Four-Day Workweek: What Would It Mean for Your Small Business?

[Fit Small Business | ]( HR Insights from Our Experts [Four-Day Workweek: What Would It Mean for Your Small Business? ] Welcome to this week's HR newsletter. We’re so happy to have you!     Breaking News: Thirty-Two Hour Workweek Act   Currently there is a bill in place to change the standard for a full-time workweek, known as the [Thirty-Two Hour Workweek Act]( (also referred to as the Four-Day Workweek Act). Simply put, it is a bill, put in place by Congress, that would amend the Fair Labor Standards Act by reducing the standard workweek from 40 hours to 32 hours. Who is Impacted? Nonexempt employees. These are typically hourly workers, although some salaried workers fall under this provision. Does the Act affect Overtime? Yes. Employers would be required to pay overtime compensation to nonexempt employees whose work exceeds 32 hours in a standard workweek. Why was the Act introduced? According to the bill, to allow for more work sharing and labor market participation while creating healthier competition in the workplace that empowers workers to negotiate for better wages and working conditions. When was the Act first introduced? The bill was first introduced on July 27, 2021, by Representative Mark Takano of California. It was reintroduced in March 2023 for a second attempt to get the bill passed–which has now reached the federal level for approval. How will this impact my business? Depending on your type of business, this act, if passed, could have varying impacts. For some, you may need to consider either hiring more employees during the four days your business is open, or paying additional overtime to existing employees, to ensure that everything is completed in the shorter workweek. For others, it could simply mean a three-day weekend with your employees only working four days of the week. TIP: If you have some employees work Monday through Thursday and others work Tuesday through Friday, you could potentially cover all shifts (in a company that is only open Monday through Friday).         Maintaining Operational Efficiency with the Four-Day Workweek   The adoption of a four-day work week offers numerous benefits for both employees and organizations, including increased productivity, improved work-life balance, reduced [employee burnout](, and enhanced job satisfaction. However, transitioning to this compressed schedule requires careful planning and effective workload management to ensure operational efficiency. Here are some practical strategies for managing workloads and maintaining productivity while implementing a four-day work week. - Redefine priorities and focus: Identify high-value tasks aligned with organizational goals and streamline workflows accordingly. - Implement efficient time management practices: Encourage employees to prioritize tasks, [set clear goals](, and minimize distractions to optimize productivity. - Utilize technology and automation: Leverage tools and automation to streamline workflows, enhance collaboration, and reduce manual efforts. - Set realistic workload expectations: Avoid overloading employees and ensure workload distribution aligns with individual capacities. - Foster effective communication: Establish clear channels for communication, collaboration, and support among team members. - Continual evaluation and adaptation: Regularly assess workload management strategies, gather feedback, and make necessary adjustments. - Invest in [employee development and training](: Support skill development and provide training opportunities to enhance efficiency and capabilities. - Establish performance metrics and accountability: Define clear performance metrics, track progress, and provide constructive feedback to maintain focus and accountability. Organizations can successfully manage workloads and maintain operational efficiency within a four-day work week by redefining priorities, implementing efficient time management practices, leveraging technology, fostering communication, evaluating strategies, investing in employee development, and establishing performance metrics.         Pros and Cons of a Four-Hour Workweek   With the introduction of the Thirty-Two Hour Workweek Act, there’s one pervading question among business owners—should we transition to a four-day workweek? If your organization is still mulling over the idea, we have prepared some pros and cons to help you decide whether the thirty-two hour workweek is good for you. Pros - Reduced Stress: A four-day workweek can [help reduce stress]( because employees have more time on activities they enjoy, such as spending time with their family and friends or pursuing their hobbies. - High employee morale: [Studies]( have shown that employees who work a four-day workweek tend to have higher morale and are more satisfied with their jobs. This is likely due to the fact that they have more time to relax and recharge, which can lead to improved productivity. - Reduced absenteeism and turnover: A four-day workweek can help to improve work-life balance for employees. This is because they have more time to spend on personal and family commitments, which can lead to a happier and healthier workforce. - Improve your work-life balance: It can help to reduce absenteeism and turnover rates among employees. This is because employees are more likely to be happy and engaged in their work when they have a better work-life balance. Cons - Increased costs: One of the major cost implications is the potential need for overtime pay. When transitioning to a shorter workweek, businesses may find that the workload previously spread across five days now needs to be compressed into four days. This could result in employees working longer hours to accommodate the same amount of work, leading to additional expenses in the form of overtime pay. - Scheduling challenges: With employees having different days off, it becomes more complex to find common availability windows. This scheduling