

Unlike older approaches, the method models the reality that production creates both desirable outputs, such as revenue, and undesirable ones, such as emissions. This allows companies to be compared on how well they balance profit with environmental performance.  

The results found a moderate link between financial efficiency and environmental efficiency, meaning many firms that are strong financially are not necessarily good at managing their environmental impact.  

The study also found large differences across industries and countries. Firms operating in sectors with high emissions, such as manufacturing and energy, often lagged behind leaders that were better at reducing carbon intensity while maintaining revenue.  

Dr Tasiou continued: “Measuring efficiency in this broader way can help investors, regulators and policymakers identify companies that are genuinely prepared for a low carbon economy. Stronger management capability plays a key role. Firms with more capable management teams were more likely to balance profitability with environmental responsibility, suggesting that leadership decisions can strongly influence sustainable performance.  

“As governments push towards net zero and investors scrutinise environmental performance more closely, companies that fail to integrate sustainability into their operations risk falling behind.” 

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