Can More Vacation Time Boost Productivity? An Analysis Across 30 Countries
Japan has been in the spotlight for considering a law that would mandate its hard-working citizens to take vacations. This move is seen as an attempt to rejuvenate its economy after years of little to no growth, showcasing the various factors pushing towards such a significant policy shift.
But does granting more vacation days truly lead to greater productivity?
The internet is rife with articles (including one from our own website) advocating that less work leads to more productivity. However, these claims often lack comprehensive data or focus too narrowly on a single country. To provide a broader perspective, we decided to delve deeper into this topic.
Our Research Approach
Amidst discussions on productivity, Switzerland is frequently cited as the pinnacle of efficiency according to the Global Competitiveness Report. This report relies on the Global Competitiveness Index (GCI), described as “an appropriate estimate of the level of productivity and competitiveness of an economy.”
Thus, a country’s position on this index is indicative of its productivity levels.
We selected the top 30 countries from the Global Competitiveness Report for our analysis, comparing the following data points:
- average working hours per week
- minimum annual leave mandated by law
- days of parental leave allocated for each country
- parental leave mandated by law
Working Hours and Leaves By Countries
Country | Working hrs per Week | Minimum Mandated Annual Leave (days) | Paid Public Holidays | Paid Vacation Days | Parental leave |
(1) Switzerland | 30 hrs* | 20 days | N/A | 20 days | 14 weeks |
(2) Singapore | 40 hrs | 8-14 days | 11 days | 7 days | 16 weeks |
(3) United States | 34 hrs* | 0 days; 6-20 days (doe) | 0 days | 0 days | 0 days |
(4) Finland | 32 hrs* | 30 days | 9 days | 25 days | 15 weeks |
(5) Germany | 27 hrs* | 24 days | 10-14 days (depending on state) | 20 days | 14 weeks |
(6) Japan | 33 hrs* | 10 days; +1 day off for each yos (max: 20 days) | N/A | 10 days | 14 weeks |
(7) Hong Kong | 40 hrs | 7-14 days (depending yos) | N/A | 7 days | 10 weeks |
(8) Netherlands | 27 hrs* | 20 days | 10 days | 20 days | 16 weeks |
(9) United Kingdom | 32 hrs* | 28 days | 8 days (9 for Scotland) | 28 days | 39 weeks |
(10) Sweden | 31 hrs* | 25 days | N/A | 25 days | 480 days |
(11) Norway | 27 hrs* | 25 days | 2 days | 21 days | 56 or 46 weeks |
(12) United Arab Emirates | 40 hrs | 2 days/month for 1st year; 30 days for > 1 yos | 10 days | 25 days | 45 days |
(13) Denmark | 27 hrs* | 30 days | 9 days | 25 days | 52 weeks |
(14) Taiwan | 40 hrs | 7-30 days (dependent on yos) | 25 days | 7 days | 8 weeks |
(15) Canada | 33 hrs* | 10 days | 5-10 days (depending on province) | 10 days | 50 weeks |
(16) Qatar | 40 hrs | 15-20 days | 10 days | 15 days | 50 days |
(17) New Zealand | 34 hrs* | 20 days | 11 days | 20 days | 14 weeks |
(18) Belgium | 30 hrs* | 20-24 days (dependent on working days a week) | 10 days | 20 days | 15 weeks |
(19) Luxembourg | 32 hrs* | 25 days (extra 6 days of for workers with disabilities) | 10 days | 25 days | 16 weeks |
(20) Malaysia | 40 hrs | 8-16 days (depending on yos) | 19 days | 7 days | 60 days |
(21) Austria | 31 hrs* | 30-36 days (dependent on yos) | 13 days | 30/35 days | 16 weeks |
(22) Australia | 32 hrs* | 20 days (25 days for shiftworkers) | 9-11 days | 20 days | 18 weeks |
(23) France | 29 hrs* | 30 days (extra 22 days for > 35 working hrs/week) | 1 day | 25 days | 16 weeks; 26 weeks for third child. |
(24) Saudi Arabia | 48 hrs | 21-30 days (dependent on yos) | 10 days | 15 days | 10 weeks |
(25) Ireland | 35 hrs* | 20 days | 9 days | 20 days | 26 weeks |
(26) South Korea | 42 hrs* | 15-25 days (dependent on yos) | N/A | 15 days | 90 days |
(27) Israel | 36 hrs* | 10-28 days (dependent on yos) | N/A | 10 days | 14 weeks |
(28) China | 44 hrs | 5-15 days (dependent on yos) | 11 days | 5 days | 98 days |
(29) Estonia | 36 hrs* | 28 days (dependent on contract) | N/A | 20 days | 140 days (extra 2 wks for medical complications) |
(30) Iceland | 33 hrs* | 24 days | 12 days | 24 days | 90 days |
- *doe – depending on employer
- *yos – year of service
Sources:
- Top 30 Most Competitive Countries, Global Competitive Report
- List of statutory minimum employment leave by country, Wikipedia
- *Average annual hrs actually worked per worker, OECD
- Workweek and weekend, Wikipedia
- Parental leave, Wikipedia
Leaderboard
Now, we understand that the table above is contains a truckload of data and who has the vacation time to go through the data cell by cell, right? In this section we will just give you the summary for each category, in what we will call the leaderboards.
