What are the impacts on well-being and climate change of a four-day workweek for The Netherlands?

Abstract

The time we spend on activities has consequences for consumption and related emissions. A four-day workweek is assumed by some to have an improved effect on well-being and reducing emissions, however, the consumption from additional leisure time could counteract the benefits. Therefore, this research looks at the impact of a four-day workweek on well-being and climate change for The Netherlands. Time-use survey data and Environmentally Extended Multi-Regional Input-Output (EE MRIO) consumption data for full-timers are linked to create carbon footprints per activity. Well-being data is added to also see what the effects of a change in time-use on consumption, its emissions, and happiness are. Five leisure time scenarios are picked to predict the consequences of a four-day workweek, with a sixth control scenario, being working one day from home.
The findings of this research are that changing towards a four-day workweek could increase well-being in all investigated scenarios. Household emissions are also increasing for all scenarios, however, if the intermediate emissions for commuting are taken into account, ‘Relaxing’, ‘Media’, and ‘Working from home’ show positive monetary results, while only the latter shows positive environmental results. The higher emitting scenarios of ‘Social contact’, ‘Sports’, and ‘Holiday’ are also intertwined with high costs, making it difficult to pursue continuously with average budgets. Reducing wages could be a consequence of decreasing work hours, which will lead to a decrease in consumption and their emissions already at a few percent. Whether a reduction in work hours is favourable for the competitive position on the global market is up for debate.
A mix of multiple scenarios is likely to be the real-world result, but this research has the potential to aim individuals toward a less costly, higher well-being, and more sustainable mix. Policymakers could use this consumption/time-use matrix to calculate their predicted scenarios to see whether to pursue the four-day workweek. The results of their input can in addition be used to steer society towards higher well-being and fewer emissions by promoting low carbon-intensive activities and demoting high carbon activities, which are usually involved with large travel distances. Lowering wages seems to be the most effective in reducing emissions, however, the effect on well-being of this sanction is not known. ‘Working from home’ is found to have both positive impacts on climate change and well-being.