A four-day work week: the pros and cons
The past 16 months have given organisations time to consider how they operate, including the number of hours and days they require employees to work.It is no secret that the coronavirus pandemic has transformed the way we work in the UK, with many businesses having to abandon the office to work from home almost overnight. As well as this, over the last year we have seen the introduction of the Coronavirus Job Retention Scheme and the challenge of juggling home schooling, leaving many employers no choice but to allow for flexible working arrangements.With this sudden shift to working from home and an increase in hybrid working, we have seen more and more conversations around work-life balance and businesses questioning their ‘typical working week’.The five-day work week has become a cultural norm, especially in the UK, but after more than a year of change, is it time to rethink this approach and, if we do, would businesses continue to succeed? Or would productivity take a hit?We asked our LinkedIn followers: “Would you consider changing your company’s working hours to a four-day working week?”. With 919 votes, 50% said yes, but with the same hours, 33% said yes but with reduced hours, 12% said no, and 6% said they would consider it, but not at this time.With 83% of those surveyed in favour of a four-day week, there are many considerations companies must make when deciding if this is a course of action they would be willing to take.What is the case for a four-day work week?A four-day work week can be defined in two ways; the first is when an employee compresses their full-time hours (typically 35 hours) over a four-day period. And the second is reducing an employee’s hours (typically to 28 hours) over four days, so they are then able to have a three-day weekend.Many argue that, while the five-day work week used to be effective in the 19th century, it no longer suits the needs of the modern-day professional.With the evolution of technology, some day-to-day tasks are significantly more time-efficient, and with an uplift in office-based roles, we are seeing an argument that longer work hours do not necessarily mean staff are more productive.Notably, over the last couple of years, many countries across the globe including Japan, New Zealand, Spain - and most recently Iceland - have trialled the four-day work week to research the effect it has on its employees.Microsoft trialled four-day weeks in its Japanese offices and found the shortened work week led to more efficient meetings, happier workers and boosted productivity by a staggering 40%. Similarly, Iceland undertook a trial which monitored employees working reduced hours over a variety of public sector workplaces and found it to be an overall success, with 86% of the country's workforce now on a shorter work week for the same pay.In an article for the BBC, Will Stronge, Director of Research at four-day week consultancy Autonomy, said: “It shows that the public sector is ripe for being a pioneer of shorter working weeks - and lessons can be learned for other governments.”In the UK, many businesses have also trialled the four-day work week, and some have even made the permanent switch. Gloucestershire-based PR agency Radioactive Public Relations trialled a four-day week for six months and found the business was even more profitable and employees’ sickness days were halved.What are the advantages of a four-day working week?Large and small-sized companies trialling the concept have created an evidence-base of the benefits a four-day working week could bring to your organisation.An increase in productivity levelsResearch has shown that working fewer hours boosts productivity levels. With employees spending less time at work, they can feel happier and more fulfilled, leading to them focusing on their job when in the workplace.A large New Zealand business, Perpetual Guardian, trialled a four-day work week and found not only a 20% rise in productivity, but work-life balance scores increased from 54% to 78%.Environmental and cost-saving benefitsShortening your working week means that employees do not need to commute as much, reducing their carbon footprint.As we have seen throughout the pandemic, those businesses with employees working on the same four days can save on overheads and in some cases even be eligible for tax relief.Happier employees and fewer absencesAccording to mental health charity Mind, one in six people report experiencing a common mental health problem in any given week in England, and one in five agreed that they have called in sick to avoid work.Four-day work weeks leave employees more time to focus on personal development or spend time with loved ones. This will not only increase employees’ happiness, but can contribute to fewer burnouts, leaving them to be more focused and happier in their role.Better recruitment and retentionThe increase of hybrid working and remote working during the pandemic has led to employees wanting greater flexibility from their employers.The CIPD reported that the majority of people think flexible working is positive for their quality of life, and 30% of people think it positively affects their mental health. So, offering potential new and existing employees a flexible working pattern is a fantastic way of attracting and retaining talented professionals.What are the disadvantages of a four-day working week?Whilst there are benefits to a four-day work week, there are disadvantages too:"A four-day work week wouldn’t work practically because of the need to cover more shifts