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35-Hour Work Week – Definition, Benefits & Practical Tips for HR

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35-Hour Work Week – Definition, Benefits & Practical Tips for HR

The 35-hour work week is a working time model in which employees work 35 instead of the usual 40 hours per week – often with full wage compensation. In Germany, it is primarily established through collective agreements in the metal and electrical industry, where it counts as full-time employment. Studies show that shorter working hours can increase productivity, improve work-life balance, and position companies as attractive employers.

What Is the 35-Hour Work Week? – Definition

The 35-hour work week refers to a working time model in which the regular weekly working hours amount to 35 hours. Compared to the classic 40-hour week, this represents a reduction of five hours per week – in a 5-day model, this corresponds to seven hours of daily working time.

What makes it special: In collectively bargained industries such as the metal and electrical industry, the 35-hour week is granted with full wage compensation. This means the monthly salary remains the same, even though fewer hours are worked. The hourly wage increases accordingly – from, for example, 7 euros to 8 euros per hour.

Unlike part-time work, which is individually negotiated and often involves salary reductions, the collectively agreed 35-hour week counts as a full-time position with all rights and entitlements.

History: From the 1984 Strike to Today

The IG Metall Struggle

The 35-hour work week traces back to one of the toughest labor disputes in German post-war history. In spring 1984, employees in the metal and printing industries went on strike for seven weeks under the motto "More time to live, love, laugh." The IG Metall union demanded a reduction of working hours from 40 to 35 – both to improve the living conditions of employees and to create jobs for the then 2.5 million unemployed.

The strike ended with a compromise: Weekly working hours were initially reduced to 38.5 hours. It wasn't until 1995 – more than ten years later – that the 35-hour week was fully implemented in the West German metal industry.

East-West Alignment

In the East German metal industry, the 38-hour week remained in place for a long time. Only with the framework collective agreement of June 2021 did the IG Metall achieve a breakthrough: Since then, working hours in Berlin, Brandenburg, and Saxony have been gradually aligned to Western levels. According to IG Metall, around 85 percent of members in companies bound by collective agreements now benefit from corresponding workplace agreements.

Legal Framework

Working Hours Act (Arbeitszeitgesetz)

The German Working Hours Act does not prescribe a fixed weekly working time but only sets upper limits: According to §3 ArbZG, daily working time may not exceed eight hours – it can be extended to ten hours if compensation is provided within six months. This results in a maximum average weekly working time of 48 hours.

The 35-hour week is well below this upper limit and therefore poses no legal issues. However, there is no legal obligation to introduce it.

Collective Agreements vs. Individual Arrangements

The 35-hour work week is typically regulated through collective agreements. A collective agreement is a contract between a trade union and an employers' association that establishes working conditions for an entire industry. Employees only have a direct entitlement to the collectively agreed benefits if they are union members and their employer is bound by the collective agreement.

In companies without collective agreement coverage, the 38 to 40-hour week often applies. Here, employers and employees can negotiate working hours individually – though usually without full wage compensation.

Full-Time or Part-Time? How the 35-Hour Week Is Classified

Whether the 35-hour week counts as full-time or part-time depends on the standard working hours in the company. This is regulated by §2 of the Part-Time and Fixed-Term Employment Act (TzBfG): Part-time employees are those who work fewer hours than is customary in the company.

In the metal and electrical industry, where 35 hours is collectively defined as full-time, this model counts as a full-time position. In a company with a 40-hour standard working week, however, 35 hours would be considered part-time – with corresponding implications for salary and social benefits.

According to the Federal Statistical Office, full-time employees in Germany worked an average of 40.2 hours per week in 2024. The average working time for all employed persons – including part-time workers – was 34.8 hours, below the EU average of 37.1 hours.

Advantages and Disadvantages of the 35-Hour Work Week

Benefits for Employees

The reduction in working hours brings tangible benefits for employees: More time for family, hobbies, and recovery improves work-life balance. Studies show that shorter working hours increase well-being and reduce the risk of stress-related illnesses such as burnout.

With full wage compensation, the effective hourly wage also increases without any reduction in pension or social security benefits.

Benefits for Employers

Companies can also benefit from the 35-hour week. It strengthens employer branding and positions employers as modern and employee-oriented – a competitive advantage in the growing talent shortage. Flexible working time models are now among the most important decision criteria for applicants.

Scientific research shows that productivity per hour often remains stable or even increases with shorter working hours. In Iceland, a large-scale pilot project with 2,500 employees between 2015 and 2017 led to maintained or improved productivity – with significantly higher satisfaction among participants.

