Unions are pushing for a four-day workweek at the government’s upcoming productivity summit. They argue it could be a solution to Australia’s slowing productivity and growing worker fatigue. The proposal comes in the wake of the COVID-19 pandemic. The pandemic left many employees feeling burnt out, overworked, and in need of a better work-life balance. Supporters say it’s an idea whose time has come—while critics warn it could create more problems than it solves.
So, is a four-day workweek really worth considering?
What is the unions proposing?
Under the unions’ proposal, employees wouldn’t lose any pay or entitlements in exchange for shorter working hours. A four-day workweek would only be introduced in organisations where it is feasible and practical. In sectors where a four-day workweek isn’t possible, the ACTU has proposed other measures. These include extra rostered days off or additional annual leave. The aim, they say, is to give all workers the chance to benefit from a better work-life balance, no matter what industry they are in.
What is the reasoning?
International studies have also found that a four-day workweek can boost performance and improve employee health and retention while reducing burnout at work. The Australian Council of Trade Unions argues that working fewer hours leads to greater productivity. A 2023 study by Swinburne University found that 70% of businesses that introduced a four-day workweek reported increased workplace productivity The rest reported no effect.
Andrea Tuckey is head of provider strategy and delivery at Medibank, which is trialling a four-day workweek. She says so far the trial has had positive impacts.
“It’s been a really positive experience for our team, we still produce the same outputs,” she told the Sydney Morning Herald.
“But what it’s done is lifted this concept that you have to be at your desk for 8 hours every day and how you choose to get to your outputs – you can go about it in any which way you like.”
Other workplaces that have trialled a four-day workweek have found it can cut unnecessary meetings and encourage teams to work more efficiently.
What are the downsides?
Of course, a four-day workweek isn’t without its downsides. For many businesses, it simply isn’t practical, especially in the current economic climate. Some business owners argue that reducing hours by 20% would require a 25% boost in productivity. In some cases, it could also mean employees are expected to do more in fewer days. This may increase stress and burnout—the opposite of what the policy aims to achieve. There are also practical challenges. For example, parents may find it harder to leave work early enough to collect children from school if working days become longer. Smaller businesses may also struggle to reorganise rosters or cover staff absences without extra costs.
What is the government’s response?
In a recent press conference, Prime Minister Anthony Albanese welcomed people’s ability to put ideas forward. However, he said the government would not be adopting such a policy. The government has legislated to let staff ask for flexible working hours. However, it says it does not endorse a four-day workweek as official policy.
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Article References
Caisley, O (13 August 2025) ‘Australian Council of Trade Unions says it’s time for a shorter work week to boost performance and reduce burnout’, ABC News, accessed 14 August 2025.
Hedgman, A (13 August 2025) ‘‘Fed up and burnt out’: Greens and unions push for four-day work week at government roundtable’, news.com.au, accessed 14 August 2025.
Ireland, O & Olya, K (13 August 2025) ‘‘Populist thought bubble’: Union movement to push for four-day week despite criticism’, Sydney Morning Herald, accessed 14 August 2025.