California is leading the way in making the four-day work week a reality. The members of the State Assembly propose a bill that will create shortened weekly work for non-union, part-time employees in companies with 500 or more employees. The bill, author of Asm. Evan Low and Asm. Cristina Garcia is currently on the committee. It is similar to a federal bill proposed by MP Mark Takano, also from California, which is currently awaiting a vote in the House Education and Labor Committee. Low told Insider that support for Takano’s bill inspired some of the bill: “As we emerge from the COVID pandemic, I’m excited about how we are repeating our workforce as we raise the voices of workers to return to “Labor market in response to the Great Resignation,” Lowe said. Garcia told Insider that now is the perfect time to talk about a reduced work week, especially as labor shortages continue across the country and companies are beginning to experiment with the idea. “Two years into this pandemic, you see for a moment workers leading the change and workers rethinking what they think the work-life balance should be,” Garcia said. It could take years for a proposed bill to become law, but “there has been a lot of excitement lately now that this bill has been introduced out there,” Garcia added. AB 2932 would change state law and shorten the working week to 32 hours, but would compensate employees with a similar salary. Employees who work more than 32 hours will receive overtime 1.5 times their hourly wage. Companies around the world have tried or embraced the 4-day work week, such as Microsoft, which reported a 40% increase in productivity, and Buffer, which found that employees were less likely to burn out. Iceland also had a 4-day workweek test, which was so successful that 86% of the country’s workforce moved to a smaller weekly workforce.
Critics say he is a “labor killer”
Ashley Hoffman, a policy advocate for the California Chamber of Commerce, said in a letter to Low that the bill was a “labor killer” and would incur additional costs for employers. “The impact of AB 2932 on labor costs in California will discourage job growth in the state and likely reduce job opportunities,” Hoffman wrote. Commenting on Insider, a Chamber of Commerce spokesman said they could not support a proposal that “requires employers to pay for 32 hours of work at the rate they currently pay for 40 hours of work per week”. Garcia said that while labor costs are a concern, she believes a bill targeting larger companies would help protect smaller businesses. In addition, he said, boosting employee morale through a shortened work week could help hire and retain companies. “Especially if you see more productivity, you see less wear and tear, these are all good things for companies,” Garcia said. “All of these things really help.” Garcia hopes that as the debate on the bill progresses, other states will look to California as an example. “We like to say if California goes, the nation will go,” Garcia said.