Additional positive effects for companies include lower absenteeism, reduced turnover, and improved employee retention.

Potential Disadvantages and Challenges

Introducing the 35-hour week is not without hurdles. With full wage compensation, labor costs per working hour increase. In industries with shift work or customer contact, additional staffing may be required.

Shorter working hours can also lead to increased time pressure if the workload remains the same. Break times are also reduced: A 30-minute break is only legally required after six hours of work. Informal exchanges during coffee breaks or lunch – often an important factor for team culture and creative solutions – may suffer as a result.

Practical Implementation – Tips for HR

Introducing a 35-hour work week requires careful planning. The following steps have proven effective in practice:

Analyze the current situation: Record current working hours, workload, and labor costs. Digital time tracking tools provide valuable data here.

Choose a model: The 35 hours can be distributed in different ways: the classic five days at seven hours, or four days at 8.75 hours for an additional day off (four-day week).

Establish a legal basis: Depending on the situation, workplace agreements, contract amendments, or joining an employers' association may be required.

Pilot phase: Test the model in one department first. Measure productivity, satisfaction, and absenteeism before rolling it out company-wide.

Communication: Inform all stakeholders transparently about changes to working hours, salary, vacation entitlement, and overtime regulations.

Frequently Asked Questions About the 35-Hour Work Week

How many hours per month do you work in a 35-hour week?

With 35 hours per week, you work an average of approximately 152 hours per month (35 × 4.33 weeks). In a 5-day model, this corresponds to seven hours of daily working time. The actual number of hours varies depending on public holidays and vacation days.

Is the 35-hour week full-time or part-time?

This depends on the standard working hours in the company. In the metal and electrical industry, 35 hours is collectively defined as full-time. In companies with a 40-hour standard working week, however, 35 hours would be considered part-time. The decisive factor is the comparison to the standard working hours in the company according to §2 TzBfG.

What does full wage compensation mean when reducing working hours?

Full wage compensation means that the monthly salary remains the same even though fewer hours are worked. The hourly wage increases accordingly. This has been achieved through collective agreements in the metal industry. In individual agreements without collective bargaining coverage, a proportional salary reduction is also possible.

In which industries does the 35-hour week apply?

The 35-hour week is established through collective agreements in the metal and electrical industry (since 1995), the wood and plastics industry, and partially in the printing and media industry. Increasingly, startups, IT companies, and creative agencies are also voluntarily introducing the model. In eastern Germany, alignment to 35 hours has been advancing since 2021/2022.

How does the 35-hour week affect pensions?

With full wage compensation, there are no effects: Pension contributions remain the same since they are based on gross income. If there is a salary reduction, pension contributions and thus future pension entitlements decrease accordingly.

What advantages does the 35-hour week offer employers?

Companies benefit from a modern employer image (employer branding), a competitive advantage in attracting skilled workers, often stable or higher hourly productivity, lower turnover and absenteeism, and fewer burnout cases.

Is overtime allowed with the 35-hour week?

Yes, the Working Hours Act allows up to 48 hours per week on average. Overtime occurs when the contractually agreed 35 hours are exceeded. Within six months, the average must return to eight hours per day. Collective agreements may contain stricter regulations.

How can a company introduce the 35-hour week?

Implementation requires an analysis of current working hours, selection of a suitable model (5×7 or 4×8.75 hours), a legal basis (workplace agreement or contract amendment), a pilot phase in one department, clear communication to all employees, and possibly the introduction of digital time tracking.

Conclusion

The 35-hour work week is more than a relic of the collective bargaining struggles of the 1980s. It has established itself as a modern working time model that offers employees more quality of life and can strengthen companies in the competition for skilled workers. Whether established through collective agreements or introduced voluntarily: The benefits – from higher satisfaction to better health to stable productivity – are scientifically proven.

For HR professionals, it is worth examining whether and how a reduction in working hours can be implemented in their own company. Pilot projects from Iceland, Great Britain, and German companies show that with good planning, the model can be beneficial for all parties involved.

Are you looking for qualified talent that fits your company? The digital platform Aivy supports you with scientifically validated assessments for objective and fair personnel selection.

Sources

Home
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lexicon
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35-Hour Work Week – Definition, Benefits & Practical Tips for HR

The 35-hour work week is a working time model in which employees work 35 instead of the usual 40 hours per week – often with full wage compensation. In Germany, it is primarily established through collective agreements in the metal and electrical industry, where it counts as full-time employment. Studies show that shorter working hours can increase productivity, improve work-life balance, and position companies as attractive employers.

