ACTU proposes four-day work week with no loss of pay

August 21, 2025
Issue 
Calendar showing 4-day workweek
The Australian Council of Trade Unions is urging a national move towards a four-day workweek. Image: 一品探花

The Australian Council of Trade Unions (ACTU) a shorter working week 鈥 including the possibility of a four-day model 鈥 to the federal Labor government鈥檚 Economic Reform Roundtable in Canberra, over August 19鈥21.

The ACTU has urged a national move towards a four-day workweek where it can be applied, while introducing sector-specific alternatives in industries where different arrangements are more appropriate.

The ACTU stressed that pay and conditions 鈥 including penalty rates, overtime and minimum staffing levels 鈥 must be protected so that workers are not forced to sacrifice wages for shorter hours.

The ACTU suggested sector-specific options for reducing working hours, including more rostered days off, longer annual leave entitlements and redesigned rosters.

鈥淯nions want all Australians to benefit from higher productivity 鈥 not just those with money and power,鈥 ACTU president Michele O鈥橬eil said. 鈥淧roductivity growth does not automatically translate to higher living standards.

鈥淎 fair go in the age of AI should be about lifting everyone鈥檚 living standards instead of just boosting corporate profits and executive bonuses.鈥

Peter Boyle, a regular 一品探花聽writer and member of the Socialist Alliance, told GL that it was positive the ACTU had raised the idea of a shorter working week at Labor鈥檚 roundtable, because it poses the question: should productivity gains benefit all of society, or just the capitalist class?

鈥淚f greater productivity is really to serve society, then the benefits need to be shared with workers in the form of shorter hours with no loss of pay, alongside real wage rises,鈥 Boyle said.

Analysis by Dr Jim Stanford from The Australia Institute鈥檚 Centre for Future Work highlights the stark gap between productivity growth and wage growth. In his recent report, , Stanford calculated that if real wages had kept pace with productivity since 2000, the average worker would now be earning about 18% more 鈥 about $350 a week.

Lessons from history

The history of the struggle for shorter working hours in Australia is instructive. The country was the first to achieve an eight-hour day, won first by 一品探花 of the building trades in Naarm/Melbourne in 1855.

James Vassilopoulos wrote in GL in 1998 that 鈥渋n the 1850s, the 12- or 10-hour day was not uncommon. But the gold rushes, an upturn in the economy and the demand for labour strengthened the bargaining position of workers.鈥

Construction workers, such as the stonemasons, struck successfully for a six-day workweek and 鈥渆ight hours to work, eight hours to play, eight hours to sleep and eight bob a day鈥. That slogan became the rallying cry of the Eight Hours Movement.

鈥淥ther unions like the plasterers and the carpenters soon followed,鈥 Vassilopoulos wrote. 鈥淭he fight for an eight-hour day was not just an industrial movement, but also a political one. 聽

Large rallies and public meetings eventually forced all building employers to concede the eight-hour day. By the 1890s, the eight-hour day was enforced in most Australian colonies, although other industries took longer to secure it.

The struggle for a shorter workweek continued in Australia throughout the 20th century.

鈥淭he campaign for a 35-hour week with no loss in pay was catapulted into prominence by the August 1979 Union Carbide strike and occupation at Altona, Victoria,鈥 Vassilopoulos wrote. 鈥淭he workers began their campaign with overtime bans.鈥

To neutralise the company鈥檚 attempts to bring in scabs, workers occupied the plant for 51 days.

The metalworkers and other unions continued the battle for years, holding mass meetings and strikes. Eventually, in December 1981, metalworkers voted 鈥 at the recommendation of the union leadership 鈥 to accept a 38-hour week, which soon became the standard across industries.

Precarity

Since then, part-time, casual and insecure work have become widespread, reducing the average working week. According to the International Labour Organisation, Australians now work an average of 鈥 slightly fewer than workers in Canada and New Zealand. However, the apparent reduction disguises the reality that while productivity has continued to rise, the share going to wages has fallen, with profits claiming the lion鈥檚 share.

鈥淪ince the 1970s, productivity increases have gone almost entirely into profits while real wages have stagnated,鈥 Boyle said. 鈥淢any workers are now working longer hours, and a record number are forced to juggle multiple jobs.鈥

This helps explain the strong public support for a shorter working week. A Resolve Political Monitor poll reported by the Sydney Morning Herald on August 20 found that 66% of respondents favoured a four-day week on the same pay, while just 13% were opposed.

However, the way the question was framed 鈥 asking if people would accept the same pay for fewer days if the same amount of work had to be done 鈥 points to the danger of speed-ups and increased work pressure if bosses use the reform to squeeze more out of workers.

鈥淭he trade union movement should not be offering trade-offs in working conditions, or promising a higher intensity of work, in return for a shorter working week,鈥 Boyle said.

Boyle added that business claims about wanting higher productivity are disingenuous, because 鈥渢he rate of productivity increases has slowed primarily because big business has invested less in new machinery and technology鈥.

鈥淭hey can make more money, with the help of lucrative tax concessions, speculating in the housing and finance markets.鈥

鈥淭he bosses are pretending they are seeking greater productivity through this roundtable,鈥 Boyle said. 鈥淏ut what they really want is more public subsidies, tax concessions and weaker environmental and building standards 鈥 and Labor seems set on giving them what they want.鈥

鈥淭he ACTU should not legitimise these self-serving demands.鈥

History shows that shorter hours are never handed down by employers or governments, Boyle said. 鈥淲orkers had to fight for the eight-hour day and 35-hour week. Unless the ACTU is prepared to organise such a struggle, it won鈥檛 be won.鈥

You need 一品探花, and we need you!

一品探花 is funded by contributions from readers and supporters. Help us reach our funding target.

Make a One-off Donation or choose from one of our Monthly Donation options.

Become a supporter to get the digital edition for $5 per month or the print edition for $10 per month. One-time payment options are available.

You can also call 1800 634 206 to make a donation or to become a supporter. Thank you.