Surely, the pandemic that began two years ago brought changes to our lifestyle, concept of work-life balance and the need to put a premium on rest, family togetherness and relaxation.
Belgium, Iceland, Scotland, Sweden, Germany and New Zealand experimented on this scheme. In Belgium, its Prime Minister hoped this arrangement will help create a more dynamic economy and make it easier for people to combine family life and career. Iceland tested a similar model from 2015 to 2019 but reduced the work week from 40 to 36 hours and maintained pay levels.
A study by the Icelandic non-profit Alda (Association for Democracy and Sustainability) and the British think tank Autonomy found that the well-being of participants had improved significantly, working processes had been optimized and there was closer collaboration among colleagues. Productivity either stayed the same or improved. After the test phase, trade unions and associations negotiated permanent cuts in working hours. Some 86 percent of employees now have the right to a four-day week.
Scotland also tested it with the state supporting participating companies with about £10 million (ca. $13.6 million). In Wales, Sophie Howe, the Future Generations Commissioner, has also called on the government to introduce a similar four-day working week trial in the public sector.
In Sweden, a four-day working week with full pay was tested in 2015, with mixed results. But some companies chose to keep reduced hours for their workers. The car firm Toyota had already decided to do this for mechanics 10 years ago and has stuck with its decision.
In Germany, it is mainly smaller start-ups that are experimenting with a shorter working week. But in other countries, such as Japan, it is bigger companies that are venturing into this territory: For example, the tech giant Microsoft has experimented with the model by offering employees three-day weekends for a month.
In New Zealand, the consumer goods giant Unilever is currently testing a four-day work week at full pay. If the experiment turns out successfully, it will be extended to other countries.
Veeps’ debate
The issue of four-day work week was raised during the vice- presidential debate last Sunday where candidates favored it.
Presidentiables Leni Robredo, Ping Lacson and Ernesto Abella also supported the observation of their fellow candidate, Ka Leody de Guzman, that the extended hours of work should be paid overtime pursuant to our laws.
Abella emphasized that ordinary workers should not be shortchanged if we pursue this experiment. Ka Leody remained true and faithful to his constituents—the ordinary workers. He asserted that whenever a worker is made to work beyond his regular hours, he is entitled to an extra compensation or overtime pay as ruled by the Supreme Court in PNB v. PEMA stating that workers “put in more effort, physical and/or mental and delays going home to his family to enjoy the comforts thereof; he might have no time for relaxation, amusement or sports; he might miss important pre-arranged engagement; etc.
NEDA broached it
The concept was a proposal advanced of the National Economic and Development Authority to address the spiraling cost of fuel. Thus, it is designed to cut the energy expense, which has significantly spiked following the invasion of Ukraine by Russia. More than the impact of the high cost of fuel, our 8-hour Labor Law was enacted to protect the health and safety of workers.
THE Department of Labor and Employment (DoLE) and the Civil Service Commission (CSC) favor the implementation of a four-day workweek to help workers cope with rising prices of fuel and other basic commodities.
Labor Undersecretary Benjo Benavidez said, however, it is up to private companies if they will adopt the alternative work schedule.
Since this is management prerogative, government can only appeal to the private companies, but it cannot obligate them. The Labor Code of the Philippines does not provide the minimum number of working days in a week.
Before it is implemented, the workers and employers must fully understand how the system works. A lot of companies have six working days a week (particularly media, hospitals, logistics and retailers).
The employers have two options. They can shorten the six working days to four days and retain the normal hours of work. Or they can reduce both the working days and the working hours. But it is usually the first option of compressing the work days from 6 to 4.
It must be noted that the Labor Code considers any work beyond eight hours as overtime and that the workers have to be duly compensated.
But if employer and employees agree to temporarily implement a compressed workweek, the Supreme Court allows the worker to waive the overtime premium.
But this is an exemption than the general rule, which should be any hour in excess of 8 hours is considered as overtime work, and there must be corresponding payment for it. However, if they (employers and workers) have a memorandum of agreement consistent with the Supreme Court jurisprudence the overtime premium can be waived," the DoLE explained.
The proposed solution comes with both a premium and a cost. Its benefits are: 1) it will generate savings, as it will result in cost-cutting on the part of the employer and the employees 2) lesser use of office facilities and lower utility expenses resulting in lower operating costs; 3) workers will commute less to their place of work; 4) fewer cars in the streets, therefore reduced pollution and good for the environment; 5) more time with their family and more opportunity to spend in sports or leisure, which will promote better work-life balance.
With additional days off and more time for rest and sleep, a refreshed worker will be more energized and productive.
The compressed 4-day work week, once approved by President Rodrigo Duterte can be implemented upon the prerogative of private companies.
The compressed work week may be implemented two ways: the 48 hours for completion per week will be compressed to fewer days, or there will be less hours of work along with less days.
