A few years ago, Iceland instituted a four-day work week. It’s gone off without a hitch and everyone’s been happier since. At least that’s the story that has spread through foreign media outlets.
The truth is much more complex. Firstly, it’s not a four-day work week, but a 4.5-day work week. Secondly, it technically only applies to public service workers. Thirdly, although preliminary data shows the shortened work week has had many positive impacts, there are still many kinks to work out in its implementation. And when we examine those kinks, we begin to realise that long working hours are only one of the challenges faced by Iceland’s labour market – and that the shortened work week is only one solution of many that will be needed in the coming years.