What Is the 35-Hour Work Week? – Definition

The 35-hour work week refers to a working time model in which the regular weekly working hours amount to 35 hours. Compared to the classic 40-hour week, this represents a reduction of five hours per week – in a 5-day model, this corresponds to seven hours of daily working time.

What makes it special: In collectively bargained industries such as the metal and electrical industry, the 35-hour week is granted with full wage compensation. This means the monthly salary remains the same, even though fewer hours are worked. The hourly wage increases accordingly – from, for example, 7 euros to 8 euros per hour.

Unlike part-time work, which is individually negotiated and often involves salary reductions, the collectively agreed 35-hour week counts as a full-time position with all rights and entitlements.

History: From the 1984 Strike to Today

The IG Metall Struggle

The 35-hour work week traces back to one of the toughest labor disputes in German post-war history. In spring 1984, employees in the metal and printing industries went on strike for seven weeks under the motto "More time to live, love, laugh." The IG Metall union demanded a reduction of working hours from 40 to 35 – both to improve the living conditions of employees and to create jobs for the then 2.5 million unemployed.

The strike ended with a compromise: Weekly working hours were initially reduced to 38.5 hours. It wasn't until 1995 – more than ten years later – that the 35-hour week was fully implemented in the West German metal industry.

East-West Alignment

In the East German metal industry, the 38-hour week remained in place for a long time. Only with the framework collective agreement of June 2021 did the IG Metall achieve a breakthrough: Since then, working hours in Berlin, Brandenburg, and Saxony have been gradually aligned to Western levels. According to IG Metall, around 85 percent of members in companies bound by collective agreements now benefit from corresponding workplace agreements.

Legal Framework

Working Hours Act (Arbeitszeitgesetz)

The German Working Hours Act does not prescribe a fixed weekly working time but only sets upper limits: According to §3 ArbZG, daily working time may not exceed eight hours – it can be extended to ten hours if compensation is provided within six months. This results in a maximum average weekly working time of 48 hours.

The 35-hour week is well below this upper limit and therefore poses no legal issues. However, there is no legal obligation to introduce it.

Collective Agreements vs. Individual Arrangements

The 35-hour work week is typically regulated through collective agreements. A collective agreement is a contract between a trade union and an employers' association that establishes working conditions for an entire industry. Employees only have a direct entitlement to the collectively agreed benefits if they are union members and their employer is bound by the collective agreement.

In companies without collective agreement coverage, the 38 to 40-hour week often applies. Here, employers and employees can negotiate working hours individually – though usually without full wage compensation.

Full-Time or Part-Time? How the 35-Hour Week Is Classified

Whether the 35-hour week counts as full-time or part-time depends on the standard working hours in the company. This is regulated by §2 of the Part-Time and Fixed-Term Employment Act (TzBfG): Part-time employees are those who work fewer hours than is customary in the company.

In the metal and electrical industry, where 35 hours is collectively defined as full-time, this model counts as a full-time position. In a company with a 40-hour standard working week, however, 35 hours would be considered part-time – with corresponding implications for salary and social benefits.

According to the Federal Statistical Office, full-time employees in Germany worked an average of 40.2 hours per week in 2024. The average working time for all employed persons – including part-time workers – was 34.8 hours, below the EU average of 37.1 hours.

Advantages and Disadvantages of the 35-Hour Work Week

Benefits for Employees

The reduction in working hours brings tangible benefits for employees: More time for family, hobbies, and recovery improves work-life balance. Studies show that shorter working hours increase well-being and reduce the risk of stress-related illnesses such as burnout.

With full wage compensation, the effective hourly wage also increases without any reduction in pension or social security benefits.

Benefits for Employers

Companies can also benefit from the 35-hour week. It strengthens employer branding and positions employers as modern and employee-oriented – a competitive advantage in the growing talent shortage. Flexible working time models are now among the most important decision criteria for applicants.

Scientific research shows that productivity per hour often remains stable or even increases with shorter working hours. In Iceland, a large-scale pilot project with 2,500 employees between 2015 and 2017 led to maintained or improved productivity – with significantly higher satisfaction among participants.

Additional positive effects for companies include lower absenteeism, reduced turnover, and improved employee retention.

Potential Disadvantages and Challenges

Introducing the 35-hour week is not without hurdles. With full wage compensation, labor costs per working hour increase. In industries with shift work or customer contact, additional staffing may be required.

