Launceston set to be Australia’s first four‑day week council
TASMANIA, AUSTRALIA — Launceston City Council is poised to become Australia’s first government body to implement a four-day work week at full pay, pending a staff vote.
According to the Australian Broadcasting Corporation News (ABC News), the agreement, reached in principle between council management and the Australian Services Union, would see 600 eligible full-time employees work 30.4 hours over four days while retaining their full-time salaries, with the new conditions set to begin in July 2026 if approved.
Four-day week plan cuts hours, keeps full pay
The council’s proposal sets a fundamental redefinition of the public sector work model, positioning it as a necessary transformation for employee well-being and organizational performance.
In a separate report by News.com.au, City of Launceston Chief Executive Sam Johnson described the enterprise agreement as “a bold and progressive proposal that [recognizes] the changing nature of work and the importance of wellbeing, productivity and sustainability in the public sector.”
He points out that it is a direct, immediate response to the modern challenges of employee recruitment and retention, and that it is only ignorant to ignore this opportunity, since other historical developments in industries have already occurred, including the 38-hour work week.
Johnson underlined that the proposal, created in partnership with the Australian Services Union, will help address attraction and retention issues by providing a highly attractive work-life balance.
The council envisions staggered days off between teams, and the move is not projected to lead to a noteworthy rise in contractor or overtime dependency, so it is presented as a sustainable and visionary measure rather than a reduced schedule.
In another report by the Australian Financial Review, Innes Willox, Australian Industry Group chief executive, notes, “While businesses can and should [organize] their employment arrangements to suit their needs, the suggested shift in Launceston would set a very risky precedent not just for local governments around the country but also for industry generally.”
Business groups warn of costs, slower council services
The resistance of the local business community presents a major counterargument, grounded in concerns about higher costs and reduced public services.
Tasmanian Chamber of Commerce and Industry Chief Executive Michael Bailey expressed serious concern, simply stating that the plan would be a 20% reduction in hours to the same pay.
He warned that ratepayers and small businesses would view it as an unjustified pay rise for council staff with no clear community return, potentially leading to higher rates, fees, or charges to cover the difference.
Bailey argued, “Council is a monopoly provider of essential regulatory services — businesses can’t shop around for a faster planning department.”
“If service slows down, projects are delayed, costs blow out, and investment is put at risk.”
In addition, he charged the council with wedging local businesses by instituting an employment standard that most small and medium enterprises could not meet, thereby creating uneven competition and differences in operations in the local economy.
Four-day week pitched as talent and gender equity win
The proposal outlines a strategic response to the widespread labor-market challenges by capitalizing on innovative opportunities to address staffing deficits.
According to Australian Services Union Tasmanian Branch Secretary Tash Wark, the vast majority of union members approved of the agreement, saying, “This is a collaborative effort to address attraction and retention challenges, and the union is pleased this is a solid commitment from council.”
She highlighted that this state of affairs is very enticing to individuals who desire that groove in life, which means the policy is a direct weapon to win and inspire employees in a competitive world.
The idea was welcomed by residents such as Josie Murray, who said the model is valid if employees can continue to achieve the same KPIs and offer the same service. It is working, particularly in providing flexibility to an increasing number of female employees.
She also adds its benefits to mothers, saying, “There’s a more female workforce than there has been ever before, so to provide that flexibility I think is a good idea.”
This view aligns with the council’s reasoning that productivity and service delivery are either sustainable or improved with the reduction of the work week, and that the reform is more of an adaptive increment in response to societal transition toward work-life balance and modern workforce demands.
“A four-day week on full pay with improved allowances and leave entitlements would deliver real benefits for our people as well as improved service delivery for the community we serve,” Johnson said.
Beyond a simple schedule change, the vote represents a fundamental test of whether a shorter workweek can shift from a private-sector perk to a sustainable new standard for public service.
