Iceland has officially switched to a four-day workweek

Iceland became one of the first countries in the world to effectively implement a four-day workweek at the national level. At the same time, the country’s experience has debunked the widespread myth that reducing working hours necessarily harms the economy.

This is reported by HotNews.

According to official data, Iceland’s economy not only avoided a recession but also grew by 1.3% in 2025. In 2026, growth is projected to accelerate further to 3%, while the unemployment rate remains one of the lowest in Europe.

According to Eurostat, Iceland’s growth rate in 2025 exceeded that of a number of significantly larger economies, including Germany, Switzerland, Norway, France, and Italy.

The introduction of the new model was preceded by extensive research by the British think tank Autonomy and the Icelandic organization Alda. Their findings showed:

▪️ reduced stress and burnout among employees;
▪️ improved mental and physical health;
▪️ more time for family, leisure, and personal life;
▪️ increased labor productivity.

The transition to a shorter workweek began with pilot programs in 2015–2019, organized by the Reykjavík authorities and the Icelandic government. Over 2,500 employees participated—approximately 1% of the country’s population.

The experiment covered various sectors: from office work to schools, kindergartens, hospitals, social services, and the police.

The basic model involved reducing the workweek from 40 to 35–36 hours without cutting pay. To achieve this, organizations streamlined processes, reduced the number of meetings, and eliminated unnecessary tasks.

Researchers concluded that work efficiency depends not on the number of hours, but on work organization and employee concentration.

The article also notes that this model aligns with new trends in the labor market, particularly among Generation Z, which increasingly prioritizes a balance between work and personal life.

According to experts, Iceland’s success is already influencing discussions about reducing the workweek in the UK, Spain, New Zealand, and other countries.

Earlier, Mexico proposed ending the school year early due to the heat and the hosting of the 2026 FIFA World Cup. The idea has already sparked controversy: some parents support the changes, while others believe that education should not be adjusted to accommodate a soccer tournament.