We’ve all heard the saying “time is money,” but is it actually true? In 2021, the productivity vs. hours worked debate reached new heights as more than 47 million Americans walked away from their jobs last year.
Time is more valuable today than ever — and that’s why employees are questioning the number of working hours needed to increase productivity levels.
It’s no secret that COVID-19 has driven us to change the way we work. Both employees and employers are still trying to figure out how to evolve workplace culture post-pandemic.
In this post, we’ll look at how prolonged work hours and shortened workdays affect employee productivity. We’ll also go over some pointers on being more productive in less time.
As a manager, you want your team to be as productive as possible But how do you accurately measure productivity? And does putting in more hours really equal better results?
These questions have puzzled managers for ages. And they’ve become even more difficult to answer as more companies shift to remote work. When employees work from home, it’s tempting to assume longer hours mean higher productivity. But the research doesn’t back this up.
In this article we’ll break down the complex relationship between employee productivity and hours worked. You’ll learn
- Why hours worked is a flawed metric for productivity
- The real drivers of productivity (hint: it’s not just time spent)
- How to effectively measure and improve productivity
- The right balance between work and rest
Let’s dive in!
Why Hours Worked Is a Flawed Productivity Metric
Many managers assume that more hours logged at work means more output. Seems logical, right? The more time you put in, the more work you can get done.
But multiple studies reveal the opposite is often true:
- Research from Stanford shows productivity declines sharply when working more than 50 hours per week [1].
- A study of factory workers found reducing hours from 55 to 40 per week increased productivity by 14% [2].
- The IG Metall union in Germany successfully campaigned for a 28-hour workweek. The result? Higher productivity and greater worker satisfaction [3].
Why does this happen? There are several reasons:
Fatigue Sets In
We all have a limited capacity for productive mental effort. After a certain point, fatigue sets in. Our concentration goes, creativity dwindles, and we start making mistakes. Long hours simply aren’t sustainable over weeks and months.
Motivation Plummets
Even if you can force yourself to work longer, motivation and morale take a hit. Do you really want to go the extra mile when you already feel burnt out? Unlikely.
Life Balance Suffers
With no time for family, friends, hobbies, exercise, etc., our overall well-being deteriorates. This creeping unhappiness makes it harder to feel engaged and inspired at work.
Depth Beats Width
More hours doesn’t automatically mean better output. You could work 60 hours a week but spend half that time distracted or inefficient. Better to go deep on the most essential priorities.
Clearly, hours worked has major flaws as a productivity metric. So what really drives productivity?
The Real Drivers of Productivity
Many factors influence how productive we are in a given period:
Energy Levels
Ever notice how you get more done on some days than others? When we feel alert and energetic, it’s easy to enter that coveted state of flow. But when tired or distracted, even simple tasks become a slog.
Make sure you balance periods of intense focus with proper breaks and recovery time. Don’t burn the candle at both ends.
Tools & Processes
With the right systems and tools, you can work smarter not harder. Automate rote tasks that eat up your time. And use apps like Slack, Trello, and Zoom to collaborate more efficiently.
Take time to regularly evaluate and optimize your workflows. Are you using the best tools for the job? Is there any wasted effort you could eliminate? Even small tweaks can boost daily productivity.
Goals & Priorities
It’s hard to work efficiently without clearly defined goals and priorities. You end up bouncing between tasks or getting distracted with busywork.
Set concrete goals for what you want to achieve today, this week and this month. Then prioritize tasks accordingly, focusing your time where it really counts.
Environment
Where you work has a big impact. A noisy open office can torpedo concentration. While a comfortable, inspiring space keeps you in the zone.
Figure out your optimal working environment and make adjustments. Could you use noise-cancelling headphones or work remotely once a week? Even small environmental tweaks can enhance focus.
Mindset
Your mindset is like the operating system that runs in the background, shaping everything you do. When engaged and positive, even mundane tasks seem interesting. But when bored or unhappy, motivation evaporates.
Focus on taking care of yourself and cultivating positive emotions and engagement. Make sure you find meaning and enjoyment in your work. Your mindset determines your productivity ceiling.
How to Effectively Measure Productivity
If hours worked is an ineffective metric, then how should managers measure and track team productivity?
Here are some better approaches:
Set Clear Goals
Define what success looks like upfront by setting clear, measurable goals. Rather than a vague “do your best”, opt for concrete targets like “Increase sales by 10% this quarter”.
With a well-defined finish line, it’s easier for employees to prioritize effectively and pace their efforts appropriately.
Emphasize Quality Over Quantity
Judge work by the quality of output, not just the volume. Completing 50 reports is pointless if they are riddled with errors and omissions.
Provide quality standards and frameworks upfront to align on expectations. Track both quantitative metrics and qualitative feedback to get the full picture.
Regular 1-on-1s
Check in regularly with employees about their workload and progress on goals. Is anything blocking them from optimal productivity? Are adjustments needed?
