What we know about Labour's plans for a four-day working week

Sir Keir Starmer's government is looking to introduce 'compressed' four-day weeks for those who want it. (PA)

The government has denied it will force businesses to allow staff to work a four-day week on the same terms.

However, it said it supports flexible working which would enable workers to “compress” their current hours into four days, which means they would work longer shifts on those days.

Minister Baroness Jacqui Smith told LBC: “We think that flexible working is actually good for productivity.”

Here is everything we know about the plans.

Not officially, the Department for Business and Trade has said.

"We have no plans to impose a four-day working week on employers or employees," a spokesperson said.

However, a four-day week could come in the form of “compressed hours”, which The Telegraph reported may feature in a new law which would legally oblige companies to offer flexible working from day one, except in jobs where it is “not reasonably feasible”.

Speaking on LBC, Smith set out what this could look like: “The four-day week that I know is on the front of quite a lot of newspapers today, what we’re actually talking about there is the type of flexible working that enables you to use compressed hours.

“So perhaps instead of working eight hours a day for five days, you work 10 hours a day for four days.

LIVERPOOL, ENGLAND - OCTOBER 08: Former Home Secretary Jacqui Smith is interviewed in the Exhibition Centre Liverpool on October 08, 2023 in Liverpool, England. The Labour Party go into their 2023 conference with a 19-point lead over the ruling Conservative Party and fresh from a definitive win in the Rutherglen and Hamilton by-election in Scotland. (Photo by Leon Neal/Getty Images)
Baroness Smith: 'Instead of working eight hours a day for five days, you work 10 hours a day for four days.' (Getty Images) (Leon Neal via Getty Images)

“You’re still doing the same amount of work, but perhaps you’re doing it in a way that enables you, for example, to need less childcare, to spend more time with your family, to do other things, that encourages more people into the workplace.”

The Department for Business and Trade has said it will announce details about its approach within the next 100 days.

Joe Ryle, director of the 4 Day Week Campaign, said allowing workers to compress their hours into four working days would be a welcome move.

But the group ultimately wants the government to go a step further, with people employed on the same pay for four days' work (32 hours) as they currently get for five days (40 hours).

Ryle said: "These proposals would only allow workers to compress their working hours rather than reduce them, which we have found is key for improving work-life balance and also maintaining productivity.

“Compressing the same amount of hours into four days rather than five can be an important first step on the road to a true four-day week, but reducing overall working hours is crucial.”

As well as better work-life balance, the 4 Day Week Campaign lists benefits to employees such as help with the cost of living (with less childcare and commuting costs), more rest and leisure time, and better "life admin" capabilities (shopping, cleaning, sorting finances).

For employers, it says "trials and real-world examples show that employers who move to a four-day week increase productivity and reduce costs", citing a 2021 Henley Business School study which estimated UK businesses saved a combined £104bn a year.

On the other hand, some business groups have called for caution over Labour's plans for compressed hours.

Ben Willmott, head of public policy for the CIPD, the professional body for human resources, said: "Flexible working has to work for both the business and workers if it’s to be sustainable, and this needs to be recognised in any changes to regulation."

The Conservatives have claimed businesses are “petrified” about Labour’s plans, which the party said would "make doing business more expensive".

According to the 4 Day Week job listings website, no country has fully adopted the four-day week, though many are experimenting with the idea.

However, in 2022 Belgium introduced the right to a four-day week based on compressed hours, which is what the UK is now proposing.

Most of the UK companies that took part in the world’s biggest ever four-day working week trial have made the policy permanent, research showed earlier this year.

Of the 61 organisations that took part in a six-month UK pilot in 2022, 54 (89%) were still operating the policy a year later, and 31 (51%) made the change permanent.

  • Read more from The Guardian here in which Paul Oliver, chief operating officer at Citizens Advice Gateshead, said a four-day week had helped his employees and improved retention. “We wanted to see a way to improve staff conditions so they would be better rested and could give more to work,” he added

Prof Miriam Marra, of Henley Business School, who was part of the 2021 study mentioned above, wrote last month: "We need to consider possible risks in this approach. For example, is it a reason for employers not to offer adequate or higher pay in the middle of a cost of living crisis? Or is it a reason for employees to work multiple jobs? While the latter is an individual choice, it should not be caused by the former.

"The four-day working week, like other flexible-work solutions, should be offered by employers who want to recruit talented and motivated employees, invest in them, and offer them time and opportunities to upskill. All of this will help staff to be more productive in their jobs."

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