Mandatory Five-Day Workweek: A Fix for Construction?

Mandatory Five-Day Workweek: A Fix for Construction?

Construction workers are no strangers to long hours and tight deadlines. 

Researchers from the University of Technology have crunched the numbers:

  • Four in 10 workers exceed a five-day workweek
  • More than a quarter clock 55+ hours weekly, and
  • A staggering 37% are ‘on the tools’, so to speak for more than 10 hours a day.

The pressure is immense to deliver on Australia’s $230 billion infrastructure pipeline and 1.2 million new homes. 

Could a mandatory five-day workweek improve work-life balance and make the industry more attractive to a diverse range of potential workers? Could it help with staff and skills shortages? A shorter workweek might be a solution, but, as this article explains, it raises plenty of questions.

Construction workers are no strangers to long hours and tight deadlines.

Challenges of Rolling Out a Five-Day Workweek

At first glance, a five-day workweek seems ideal. But significant challenges exist for the construction sector. Extending project timelines by 5–25% and increasing costs by up to 4% are likely and significant concerns. Subcontractors often underprice five-day projects by up to 20%, suggesting an industry-wide mandate could escalate costs further.

What about employers? Absorbing these extra expenses may not be feasible. Workers, meanwhile, might baulk at accepting less pay alongside demands for higher productivity during the week. 

Balancing these interests is difficult, particularly for workers managing family and caring responsibilities who need flexibility.

Potential Impacts on Work-Life Balance

Potential Impacts on Work-Life Balance

Those pushing the five-day model highlight these benefits: 

  • A clearer separation between work and personal life, and 
  • Overwhelming support from workers for shorter working weeks. 

However, younger and less experienced workers may face challenges managing heavier workloads to compensate for lost time. Women in the industry, especially those balancing caregiving responsibilities, might resist the reduced flexibility in their work schedules.

Exploring Other Solutions

A five-day work week is just one solution. These solutions might suit your SME:

  • Flexible working arrangements, allowing workers to control when and how tasks are completed
  • A ‘soft’ five-day week, keeping sites open on weekends for optional work, is another option
  • Job sharing and rotational shifts
  • Digital workforce management tools – platforms to assign tasks more efficiently and optimise employee allocation, and
  • Compressed work weeks – such as four 10-hour days.

And here’s a bonus one – artificial intelligence (AI). Research shows careful AI implementation and management can potentially transform the construction sector and help you meet sustainable development goals. AI can integrate data from diverse sources, such as drones, BIM models and historical project data. Harnessing machine learning and AI algorithms can boost supervised, unsupervised, and reinforcement learning. Edge computing is advancing to reduce latency and bandwidth limitations, enabling real-time analytics Collaboration between human expertise and AI tools can enhance the interpretation of AI-generated insights and improve decision-making on construction projects. Other real-time applications of AI in construction include predictive maintenance, safety monitoring, resource optimisation, and quality control.

These strategies might ease the tension between project deadlines and worker well-being while keeping costs manageable. 

Insurance and Risk Management Considerations

Long working hours significantly heighten the risk of workplace injuries. Fatigue and reduced focus caused by extended shifts can increase the likelihood of errors, leading to injuries or even damage to third-party property. In such scenarios:

  • Workers’ Compensation Insurance provides protection for employees, covering medical expenses, rehabilitation costs, and lost wages resulting from workplace injuries.
  • Public Liability Insurance safeguards businesses against claims from third parties for property damage or personal injury caused by workplace incidents.

As well, compressed schedules may cause staff and contractors to rush tasks, leading to accidents. And, if your work schedule is straining subcontractor relationships, expect possible contractual disputes, further complicating risk management. This may be covered by a management liability policy.

Achieving balance is crucial. Enhanced flexibility and work-life balance may reduce employee turnover and safeguard your investment in training and development. As your broker or adviser, we can review your policies to ensure they align with the unique needs of your business and can help mitigate potential risks linked to morphing work schedules.

Insurance and Risk Management Considerations

Making the Best Move for Your Business

So, while the five-day-workweek model promises benefits, its feasibility depends on your business’s ability to manage costs, timelines, and worker satisfaction. Explore flexible approaches to understand the associated risks. Such an assessment can guide you toward solutions that work for your team.

We’re here to tailor your insurance coverage to reflect these changes, addressing liability, workers’ compensation, and contractual risks. Reach out to us to discuss the best strategies to protect your operations while supporting your workforce.