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With automation reshaping workloads and productivity in focus, The Economist's Parul Sharma and HR leader Sharan Pademhanaban speak to Colette Wong on the feasibility of a four-day workweek — the opportunities, trade-offs, and alternatives.
As digital tools increasingly automate routine tasks, organisations are exploring ways to redesign how — and when — work gets done. One model gaining attention over the past years is the compressed work week, where employees work the equivalent of five days’ hours over four days, unlocking an extra day of rest without reducing output or pay.
Evidence from global trials, such as those in the UK and Iceland, suggests potential upsides: improved employee wellbeing, reduced burnout, and in some cases, stable or even increased productivity. Yet, adoption remains uneven across industries and geographies, often hindered by operational constraints or concerns about client responsiveness.
To explore these trade-offs, Colette Wong speaks to Parul Sharma, Global Head of HR Business Partnering, Group Functions, The Economist and Sharan Pademhanaban, former Head of Human Capital Bata Malaysia, about their openness to a four-day week, the operational and people-related challenges that come with it, and the alternatives companies can consider in order to drive productivity without compressing time. They also reflect on the role of digital integration in shaping future-ready work structures—and whether it’s enough to justify a fundamental shift in how we work.
Are leaders open to the idea?
When asked about how open she was to the idea of compressing work weeks, Sharma responds: "I’m very open to it — not just as a concept, but because I’ve lived it."
As Sharma recalls, in her previous company, employees were given a four-day work week every alternate week. The company policy of fulfilling 40 hours a week still applied to this special arrangement, thus every employee would work an additional hour during the compressed week. However, the trade-off did not steer Sharma away from working a four-day work week as she felt that the additional non-working day allowed her to have an extended restful weekend.
"I remember feeling recharged on Fridays, and Saturdays weren’t a pause button, but were when life happened," she said.
Inevitably, the use of AI will see an increase to handle business operations if working days become shorter. A survey conducted by Tech.co revealed that in 2024, 29% of organisations with four-day work weeks use AI extensively to streamline their workflow while only 8% rely on AI when they are on five-day work weeks.
The same study also showed that implementing compressed work weeks may see long-term improvements in fatigue as the extra off days enable employees ample time to recover physically and mentally once they have adjusted to this new arrangement.
This idea may seem daunting to many organisations and Sharma understands it can be challenging to kick away the traditional mindset of presenteeism. However, she reminds us that shifting to a compressed or four-day work week is not all about logistics but more about trust, culture and intentional design.
It’s time we start rethinking the value of time at work, not just the volume of it.
Shifting mindsets is what Sharma believes in when asked why and what organisations should consider before adjusting to a compressed work week. She listed the following questions for companies to assess before deciding if a four-day work week would be suitable for the people:
- Can customer expectations still be met seamlessly?
- Is the organisation automating and eliminating enough low-value work to make space?
- Do the managers have the right skills to lead with empathy and clarity in a compressed structure?
However, not all sectors may have the privilege to switch to shorter working days such as the service and hospitality industry. Sharan Pademhanaban, former Head of Human Capital Bata Malaysia, explains that it can be challenging to reduce employees' number of working days while running a retail store, as doing so may affect overall sales and service.
Having noted that there is a rise in online shopping, Sharan still observed a steady flow of physical shoppers due to preference of a tangible shopping experience. With more traffic coming in especially on weekends, where corporate employees do not work, retail stores are required to operate at these times to secure sales.
"[Implementing a compressed work week] makes it difficult for retailers to reduce store operating hours without risking revenue loss or customer dissatisfaction," she says.
During situations like these where a compressed work week is not a viable option, Sharan shared various alternatives that are specially tailored to industries like these.
"Having 'Power Hours' to align staff schedules with peak shopping times, tailored wellness programmes to support employee wellbeing, and skill development initiatives to help staff adapt to digital tools."
Likewise, Sharma also shares other alternatives to reducing workdays – to reduce distractions instead. Some initiatives that work in her current organisation which include:
- No-meeting days to allow deep work
- Asynchronous communication norms
- Focus hours where teams agree to work uninterrupted
- Flexible micro-breaks that recharge people without disrupting flow
- Coaching for leaders and teams to prioritise better and say no when needed
Beyond the compressed work week, both leaders highlight how automation is already reshaping the workplace. In retail, Sharan points to how digital tools are streamlining operations—from inventory management to customer service — allowing HR to focus on strategic priorities and employee experience. Sharma, meanwhile, shares how AI is being used to analyse engagement surveys, freeing up HR teams to focus on real conversations and meaningful action planning. These examples show how AI is already becoming a seamless part of the modern workplace.
Ultimately, adopting a compressed work week requires a shift in mindset and a willingness to embrace change. While it has shown potential in boosting productivity, it isn’t a one-size-fits-all solution. Exploring alternatives—whether through flexible schedules, technology, or redesigned workflows—calls for open-mindedness and a commitment to continuous improvement.
In this evolving landscape, the role of AI cannot be ignored. For Sharan, it’s about reimagining how work is organised to build productive and fulfilling environments. Sharma echoes this, noting that digital transformation isn't about replacing people, but amplifying their potential — provided it's guided by the right mindset.
READ MORE: New global study reveals high public adoption of AI across 47 countries
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