Employers guide to using compressed hours

Flexible working comes in many forms, and compressed hours is one of the lesser-known—but highly effective—options. If you’re looking to boost productivity, improve work-life balance, and retain top talent, compressed hours might be worth considering.

Here’s everything you need to know as an employer in the UK.

What are compressed hours?

Compressed hours are one example of a flexible working hour arrangement, they allow an employee to work their full contracted hours over fewer days.

For example:

• Instead of working 5 days a week an employee might have a 4-day work week and have the 5th day off.

• A full-time employee on a 37.5-hour contract could work 9.5 hours Monday to Thursday and finish at lunchtime on Friday.

The total number of hours worked remains the same—it’s just the schedule that’s different.

Why offer compressed hours?

There are benefits for you and your employees should you choose to use compressed hours. Let’s take a look at both:

Benefits for employers

• Improved employee morale and wellbeing

• Increased productivity from more focused workdays

• Enhanced retention and recruitment appeal

• Potential for extended business hours without increasing headcount

• Reduced absenteeism, thanks to better work-life balance

• Cost savings from fewer on-site working days (Utilities and equipment use

• Helps future proof your business with modern agile work practices

Benefits for your employees

• Better work-life balance

• Reduced commuting time and costs

• More flexibility to manage personal responsibilities

Disadvantages of compressed hours

While compressed hours offer clear benefits, they aren’t without drawbacks. It’s important to consider the potential challenges before rolling them out.

Potential challenges for employers

• Inconsistent availability may affect team collaboration of customer service

• Not all roles are compatible with compressed hours

• More complex scheduling and management for teams with varied working patterns

• Possible perception of unfairness if not all employees can access the same flexibility

Potential challenges for your employees

• Extended shifts can be mentally and physically draining

• Work-life balance may suffer if longer days cut into personal time

• Compressed schedules can limit opportunities for ad-hoc collaboration or training

Is there a legal requirement to offer compressed hours?

No—there’s no legal obligation to offer compressed hours. However, under the Employment Relations (Flexible Working) Act 2023  all employees have the right to request flexible working from their first day of employment.

Meaning you must handle the requests in a reasonable manner and can only refuse them for one of the statutory reasons set by the government. For example, it will have an impact on performance, cost, or customer demand.

It’s important to note that under the Act your employees’ may not necessarily request just compressed hours but any type of flexible working arrangement.

How to implement compressed hours in the workplace

If you’re considering introducing compressed hours, here’s a step-by-step guide:

Step 1: Identify suitable roles

Not every job is suited to compressed hours. Think about:

• The level of autonomy an employee has

• The need for consistent coverage (customer service roles)

• Whether tasks can be completed in longer, fewer shifts

Step 2: Create a policy

Even if you’re only trialling compressed hours, it’s worth having a clear policy that outlines:

• How to request

• The approval process

• How compressed hours will be monitored and reviewed

• Any impact on pay, overtime, or benefits (usually there is none)

If you need help creating your policy, check out BrightBase, our HR document library packed with resources and templates to use.

Step 3: Trial and monitor

Start with a pilot. Trial compressed hours for a set period (3 months), and assess:

• Productivity and output

• Team collaboration and communication

• Employee satisfaction

• Any logistical or operational issues

Step 4: Keep it fair and transparent

To avoid accusations of favouritism, be clear about your criteria for approving compressed hours. Document everything and ensure line managers are trained to handle flexible working requests fairly.

Step 5: Update employment contracts if needed

If compressed hours become a permanent arrangement, update employment contracts or issue a variation letter to reflect the agreed hours and working pattern.

It’s always a good idea to seek employment law advice, when making any changes to employment contracts.

Common compressed hours patterns

• 4-day week: Full-time hours split across Monday to Thursday

• 9-day fortnight: Employees work longer days to earn every other Friday off

• Staggered patterns: Useful for teams covering extended hours without overtime

You can also combine compressed hours with hybrid or remote working for even greater flexibility.

How to schedule compressed hour shifts effortlessly

Compressed hours offer a flexible, modern way of working that can benefit both businesses and employees. With the right structure, clear policies, and a bit of trial and error, they can become a valuable part of your workplace culture.

If you’re looking to modernise your approach to work or boost employee satisfaction, compressed hours might be the perfect fit.

And to make scheduling a breeze, because who needs more headaches? Discover BrightHR’s shift and rota planner. Designed to take the stress out of creating rota for any working pattern. It will help you keep tabs on hours and make sure everything runs like clockwork. Basically, it's about working smarter, not harder.