Tuesday, May 11, 2021
May 11, 2021

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Spain gives the 4-day work week a try

Move could result in increase in GDP and jobs, study finds

5 Photos
Waiter Sara Palacios prepares a coffee as she works at La Francachela restaurant in Madrid, Spain, Friday, March 26, 2021.
Waiter Sara Palacios prepares a coffee as she works at La Francachela restaurant in Madrid, Spain, Friday, March 26, 2021. (AP Photo/Manu Fernandez) (manu fernandez/Associated Press) Photo Gallery

MADRID — After years of waiting tables, Danae De Vries is one step closer to achieving her lifetime dream of becoming a theater coach.

Ironically, she owes that to the pandemic. It was after last year’s brutal lockdown that shut the Spanish economy down for weeks that the owners of a small restaurant chain in Madrid offered De Vries to cut her weekly work schedule by one day.

Already struggling to make ends meet in a city that has seen rental prices spiral, the 28-year-old was hesitant at first – and then enthusiastic when she was told her wages would remain untouched.

“Now I have time to work, to see my family and friends, and to find enough time to study,” she said. “It’s marvelous to have time, to not rush everywhere and find a bit of inner peace.”

A happier and more motivated De Vries is also better for her boss, Mar’ia ‘Alvarez, the entrepreneur who turned her two-restaurant business upside-down when she proposed rotational four-day week shifts. ‘Alvarez, a mother of two toddlers, and her startup partner at La Francachela had both struggled to keep the business going with no childcare support.

“There was a feeling that society had turned its back on families, that we had been betrayed,” explained ‘Alvarez. “As business owners, we had to come up with some solutions for our businesses, our employees and also for our personal lives.”

Experimenting with cutting back one workday per week is about to go nationwide in Spain – the first country in Europe to do so. A three-year pilot project will be using 50 million euros ($59 million) from the European Union’s massive coronavirus recovery fund to compensate some 200 mid-size companies as they resize their workforce or reorganize production workflows to adapt to a 32-hour working week.

The funds will go to subsidizing all of the employers’ extra costs in the first year of the trial and then reduce the government’s aid to 50 percent and 25 percent each consecutive year, according to a blueprint by the M’as Pa’is progressive party that’s behind the initiative.

The only condition is that the readjustment leads to a real net reduction of working hours while maintaining full-time contract salaries, explained H’ector Tejero, a lawmaker with M’as Pa’is in the Madrid regional assembly.

“It’s not using the European funds for Spaniards to work less; it’s about seeing how we can improve productivity and competitiveness of our companies,” said Tejero.

Arguments in favor of the move also cite benefits for the overall economy. A mass shift to a three-day weekend would lead to more consumption, especially in entertainment and tourism, a backbone of the Spanish economy.

Reducing work hours from 40 to 35 per week in 2017 would have resulted in a 1.5 percent GDP growth and 560,000 new jobs, a study published earlier this year in the Cambridge Journal of Economics found. Salaries would have also increased nationally by 3.7 percent, especially benefitting women who more often take part-time jobs, the research said.