About half (49%) of UK business leaders are open to workplace trends such as the four-day work week, according to research from freelancer platform Fiverr.
Half are willing to trial a reduced work week, but 24 percent are sceptical of its viability under new policies.
Return-to-office (RTO) arrangements are also on the rise, with 61 percent of leaders supporting a model requiring employees to work in the office three or more days per week. Productivity (61%), collaboration (40%), and professional development (38%) are cited as the main benefits of RTO policies – although, according to research by Indeed, as many as 44 percent of employers say office attendance has more to do with appearance than purpose.
However, leaders are mindful of potential downsides. Half fear that mandating office attendance could harm employee retention, while 26 percent express concerns about friction and morale issues. Other risks include strain on work-life balance and increased operational costs. A four-day work week could be the a key strategy to drive up office attendance without harming employee retention.
Hila Harel, Director of International Growth at Fiverr, said, “With the four day work week and return to office policies gaining momentum, it’s clear that workplace flexibility is a top priority.”
Economic Pressures
Economic and regulatory pressures are influencing hiring decisions across sectors. Advancements in AI are a key factor, with 43 percent of businesses scaling back recruitment due to automation. Other considerations include regulatory changes (34 percent) and budget constraints linked to the ongoing cost of living crisis (33 percent).
UK businesses are facing significant hurdles following Labour’s Autumn Budget, with anticipated average financial losses of £138,000 in 2025. highlights that a quarter of businesses (25 percent) expect losses to exceed £100,000.
Despite the Bank of England’s recent interest rate cut, Labour’s £40 billion tax hike – half of which directly impacts businesses – has raised concerns among SMEs. Business leaders cite inflation and rising costs (50%), UK economic instability (45%), and Labour’s tax policies (37%) as their top challenges for 2025.
However, 62 percent of leaders surveyed see potential benefits from Labour’s focus on improving workers’ rights, which they believe could positively influence employee mental health.
Hiring Trends: AI and Freelancers
Despite economic challenges, over half (55%) of businesses plan to expand their workforce in 2025, with 33 percent maintaining current staff levels. Hiring priorities are shifting towards innovation, with nearly half (48%) focusing on IT and tech roles and 24 percent targeting AI-specific positions.
The demand for AI expertise is driving wages upward, with 80 percent of leaders willing to offer an average of 45 percent higher pay to attract AI talent. In contrast, creative and design roles are receiving less focus, with only 19 percent of businesses planning hires in these areas.
Freelancers are playing an increasingly crucial role in bridging skills gaps. Over half (55 percent) of businesses currently integrate freelancers into their operations, and nearly a third (32 percent) leverage freelancers for AI-related expertise. Looking ahead, 45 percent of leaders plan to increase their reliance on freelancers.
Harel added, “As the UK navigates upcoming challenges, it’s encouraging to see business leaders increasingly turning to freelancers to help tackle economic instability and evolving workplace trends.
“As 2025 approaches, we look forward to seeing freelancers play a greater role in supporting business – not just in weathering uncertainty, but also in driving growth and innovation amid ongoing challenges.”
Alessandra Pacelli is a journalist and author contributing to HRreview, an HR news and opinion publication, where she covers topics including labour market trends, employment costs, and workplace issues. She is a journalism graduate and self-described lifelong dog lover who has also written for Dogs Today magazine since 2014.
- Alessandra Pacelli
- Alessandra Pacelli
- Alessandra Pacelli
- Alessandra Pacelli
