Tokyo Embraces a 4-Day Work Week—Could the UK Be Next, or Is It Bad for Business?

The Tokyo government is set to implement a four-day workweek for its employees starting in April 2025, aiming to address Japan's declining fertility rates and promote work-life balance. Tokyo Governor Yuriko Koike announced the initiative, which allows metropolitan government employees to take three days off each week. This move is designed to support young families and encourage better work-life integration. According to NBC News, the policy is part of Japan's efforts to combat a record-low fertility rate of 1.2 children per woman, recorded in 2023.

The pressure to prioritise careers over family life has contributed to a significant gender gap in Japan's workforce, with only 55% of women participating compared to 72% of men. Governor Koike believes that by reducing working days, government employees will have more time to dedicate to family responsibilities, which may encourage higher birth rates.

The UK's Experiment with a 4-Day Week

In the UK, the four-day workweek has been trialled with promising outcomes. A Labour-led initiative in early 2024 involved 1,000 workers across 17 companies, including the British Society for Immunology and Crate Brewery. According to IBTimes UK, the programme resulted in a 57% decrease in employee turnover and a 65% reduction in sick days. Additionally, 71% of employees reported lower levels of burnout.

Since the trial, nearly 200 British businesses have permanently adopted the four-day workweek. The Labour government is expected to review detailed trial results by next summer, potentially influencing future workplace policies.

Challenges Highlighted by UK Trials

Despite its advantages, some UK companies have faced challenges with the four-day workweek. A trial conducted by the University of Sussex with tech firm Thrive demonstrated gains in employee well-being and productivity. However, Thrive ultimately decided against adopting the model permanently, citing the need to provide consistent five-day client support. Thrive's CEO, Cassie Gasson, told The Telegraph, "The trial highlighted that five-day coverage for our customers is essential when they're operating in more traditional ways of working."

The case of Thrive underscores a broader challenge: without a cultural shift in business practices, some industries may struggle to adapt to a four-day workweek while maintaining customer expectations and operational efficiency.

London-Based Companies Leading the Way

Despite these challenges, several London companies have successfully adopted the four-day workweek, showcasing its viability across diverse sectors:

1. Awin introduced the Flexi-Week in February 2023 after an 18-month trial, leading to a 13% profit increase and improved employee satisfaction, with 94% reporting a better work-life balance.

2. The Story Mob transitioned in 2022, achieving success by maintaining fixed days off, streamlining internal processes, and fostering open communication with clients.

3. The Phoenix Group implemented the Phoenix Flex policy, offering flexible arrangements tailored to employee needs. This initiative earned recognition at the CIPD People Management Awards.

The Future of Work-Life Balance

The growing trend towards a four-day workweek reflects a broader shift in global workplace priorities. While Tokyo's implementation focuses on addressing demographic challenges, UK trials highlight the potential for improved employee retention and well-being. However, as some companies have discovered, industry-specific demands and cultural resistance may present obstacles to widespread adoption.

As nations and businesses continue to explore flexible working models, the four-day workweek could pave the way for a more balanced and productive future. The question remains: will the UK follow Tokyo's lead, or will concerns about business feasibility keep this progressive model at bay?