1-on-1 meetings build trust and provide opportunities for managers to coach employees on maximizing their time and output.
Random Sampling
For knowledge workers, evaluate random samples of their output rather than every single thing produced. This prevents needlessly cutting into their workflow while still providing helpful feedback.
Benchmark Progress
Look at key metrics over time to identify positive or negative trends. Is production speed increasing each week? Is error rate declining month-over-month?
Comparing against past performance provides context beyond daily fluctuations. The focus should be on continual improvement.
Striking the Right Work-Life Balance
While productivity matters, we don’t want to promote an “always on” culture that burns people out. Employees need ample time to recharge and pursue personal interests.
Here are some tips for striking the right balance:
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Encourage employees to take breaks throughout the day and disconnect outside work hours. Make sure teams take their vacation time.
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Offer flexible schedules so employees can adjust start and finish times as needed. Don’t demand strict 9-5 hours.
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Measure performance based on goals met and quality of output, not face time in the office.
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Lead by example. Make sure managers don’t send emails late into the night or on weekends.
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Promote remote work and compressed 4-day weeks. More flexibility often leads to higher engagement.
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Foster a culture that values balance and sustainability over short-term gains. Make health a priority.
The goal is maximum productivity within a sustainable framework – not burning out your team chasing marginal gains. With the right balance, employees will be energized to do their best work when it matters most.
Key Takeaways
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Hours worked is a flawed metric for productivity. More time does not automatically equal better results.
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Energy, focus, tools, goals, environment and mindset are key drivers of productivity. Optimize these first.
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Set clear goals, emphasize quality over quantity, benchmark progress, and use 1-on-1s to effectively measure productivity.
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Promote work-life balance through flexibility, leading by example, and championing sustainability. Prevent burnout at all costs.
Stop equating hours worked to productivity. Focus on nurturing high energy, engagement and smart workflows instead. Your team will get more done in less time.
What do you think? Do you use hours worked to measure productivity? What other methods have worked well for you? Share your experiences in the comments below!
References
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Does working shorter days equal higher productivity?
Research shows that working shorter hours can reduce burnout and boost employee well-being and productivity. Several countries have experimented with shorter workweeks to test this concept.
There are thousands of companies that have adopted the reduced workweek model. The significant benefit here is the three-day weekend. A three-day weekend will likely boost full-time team members’ morale and help them find a better work-life balance.
Rather than keeping the workweek at 40 hours over four days, most employers lower it to 32 hours over four days. Companies like Kickstarter and Microsoft’s Japanese team have begun embracing this model. In fact, Microsoft increased productivity by 40% by moving to a four-day workweek in 2019.
The Wanderlist Group and Buffer are also on a four-day workweek. All are reporting sustainable or increased productivity while working less.
Iceland lowered government employees’ work hours from 40 to 35 or 36 hours as part of the world’s largest trial of the shorter work time. The study looked at 2,500 city and national government employees in Reykjavik from 2015 to 2019.
As a result:
- Stress and burnout decreased
- Employees reported better work-life balance
- Productivity remained stable and even improved for some teams
Following the success in Iceland, trade unions negotiated permanent reductions in working hours, with roughly 86% of Iceland’s working population now implementing shorter work schedules or acquiring the right to do so.
There’s a movement underway across the world. Perks like remote work, flexible hours, and four-day workweeks pop up in job postings to help employers stand out during the Great Resignation, also known as the “The Great Reshuffle.”
It’s what LinkedIn’s 2022 Global Talent Trends report calls a “watershed moment” for company culture. Employees are demanding (and often receive) more freedom in company policies regarding work hours and remote work.
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It’s worth remembering that in 1940 the 40-hour workweek became law in America. Previously, it was common to work 70 or more hours per week.
This might seem like a case for continuing to shorten work hours, but we’ll do our best to make a case for each.
Long work hours and productivity
What is the difference between productivity and hours worked?
Productivity is a measurement of how much output an employee produces during a certain period, whereas hours worked is a measurement of how long they worked. For example, you can look at how many units an employee produced during an eight-hour shift to determine how productive they were.
Does working hours make a person more productive?
Moreover, measuring productivity solely on hours worked doesn’t always guarantee the quality of work. An employee who spends eight hours on a task but produces subpar work is obviously not more productive than an employee who completes the same thing in four hours but produces high-quality work.
How does a higher hourly wage affect productivity?
A productivity increase which leads to a higher hourly wage may affect hours worked through two channels: an income channel (hours worked decrease when productivity increases) and a substitution channel (hours worked increase). The number of hours worked per worker could itself affect productivity per hour.
Should you equate hours with productivity?
Liane Davey, cofounder of 3COze Inc, adds, “It’s important to make sure your employees understand you don’t equate hours with productivity.” The best way to do this, she says, is to praise openly strong performance, irrespective of hours worked.