during a time where we are already facing staff shortages."Not all industries can participateUnfortunately, the four-day working week model does not suit every sector. Some businesses or professions require a 24/7 presence which would make a shortened work week unpractical and, in some cases, delay work - creating longer lead times.A nurse who wanted to remain anonymous expressed her reservations about a four-day week in the healthcare sector, saying: “As an A&E nurse a four-day working week wouldn’t work practically for us. Currently, we work long 12+ hour shifts in order to have four days off, which I prefer as it provides more of a work-life balance. However, while I know a four-day working week would be better for some of my colleagues due to childcare, the shorter, more regular shifts we would have to do on a four-day week wouldn’t work. It would mean the need to cover more shifts during a time where we are already facing staff shortages.”Unutilised labourA four-day week is not for everyone; some employees prefer the structure of a five-day working week or would prefer to put in more hours than a four-day working week offers.Likewise, some professions have tasks which simply take more time than others, which would lead to paying more in overtime or drafting in further staff to make up the shortfall (as happened in healthcare for the Icelandic study), which can ultimately become expensive.Final thoughts: should your business adopt the four-day work week?Although the shortened work week has taken off in many European countries and been successful for many UK businesses, it is an extreme approach for a company to take and requires a shift in mindset from the employer and employees for it to work effectively, so it may not be for everyone.While a more flexible approach on working hours is now expected from employees, a less disruptive, more gradual process would be adopting a hybrid or flexible working policy instead.Likewise, as mentioned above, the four-day model may not work for all sectors. What studies and data have proven is that organisations who are putting more focus on maintaining staff wellbeing, engagement, morale, and productivity are reaping the benefits.
How to create a great recruitment strategy
Getting your recruitment strategy right is key to hitting your business goals. Here are some expert tips to help you set up your company for success – and the shortcuts to keep you ahead of your competition.What is a recruitment strategy?A recruitment strategy is a clear plan that explains what roles you’ll recruit for, when, why and how. It should be tied to your overall company objectives.Your strategy must be possible to implement and easy to communicate. While you can tweak your tactics, the strategy must always be clear.Unsure how many employees you’ll need? Hiring temporary staff helps you expand quickly and risk free.The core aspects of a great recruitment strategyGrowth PlansIn order to scale up your workforce, you’ll need to hire – which takes time and resources.Create a measure to help you identify which areas of your business will benefit most from increased headcount.This could focus on return on investment or opportunities lost.Shortcut: Unsure how many new employees you’ll need? A recruitment agency will give you access to temporary staff and contractors to help you expand quickly and risk free.Employer BrandMake sure your employer brand and message are attractive to your target audience, particularly over social media. A well-known brand is a big selling point to talented job hunters.Be open and transparent about the company’s working culture to ensure you attract candidates that will match your business.Shortcut: If your brand isn’t well known, a recruitment agency can contact candidates directly and spend time promoting your employer messages.Skills AuditUse your company objectives to identify developing areas of the business, then decide on the skills you will need to succeed.Your recruitment strategy should include ways to find and bring new skills into the company.Employers often focus on advanced digital and technical skills, but you should also consider bringing in candidates with different experiences.Shortcut: When interviewing for a role you’ve never done yourself, your recruitment consultant can offer interview tips and support to build your confidence."You can tweak your tactics, but your end goals must be clear."FlexibilityIf your company needs to adapt quickly to an unpredictable market then hiring permanent staff may not be the right option.Your strategy should include a plan for temporary staff and contractors to cover projects that are likely to change at short notice.Shortcut: Unless you already have an advanced payroll function, it makes sense to ask your recruitment agency to manage payroll for your temporary workforce. They look after tax, holiday pay and even pension contributions – saving you a lot of hassle.When to review your recruitment strategyYou should always be thinking about how you differentiate your company from your competitors, and how you can be a more attractive prospect for potential candidates.Pay close attention to all aspects of the recruitment process, and make tactical tweaks throughout the year when necessary – while holding firm to your recruitment strategy.You should review your overall recruitment strategy annually to make sure it ties in with your wider business objectives. It’s important that everyone in the company understands your goals – so be clear and concise about what success looks like and how you will get there.