Shorter working hours can also lead to increased time pressure if the workload remains the same. Break times are also reduced: A 30-minute break is only legally required after six hours of work. Informal exchanges during coffee breaks or lunch – often an important factor for team culture and creative solutions – may suffer as a result.

Practical Implementation – Tips for HR

Introducing a 35-hour work week requires careful planning. The following steps have proven effective in practice:

Analyze the current situation: Record current working hours, workload, and labor costs. Digital time tracking tools provide valuable data here.

Choose a model: The 35 hours can be distributed in different ways: the classic five days at seven hours, or four days at 8.75 hours for an additional day off (four-day week).

Establish a legal basis: Depending on the situation, workplace agreements, contract amendments, or joining an employers' association may be required.

Pilot phase: Test the model in one department first. Measure productivity, satisfaction, and absenteeism before rolling it out company-wide.

Communication: Inform all stakeholders transparently about changes to working hours, salary, vacation entitlement, and overtime regulations.

Frequently Asked Questions About the 35-Hour Work Week

How many hours per month do you work in a 35-hour week?

With 35 hours per week, you work an average of approximately 152 hours per month (35 × 4.33 weeks). In a 5-day model, this corresponds to seven hours of daily working time. The actual number of hours varies depending on public holidays and vacation days.

Is the 35-hour week full-time or part-time?

This depends on the standard working hours in the company. In the metal and electrical industry, 35 hours is collectively defined as full-time. In companies with a 40-hour standard working week, however, 35 hours would be considered part-time. The decisive factor is the comparison to the standard working hours in the company according to §2 TzBfG.

What does full wage compensation mean when reducing working hours?

Full wage compensation means that the monthly salary remains the same even though fewer hours are worked. The hourly wage increases accordingly. This has been achieved through collective agreements in the metal industry. In individual agreements without collective bargaining coverage, a proportional salary reduction is also possible.

In which industries does the 35-hour week apply?

The 35-hour week is established through collective agreements in the metal and electrical industry (since 1995), the wood and plastics industry, and partially in the printing and media industry. Increasingly, startups, IT companies, and creative agencies are also voluntarily introducing the model. In eastern Germany, alignment to 35 hours has been advancing since 2021/2022.

How does the 35-hour week affect pensions?

With full wage compensation, there are no effects: Pension contributions remain the same since they are based on gross income. If there is a salary reduction, pension contributions and thus future pension entitlements decrease accordingly.

What advantages does the 35-hour week offer employers?

Companies benefit from a modern employer image (employer branding), a competitive advantage in attracting skilled workers, often stable or higher hourly productivity, lower turnover and absenteeism, and fewer burnout cases.

Is overtime allowed with the 35-hour week?

Yes, the Working Hours Act allows up to 48 hours per week on average. Overtime occurs when the contractually agreed 35 hours are exceeded. Within six months, the average must return to eight hours per day. Collective agreements may contain stricter regulations.

How can a company introduce the 35-hour week?

Implementation requires an analysis of current working hours, selection of a suitable model (5×7 or 4×8.75 hours), a legal basis (workplace agreement or contract amendment), a pilot phase in one department, clear communication to all employees, and possibly the introduction of digital time tracking.

Conclusion

The 35-hour work week is more than a relic of the collective bargaining struggles of the 1980s. It has established itself as a modern working time model that offers employees more quality of life and can strengthen companies in the competition for skilled workers. Whether established through collective agreements or introduced voluntarily: The benefits – from higher satisfaction to better health to stable productivity – are scientifically proven.

For HR professionals, it is worth examining whether and how a reduction in working hours can be implemented in their own company. Pilot projects from Iceland, Great Britain, and German companies show that with good planning, the model can be beneficial for all parties involved.

Are you looking for qualified talent that fits your company? The digital platform Aivy supports you with scientifically validated assessments for objective and fair personnel selection.

Sources

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Florian Dyballa

CEO, Co-Founder

About Florian

  • Founder & CEO of Aivy — develops innovative ways of personnel diagnostics and is one of the top 10 HR tech founders in Germany (business punk)
  • More than 500,000 digital aptitude tests successfully used by more than 100 companies such as Lufthansa, Würth and Hermes
  • Three times honored with the HR Innovation Award and regularly featured in leading business media (WirtschaftsWoche, Handelsblatt and FAZ)
  • As a business psychologist and digital expert, combines well-founded tests with AI for fair opportunities in personnel selection
  • Shares expertise as a sought-after thought leader in the HR tech industry — in podcasts, media, and at key industry events
  • Actively shapes the future of the working world — by combining science and technology for better and fairer personnel decisions
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