Regional Attitudes Toward Four Day Work Week Revealed by New NatWest Rapid Cash Research

NatWest Rapid Cash has conducted a survey to gauge how SMEs, employees, and recruiters are adapting to the UK’s evolving ways of working.

This has culminated in a report that comprises over 40 key findings on topics such as the four-day week, flexible working, and challenges facing SMEs, including that:

• 78% of employers think the four-day working week will become the norm before 2030.
• The top five regions for workers who believe a four-day working week will bring better standards of living are: (1) Scotland – 82%; (2) East of England – 81%; (3) Northern Ireland – 80%; (4) Yorkshire and the Humber – 77%; (5) East Midlands – 76%.
• 75% of employers in the North West, and 76% in the South East are financially and operationally prepared to offer a four-day working week to employees. However, 66% of employers surveyed in Yorkshire and Humber, and 100% in Northern Ireland are financially and operationally unprepared to do so.

On Monday 6 June, more than 3,300 workers at 70 UK companies started working a four-day week with no loss of pay. The trial is based around a 100:80:100 model – 100% of pay for 80% of the time, in exchange for a commitment to maintain 100% productivity.

The report’s researchers asked workers and employers for their views on this new working pattern:

• The top five regions for workers who believe a four-day working week will bring better standards of living are: (1) Scotland – 82%; (2) East of England – 81%; (3) Northern Ireland – 80%; (4) Yorkshire and the Humber – 77%; (5) East Midlands – 76%.
• 21% of employers in the North East disapprove of the four-day working week; versus 5% in London, 14% in Northern Ireland, and 13% in Wales.
• 83% of job hunters in Northern Ireland, 80% in East of England, and 74% in East Midlands are in favour of a four-day working week.

But the report has also identified potential issues for employers, related to implementing and paying for a reduced working week:

• 82% of employees in Wales, 76% in Yorkshire and Humber, 75% in the South East and 76% in the East of England would not opt for a four-day working week if it meant taking a pay cut.
• 75% of employers in the North West, and 76% in the South East are financially and operationally prepared to offer a four-day working week to employees. However, 66% of employers surveyed in Yorkshire and Humber, and 100% in Northern Ireland are financially and operationally unprepared to do so.

Natalie Kerr, Chief Commercial Director at NatWest Rapid Cash says:

“Recruiters clearly see the four-day working week and personal wellbeing gaining popularity among employees. But many businesses are reluctant to provide a better work/life balance due to increased operational costs.

“At NatWest Rapid Cash, we believe the most effective way for SME employers, and recruiters, to meet staffing challenges is to strengthen their working capital. Cashflow is key when it comes not only to staffing but also to having the flexibility to adopt new models of working, and to make the most of growth opportunities.

“NatWest Rapid Cash has been designed for just this, helping businesses improve their cashflow by unlocking capital in unpaid invoices.”

The post-Brexit landscape, pandemic, conflict in Ukraine and subsequent cost-of-living crisis have all led to operational challenges for SME businesses. And with a four-day working week predicted to have a significant impact on the job market, it will be the companies with the finances to embrace change that will achieve their business goals.