Top 10 soft skills you need to work in finance
When searching for a role in finance, it's often not what you know, but what you can offer. Job hunters have long been told to list, and give prominence to, technical skills on their CVs, but finance sector employers are increasingly looking for candidates with interpersonal abilities known as ‘soft skills'. Demonstrating these 10 characteristics will help candidates prove their value in the workplace.10 soft skills to help you prove your value in the workplace.1. CommunicationEarlier this year, analysis by LinkedIn showed that 57.9% of new hires who changed jobs in 2014-15 listed communication as one of their strong suits. Good communicators are in demand across a range of industries, and they're vital in fields that require employees to explain their specialist knowledge to others. An aptitude for number crunching won't get you far in finance if you can't justify and explain your calculations.2. NegotiationWhether you're closing a deal or managing expectations, it's important to know how to fight your corner without ruffling any feathers. An aptitude for negotiation will allow finance professionals to reach an agreement that benefits all parties. Failure to compromise effectively can create frustration and damage interpersonal relationships or, at worst, result in loss of revenue for a business. Having a demonstrable knack for negotiation will put you ahead in any financial enterprise.3. InfluencingFinance professionals must be prepared to explain how their objectives are mutually beneficial and anticipate objections. If, for instance, an investment banker wants to sell off a stake in a joint venture, he or she must be able to show how this will benefit the bank – even if some colleagues disagree.4. Critical thinkingA critical thinker objectively analyses or conceptualises a situation from a balanced perspective. Often, customers and clients will look to financial professionals to rationally evaluate a scenario – be it a ledger or the performance of a stock. In fast-paced business environments, a poorly thought-out decision can cost a company time and money. So the ability to make critically-informed choices is crucial for modern finance professionals.5. FlexibilityFlexible employees are capable of weathering change and staying productive in high-pressure situations. Good stockbrokers provide the most dramatic example of this: their day-to-day work revolves around coping with constant fluctuation and determining the best course of action. However, cultivating a flexible mindset also means being able to see through the eyes of others and understand their motivations. A flexible finance professional will always ask: "Why might someone think this way?"6. ResilienceResilience refers to one's ability to bounce back after facing adversity. While this is an important skill in any workplace, it's especially important in high-pressure situations. Being able to cope with changing circumstances, having confidence in your ability to deliver and thinking carefully about what you're trying to achieve can prove valuable – particularly in financial roles.7. CollaborationIt's no secret that top-level financiers are on the lookout for team players. A recent survey by Adaptive Insights showed that 70% of chief financial officers considered collaboration to be their top priority for 2016. In the financial sector, it has become increasingly common to work across multiple teams and geographies to achieve a shared goal. Someone who approaches group-working scenarios with an open mind and a willingness to listen will benefit any team.8. Problem solvingEffective problem solvers identify the issue at hand, weigh up their options quickly and make a firm decision about the best course of action. Those who excel at problem solving can really drive an organisation forward and will earn the respect of their colleagues by offering meaningful input in even the toughest situations.9. DedicationDedication is fierce commitment without the expectation of returns. Rather than becoming overwhelmed by a single task, dedicated workers will devote themselves from start to finish. Discipline, hard work and acceptance of delayed gratification are key ingredients in developing the dedication mindset.10. EmpathyIt's a common misconception that roles focused on data and numbers require a detached approach – empathy should never be undervalued in finance. Clients often seek financial advice during stressful life events, and dealing with someone who has suffered a loss requires a different approach from a couple seeking their first mortgage.An empathetic person shows that he or she cares. In displaying understanding, finance professionals will also build trust in their relationships with co-workers and clients.It's not enough to simply tell an employer you have the soft skills they're looking for. Instead, strive to demonstrate your skillset by offering up examples from previous job roles and highlighting talents you've developed outside of the workplace. Remember, employers are always seeking the right personality for the job – not just a list of positions and qualifications.How to identify your own skills:Reflect on your reactions to tense situations at work and compare them to those of managers and co-workers you admire.Prepare answers to interview questions that screen for soft skills, such as those about workplace experience in problem solving and collaboration.Ask current or past colleagues to evaluate your strengths and weaknesses. They may be able to offer insights you hadn't previously considered.Consider your strengths in relation to the job you want to apply for so you can be confident about the criteria you already fulfil and areas that you can develop on the job.How to acquire new skills:Make a conscious effort to improve your soft skills every day – remember, they're attributes to develop, not innate qualities.Take up skill-building hobbies in your leisure time. Something as simple as a cooking class might prepare you to prioritise tasks and work under pressure.Ask for help and feedback from colleagues and senior staff in your workplace.Enrol in a course designed to build soft skills, such as those offered by Reed.