challenge can potentially lead to delays, inefficiencies, and conflicts in arranging important discussions and collaborations. - Customer service challenges: The reduced operating hours can create gaps in customer service coverage, especially during the non-working day(s) of the week. Customers accustomed to receiving support or assistance on weekdays may find it challenging to reach out to businesses or access the necessary resources when they need them. Extended waiting periods for responses or limited availability can frustrate customers and hinder their overall experience with the company. Ultimately, the decision of whether or not to implement a four-day workweek is a complex one. There are many factors to consider such as the type of your business, the industry, and culture of your company. On the other hand, the potential benefits of a four-day workweek can be significant, and something that more and more businesses are considering.         [Best Human Resources Software (Updated for 2023)](   The right HR software solution can help optimize processes by automating manual tasks, organizing employee records, and building data-driven reports. Moreover, advanced HR software solutions enable better workforce planning, financial forecasting, and strategic decision-making. We reviewed more than 30 top HR software solutions and narrowed it down to the best of the best. [Read Now](     What’s new in HR? Check out some of our latest HR content:   [How to Manage Generation Z]( To effectively manage Generation Z in the workplace, it is crucial not only to capitalize on their love and appreciation for technology but to set clear expectations, provide development opportunities, and be transparent and authentic. Check out our guide that breaks down everything you’ll need to know. [READ MORE]( [Salary vs Hourly vs Commission Employees]( Check out our guide for help understanding the different types of employees and which is best for your business. We break down all the differences between Salary vs Hourly vs Commission employees. [READ MORE](     Meet Fit Small Business’ HR & Payroll Experts   [-Jennifer Hartman, HR Staff Writer & Human Resources Expert]( Throughout her career, Heather has worked to help hundreds of small business owners manage many aspects of their business, from bookkeeping to accounting to HR. Her experience has allowed her to learn firsthand the payroll needs of small business owners. [Heather Landau]( [-Jennifer Hartman, HR Staff Writer & Human Resources Expert]( Jen has more than 20 years of writing and content experience, working with small businesses and Fortune 100 companies. She worked as an HR generalist for over a decade, providing accounting, payroll, and HR expertise. [Jennifer Soper]( [-Jennifer Hartman, HR Staff Writer & Human Resources Expert]( Robie is a payroll and HR expert at Fit Small Business, focusing on software. She has over eight years of content writing experience, handling different topics. Robie also worked as an HR specialist for 10 years where she managed various facets of HR—from payroll and benefits to employee services and HR systems. [Robie Ann Ferrer]( [-Jennifer Hartman, HR Staff Writer & Human Resources Expert]( Juvy has more than 10 years of experience writing product reviews and providing online content for small businesses. Juvy was also a college instructor. She believes that her teaching background, writing experience, and supportive team members are crucial in providing the best answers to readers. [Juvy Vallescas]( [-Jennifer Hartman, HR Staff Writer & Human Resources Expert]( Genevieve has more than 13 years of writing experience, working with different clients in various industries. She has ghostwritten several books and ebooks on marketing and leadership. Genevieve also worked as an HR Head of a local manufacturing company and has helped small businesses set up their business and HR processes. [Genevieve Que](     Curious how you can offer student loan assistance as a benefit to your employees? Tune in next week for everything you need to know! Until next time, Heather Landau, Jennifer Soper, Robie Ann Ferrer, Juvy Vallescas, and Genevieve Que   For more quality resources on growing your small business: [Marketing]( | [Financing]( | [Accounting]( | [HR]( | [Retail]( | [Ecommerce]( | [Sales]( [Facebook]( [Twitter]( [LinkedIn]( [Alternate text] Want to change what you receive in your inbox? [Update Your Preferences]( [Image]   We spend hours researching and writing our articles and strive to provide accurate, up-to-date content. However, our research is meant to aid your own, and we are not acting as licensed professionals. We recommend that you consult with your own lawyer, accountant, or other licensed professional for relevant business decisions. Our business model allows us to bring you the best answers to your questions, without editorial biases or cluttering the site with banner ads that everyone hates. The solutions we recommend to business owners often include products and services. Our expert team of writers make recommendations in our buyer’s guides and reviews based on independent quantitative and qualitative assessments. To maintain editorial independence from our business operations, our writers and editors always have the final say on whether a partner is included anywhere on our site. [Read our editorial policy here](. When a product or service is included in an article or an email, we sometimes earn a fee or a commission from the advertising partner based on readers’ actions. Learn more about [how we make money]( and see a list of [our full list of partners](.   This message was meant for: {EMAIL} Our HQ: Fit Small Business - 355 Lexington Ave, 18th Floor, New York, NY 10017, United States Want to give feedback? Reply to this email! We monitor it daily. This helps us make your subscriber experience better. Want to change the content you're receiving? [Update your preferences](. Want to stop receiving emails all together? [Unsubscribe](.