Laboring One Less Day: Will the Three-Day Weekend Become Standard? – Presented by Mark K. Lund, Utah Financial Advisor

Financial Advisor UtahThis Labor Day, as we enjoy our extra day of leisure (or intense yard work for some), we should remember that the standard two-day weekend we take for granted is not even a hundred years old.

In 1926, the Ford Motor Company began a revolutionary new work schedule, where employees were given both Saturday and Sunday off. The company was the first major American manufacturer to do so.1 Henry Ford’s intentions for this change weren’t entirely altruistic. He’d seen reports that smaller companies which had experimented with the five-day work week had experienced a boost in productivity.

The first widespread practice of taking a day off each week was officially implemented by Roman Emperor Constantine in the 4th century AD. He syncretized the Judeo-Christian Sabbath (our Saturday) with the pagan day for the sun god Sol, which gave us our modern Sunday.

This six-day work week was the standard for the next 1400 years until factory workers in both America and Britain began taking matters into their own hands with the observance of “Saint Monday.” By the mid-19th century so many workers were recovering from their Sunday hangover by skipping work on Monday, that their employers were forced to act.

“Partly out of desperation,” writes historian Amanda Foreman, “British factory owners began offering workers a half-day off on Saturday in return for a full day’s work on Monday.” Rail companies supported this initiative by offering cheap Saturday excursions.

By the 1870s the term “weekend” was in popular use. And fifty years later companies like Ford began giving all of Saturday off.

One of the benefits of giving workers the weekend off, in addition to improved productivity, was that it also gave them the time to spend their wages on leisure activities. This in turn boosted the economy, creating more demand for the goods they were producing.

Today there’s a growing movement to shift to a four-day work week. And there have been several large-scale studies to test its feasibility. One of these, conducted recently in the U.K., involved 70 British companies and more than 3,300 workers.2 After six months the study found that while some companies faced challenges implementing the new schedule, only a few experienced a loss of productivity. 46% of respondents reported that productivity stayed about the same. 34% reported that it improved slightly. And 15% said it improved significantly.

When workers have an additional day to take care of personal matters and recuperate, they seem to become more productive and engaged.

Researchers report that companies that have a good understanding of their internal processes and what their employees actually do each day have a much easier time transitioning to the shorter schedule. As popular demand for the four-day work week grows, companies that offer it will have an advantage when competing for workers.

So, until the three-day weekend becomes standard, we hope you enjoy the upcoming one we call Labor Day by getting a chance to relax and recharge.

If you ever have any questions about your investments or retirement plans, please feel free to give me a call at 801-545-0696.

Mark Lund
Stonecreek Wealth Advisors, Inc.
11576 S State Street, Bldg. 1002
Draper, UT 84020


This information should not be construed as investment, tax or legal advice and may not be relied on for the purpose of avoiding any Federal tax penalty. All information is believed to be from reliable sources; however we make no representation as to its completeness or accuracy. All economic and performance data is historical and not indicative of future results. Market indices discussed are unmanaged. Investors cannot invest in unmanaged indices. The publisher is not engaged in rendering legal, accounting or other professional services. If assistance is needed, the reader is advised to engage the services of a competent professional. This material was prepared by Efficient Advisors, LLC (“EA’) for Mark Lund, Mark is a Financial Advisor in Utah. He is known as a Wealth Advisor, The 401k Advisor, Investor Coach, Financial Planner, Investment Advisor and author of The Effective Investor. Mark offers investment advisory services through Stonecreek Wealth Advisors, Inc. a fiduciary, independent, fee-only, Registered Investment Advisor firm providing investment management and retirement planning for individuals and 401k consulting for small businesses. Mark’s newsletter is called The Effective Investor Newsletter. Cities served in Utah are: Salt Lake City, Salt Lake County, Utah County, Park City, Murray City, West Jordan City, Sandy City, Draper City, South Jordan City, Provo City, Orem City, Lehi City, Highland City, Alpine City, American Fork City. The views expressed herein are exclusively those of Efficient Advisors, LLC (‘EA’), and are not meant as investment advice and are subject to change. All charts and graphs are presented for informational and analytical purposes only. No chart or graph is intended to be used as a guide to investing. EA portfolios may contain specific securities that have been mentioned herein. EA makes no claim as to the suitability of these securities. Past performance is not a guarantee of future performance. Information contained herein is derived from sources we believe to be reliable, however, we do not represent that this information is complete or accurate and it should not be relied upon as such. All opinions expressed herein are subject to change without notice. This information is prepared for general information only. It does not have regard to the specific investment objectives, financial situation and the particular needs of any specific person who may receive this report. You should seek financial advice regarding the appropriateness of investing in any security or investment strategy discussed or recommended in this report and should understand that statements regarding future prospects may not be realized. You should note that security values may fluctuate and that each security’s price or value may rise or fall. Accordingly, investors may receive back less than originally invested. Investing in any security involves certain systematic risks including, but not limited to, market risk, interest-rate risk, inflation risk, and event risk. These risks are in addition to any unsystematic risks associated with particular investment styles or strategies.