Let’s start with the working hours in a week.
Countries With The Most Working Hours:
- 48 hrs – Saudi Arabia
- 44 hrs – China
- 42 hrs – South Korea
- 40 hrs – Singapore, Hong Kong, Taiwan, Malaysia, Qatar, United Arab Emirates,
- 36 hrs – Israel, Estonia
Countries With The Least Working Hours:
- 27 hrs – Germany, Netherlands, Norway, Denmark
- 29 hrs – France
- 30 hrs – Switzerland, Belgium
- 31 hrs – Sweden, Austria
- 32 hrs – Luxembourg, Australia
If you are looking for the country that tops the chart in highest number of mandated annual leave, check this out:
Countries With The Most Annual Leave (days):
- 30 days – Finland, France, Denmark, Austria
- 28 days – United Kingdom, Estonia
- 24 days – Germany, Iceland
- 25 days – Sweden, Norway, Luxembourg
- 21 days – Saudi Arabia
Countries With The Least Annual Leave (days):
- 0 days – United States
- 5 days – China
- 7 days – Taiwan, Hong Kong
- 8 days – Singapore, Malaysia
- 10 days – Israel, Canada, Japan
If you wonder if vacation days actually have the influence on productivity in the workplace, then these are the leaderboards you want to see.
Countries With The Most Paid Vacation Days:
- 30 days – Austria
- 28 days – United Kingdom
- 25 days – Finland, Sweden, United Arab Emirates, Denmark, Luxembourg, France
- 24 days – Iceland
- 21 days – Norway
Countries With The Least Paid Vacation Days:
- 0 days – United States
- 5 days – China
- 7 days – Singapore, Hong Kong, Taiwan, Malaysia
- 10 days – Japan, Canada, Israel
- 15 days – Qatar, Saudi Arabia, South Korea
Parental leave, a controversial topic for many countries including the United States. Here are the countries that give parents a whole lot of time off, and those that didn’t.
Countries With The Longest Parental Leave:
- 480 days – Sweden
- 56 weeks – Norway
- 52 weeks – Denmark
- 50 weeks – Canada
- 26 weeks – Ireland
Countries With The Shortest Parental Leave:
- 45 days – United Arab Emirates
- 50 days – Qatar
- 8 weeks – Taiwan
- 60 days – Malaysia
- 10 weeks – Hong Kong, Saudi Arabia
Lastly, here are the leaderboards on paid public holidays, also known as holidays that you get to take a break while still on a payroll.
Countries With The Most Paid Public Holidays:
- 25 days – Taiwan
- 19 days – Malaysia
- 13 days – Austria
- 12 days – Iceland
- 11 days – Singapore
Countries With The Least Paid Public Holidays:
- 0 days – United States
- 1 day – France
- 2 days – Norway
- 5 days – Canada
- 8 days – United Kingdom
Visual Aid
For those who prefer a quick summary, we’ve created an infographic with the help of Piktochart to visually present the data discussed in this post.
Editor’s note: You can find and use this infographic for free at Piktochart.
Conclusion
Although our approach may not be strictly scientific, the data doesn’t clearly show that more vacation days lead to increased productivity or competitiveness across countries. However, all the information is presented for you to examine and draw your own conclusions.
Note: This post was originally published on May 18, 2015.