Four-Day Work Week Means Navigating Overtime Pay, Union Talks

The four-day work week that’s gaining steam in pilot programs and fledgling legislative proposals yields workplace benefits but also potential employment law pitfalls.

A few dozen companies testing out a reduced work schedule found benefits both for businesses and the employees in initial results of a study released last month. The companies in the pilot ranged from a restaurant chain to a climate nonprofit to an RV builder—and at the end, not one opted to return to a regular five-day work week.

Employment lawyers say they are hearing more serious interest from businesses considering some version of a four-day ...