What Would a Four-day Work Week Cost Finnish Exports? Factor Prices and Export Price Competitiveness

Markkanen JaakkoSiikanen MarkkuValmari Nelli

Abstract

We assess what a four-day, 32-hour work week would cost Finland’s goods exports across nine large commodity markets. Absent a productivity gain that offsets the lost hours, it would cut export revenue substantially, by about €2.4 billion (-6.4%) over the sample period. In capital-intensive industries the cost increase could, at worst, push the least profitable producers out of the market. As a benchmark, we also assess the effects of Finland’s 2017–2019 Competitiveness Pact (kiky), which raised export revenue in these markets by about €239 million (+0.6%). The Sipilä government’s original, more ambitious package would have raised it even further, by roughly €442 million (+1.2%).

Publication info

Results of research
How to boost the competitiveness of Finland's export industry?
Research group
Growth, international trade and competition
Series
ETLA Muistio - ETLA Brief 184
Date
15.06.2026
Keywords
Four-day work week, Working time, Exports, Price competitiveness, Cost policy
ISSN
2323-2463
JEL
F12, F14, J22, L11, L52
Pages
8
Language
Finnish