PwC’s Return Policy for New Parents Is a Natural Experiment in Shorter Workdays

PwC’s Return Policy for New Parents Is a Natural Experiment in Shorter Workdays

Last month, PwC rolled out a $45 million investment in its employee wellness program, including a suite of new benefits for working parents, Glassdoor’s Amy Elisa Jackson reported at the time:

  • $1000 bonus to all staff to spend on wellness-related activities;
  • Four weeks of “Paid Family Care Leave” for all partners and staff to care for certain family member with serious health conditions;
  • Eight weeks of paid parental leave for staff of any gender with a new child (currently six);
  • New “Phased Return to Work” transition, with the option of new parents working 60% of hours, at full-time pay, for an additional four weeks following a block of paid parental leave;
  • $25K reimbursement, per child, for adoption (currently $5K);
  • $25K reimbursement, per child, for surrogacy (traditional and gestational) expenses;
  • Pro bono membership to (childcare, housekeeping, pet care services);
  • Six hours of free Eldercare consultation (home assessments, implementation of care, etc.)

These expanded benefits, which according to Amanda Eisenberg at Employee Benefit News will go into effect on July 1, mirror what many other large US employers are doing to make their family benefits more generous and more inclusive. The point of interest here is PwC’s Phased Return to Work program, which the professional services firm says is the first of its kind. Offering this benefit up-front and actively marketing it to employees avoids the trap wherein new parents are afraid to ask for the flexibility they need out of fear of being seen as uncommitted. Closing that loophole was the motivation for Adobe’s returning employee flexibility program, which allows employees returning from at least three months of leave to work a non-traditional schedule for at least four months and requires all returnees to meet with their manager and HR to discuss this option.

Paying employees a full-time salary to work only part-time may sound absurd on its face, but we’ve seen a few other organizations experiment with shorter workdays in recent years. PwC’s policy will be worth watching, as it will provide another data point in how a limited workweek affects employee productivity, particularly among the highly stressed cohort of new parents.

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