Samsung: 6-Day Workweek For Execs, Firm in Emergency Mode


4-day workweeks might need all the excitement, however one main tech firm goes in the wrong way.

Samsung is implementing a six-day workweek for all executives after a few of the agency’s core companies delivered lower-than-expected monetary outcomes final yr.

A Samsung Group government advised a Korean information outlet that “contemplating that efficiency of our main items, together with Samsung Electronics Co., fell wanting expectations in 2023, we’re introducing the six-day work week for executives to inject a way of disaster and make all-out efforts to beat this disaster.”

Decrease efficiency mixed with different financial uncertainties like excessive borrowing prices have pushed the South Korean firm to enter “emergency mode,” per The Korea Financial Each day.

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Executives in any respect Samsung Group divisions will probably be affected, together with these in gross sales and manufacturing, in line with the report.

Samsung had its worst monetary yr in over a decade in 2023, with the Wall Avenue Journal reporting that internet revenue fell 73% in This fall. It additionally misplaced its prime spot on the worldwide smartphone market to Apple in the identical quarter, although it reclaimed it this yr.

Although workers under the manager degree aren’t but mandated to clock in on weekends, some would possibly comply with the unwritten instance of their bosses. In any case, The Korea Financial Each day studies that executives throughout some Samsung divisions have been voluntarily working six days every week since January, earlier than the corporate determined to implement the six-day workweek coverage.

Entrepreneur has reached out to Samsung’s U.S. newsroom to ask if this information consists of executives located globally, together with within the U.S., or if it solely impacts workers in Korea. Samsung didn’t instantly reply.

Analysis on the connection between hours labored and output reveals that working extra doesn’t essentially improve productiveness.

A Stanford challenge, for instance, discovered that overwork results in decreased complete output. Common productiveness decreases on account of stress, sleep deprivation, and different elements “to the extent that the extra hours [worked] present no profit (and, in actual fact, are detrimental),” the research stated.

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Longer hours may also imply long-term well being results. The World Well being Group discovered that working greater than 55 hours every week decreases life expectancy and will increase the chance of stroke by 35%.

The identical 55-hour workweek results in a 17% greater danger of coronary heart illness, per the identical research.