Iceland officially transitions to a four-day workweek.
-
Between 2020 and 2022, the country conducted a large-scale trial in which roughly half of its citizens shifted to a four-day workweek at the same pay, while the other half continued working full hours.
The results demonstrated an increase in output and a decline in unemployment, leading to a decision to gradually adopt the model across the broader economy.
-
It's worth keeping in mind that although employees spend fewer hours at work, the economic impact is partially offset by the increase in consumer activity during the additional free time.
Every time money changes hands, it gets taxed. And when people have more leisure time, they are very likely to make more purchases — stimulating the economy in the process.
An even more important point is that "four days" means fewer working hours spread across five days per week, not four full days and a three-day weekend.
This way, employee burnout is lower, and their working hours are used more efficiently.
-
Will we see this at home anytime soon?
Probably not.
What works in one place doesn't necessarily work in another, because the cultural and occupational structures are different.
In the high-tech sector, for example — where working around the clock is perfectly normal and there's never enough time — giving up a full workday seems completely detached from reality.
As always, the grass is greener on the European side, but at the end of the day we'll always love our own madhouse a little more 🇮🇱