The concept of a reduced workweek has gained momentum in recent years, as Employers Council wrote about in this August 2023 article.
In March 2024, U.S. Senator Bernie Sanders (I-VT) introduced a bill proposing that the standard workweek be reduced from 40 to 32 hours. While not likely to pass in the politically divided Congress, the measure has drawn even greater attention to the idea of a shorter workweek.
An Ongoing Issue
A few years ago, the COVID-19 pandemic reignited discussions around employee satisfaction, work-life balance, and flexible schedules, prompting organizations to consider shortening the workweek. Companies across the globe have piloted reduced workweek programs, with 4 Day Week Global, a not-for-profit organization and proponent of a shorter workweek, studying the outcomes. The studies found that working four days a week often led to greater employee satisfaction, productivity, and retention, with less absenteeism and burnout.
According to a survey by software vendor Qualtrics, 92% of U.S. workers are in favor of a shortened workweek. Numerous companies have responded by providing employees with the option to work four days a week at the same rate of pay. Some have done this by allowing employees to work 40 hours a week across four days, while others have adopted the 32-hour workweek schedule. And some employers with a five-day workweek have found similar success by allowing employees to have more flexibility in their schedules and a shortened Friday. This article by Tech.Co lists many of the companies with shortened workweeks.
Lawmakers in several states have proposed legislation calling for a reduced workweek, according to another recent article by Tech.Co. In Colorado, the Legislature has not done so.
The Sanders Bill
In March, Sanders introduced Senate Bill 3947, the Thirty-Two Hour Workweek Act. The Act calls for reducing the standard workweek from 40 hours to 32 hours per week by two hours a year over the course of four years.
To comply with the Act, employers would be required to provide all wages and benefits a full-time employee would otherwise be entitled to receive in a 32-hour workweek. The Act would also reduce the maximum hours required for overtime compensation for nonexempt employees. Specifically, the Act would require employers to pay overtime pay at time and a half for workdays longer than eight hours and double the overtime rate for workdays longer than 12 hours. Theoretically, under the Act, a non-exempt employee could work 32 hours a week and still be entitled to overtime compensation if the employee works more than eight hours in a single workday.
The Act, which is supported by several large labor unions, could gain the backing of some members of Congress but would not likely garner the votes needed to pass. Further, even if the Act were passed into law, various business and chamber lobbying groups would likely challenge it in court.
Regardless of whether any laws are passed requiring it, many employers will continue to voluntarily move to or at least consider a reduced workweek. Before doing so, it is important to consider not only the potential benefits but also the challenges, which our previously mentioned August 2023 article explores.
If you have any questions about the legal and practical considerations of implementing reduced work schedules or shorter workweeks, please contact Employers Council.