Chile’s new labor law will gradually reduce the working week from 45 to 40 hours by 2028. This shift presents a major challenge for business leaders. They must decide whether to hire more workers, whilst also driving up operating costs or find ways to Or Increase productivity by over 10% .
Increasing headcount and overtime puts a noticeable strain on a company’s margins. There is therefore a need to boost productivity gains without increasing operational burdens and having to pass down the costs to customers
This is where FYLD steps in. Our AI-powered work execution platform offers smart tools that help businesses get more done in less time. By providing real-time operational efficiency insights and virtual supervision, FYLD helps businesses optimize workflows. This reduces the need for overtime or additional workers, which are likely to be costly under the new labor laws.
In 2024, Chile began transitioning from a 45-hour to a 40-hour workweek. This change aligns with global labor trends and focuses on improving work-life balance and employee well-being.
To help businesses adapt, the government is phasing in these changes over four years. This gradual approach gives organizations time to adjust their operations, train staff, and explore solutions to maintain productivity. The goal is to encourage shorter, more efficient work hours while promoting healthier and more sustainable workplaces.
Although this gradual transition allows businesses time to adapt, it still presents significant business challenges. Large organizations can expect to face an average increase of $1M USD in headcount costs for every additional 100 workers, or an average increase of $1.5M USD in overtime costs for each 100 current workers trying to make up for lost capacity. Companies will therefore need to reconsider team management, streamline operations, and find ways to maintain profitability.
At FYLD, we understand the challenges of operating with limited resources and time. Our AI-driven platform helps businesses adapt seamlessly to these types of changes while staying profitable.
Here’s how:
Boost productivity without expanding your team – By providing real-time operational efficiency data and virtual supervision capabilities, FYLD ensures that every hour counts. By using FYLD’s digital tools, companies have cut supervisor overtime costs and improved field operations.
Virtual supervision for better efficiency – With FYLD, field managers can manage bigger teams without always being on-site. This means fewer trips to field activities and more time focused on strategic tasks. For instance, FYLD helped SGN, a major utility company, increase its span of control by up to 20%.
Get work done right the first time – Mistakes in the field can be costly, wasting time and money while delaying projects. FYLD’s real-time insights help managers spot and fix issues before they grow, ensuring that they complete tasks correctly the first time. One customer used FYLD’s platform to reduce rework by 10%, boosting efficiency and keeping projects on track.
FYLD equips field teams with tools to seamlessly capture on-site data through video, audio, and photos. This eliminates the burden of paperwork, streamlines information sharing, and ensures accurate job records that drive better decision-making.
But the impact goes far beyond convenience:
Real-time visibility – Managers get 100% visibility into frontline operations, helping them identify areas for improvement and act quickly.
Boosted productivity – Companies using FYLD see an average 12.5% boost in workforce productivity—without needing to hire more staff, and at a fraction of the cost
Safer work environments – FYLD helps businesses reduce incidents and injuries by 20%, ensuring a safer workplace while achieving operational goals.
These improvements allow businesses to maintain high service standards while adapting to the shorter workweek.
The transition to a 40-hour workweek isn’t just about fewer hours—it’s about embracing a smarter way of working. Businesses that adapt quickly can stay competitive, avoiding the risks of higher costs or reduced productivity.
FYLD offers more than just a solution; it provides a roadmap for success. With AI-powered insights and streamlined workflows, our platform helps companies navigate these changes while maintaining efficiency and profitability.
By leveraging FYLD, Chilean businesses can turn this challenge into an opportunity for growth.
If you're ready to explore how FYLD can transform your operations and drive long-term success, request a demo today.