World Bank WBL: Top Performing Countries in Flexible Work Provisions
The World Bank’s Women, Business and the Law (WBL) report has evolved significantly, introducing the WBL 2.0 framework to measure not just laws on the books, but also the "Supportive Frameworks" (implementation) and "Expert Opinions" (reality on the ground).
One of the most critical frontiers for gender equality in 2026 is Flexible Work Provisions. By allowing employees to request changes in working hours or locations, these laws directly impact female labor force participation. As of 2026, the global average for the Workplace indicator remains one of the more challenging areas, yet several countries have set the standard for reform.
Global Leaders in Work Flexibility
The following table highlights seven countries with top-tier performance in providing legal and supportive frameworks for flexible work. The scores represent the Workplace Indicator (WBL 2.0), which evaluates laws on non-discrimination, sexual harassment, and the legal right to request flexible work.
| Country | Region | Workplace Score | Key Provision |
| Portugal | OECD High Income | 100 | Comprehensive telework laws and right to disconnect. |
| Finland | OECD High Income | 100 | Working Hours Act allows wide autonomy in scheduling. |
| Lithuania | Europe & Central Asia | 100 | Guaranteed remote work requests for parents/caregivers. |
| France | OECD High Income | 100 | Pioneer in legislating the "Right to Disconnect." |
| Australia | OECD High Income | 100 | Strong Fair Work Act provisions for flexible requests. |
| Austria | OECD High Income | 100 | 2026 Teleworking Act solidified remote work rights. |
| Armenia | Europe & Central Asia | 75* | Recent 2025 reforms enabling remote work requests. |
*Note: Scores for recent reformers like Armenia are based on the latest WBL Legal Framework updates following their 2025/2026 legislative sessions.
The Implementation Gap
A key finding in the 2026 data is the gap between the Legal Score and the Supportive Framework Score. While a country may score a 100 for having a law that allows flexible work, its implementation score may be lower if the government does not provide:
Official guidelines for employers on how to handle requests.
Specialized bodies to handle discrimination complaints related to flexibility.
Publicly available data on the uptake of these programs.
WBL Insight: Economies that provide both flexible hours and remote work options see higher rates of women returning to the workforce after parental leave. Globally, high-income OECD countries lead with over 56% coverage, while other regions are rapidly adopting similar "request-to-flex" models to stay competitive.
Portugal: The Global Gold Standard for Flexible Work
Portugal has emerged as a world leader in the World Bank’s WBL (Women, Business and the Law) rankings, particularly within the Workplace and Parenthood indicators. Its legal framework is designed not just to encourage participation, but to structurally protect the balance between professional and personal life.
Portugal's Performance Metrics
In the 2024–2026 WBL assessment cycle, Portugal consistently secures top-tier marks for its legal protections regarding flexible work.
| Indicator | Score (0–100) | Reason for High Performance |
| Legal Framework | 100 | Full legal parity in workplace and mobility laws. |
| Supportive Framework | 73.5 | High, but indicates a need for more practical implementation tools. |
| Workplace Indicator | 100 | Laws protecting against harassment and allowing flexible work. |
Why Portugal Stands Out
Portugal’s high scores are driven by several "pioneer" laws that have served as templates for other European nations:
The Right to Disconnect: Portugal was one of the first countries to make it illegal for employers to contact workers outside of their designated shifts. This prevents "availability creep," which disproportionately affects women who often manage household duties after hours.
Mandatory Flexible Work for Parents: Under Portuguese law, parents with children up to three years old have a legal right to work remotely if their job allows it, and the employer cannot refuse without a heavy burden of proof.
Telework Expense Coverage: Unlike many nations where remote work is a "perk," Portugal requires employers to compensate workers for additional costs incurred while working from home, such as increased electricity or internet bills.
Strict Privacy Protections: To support a healthy remote environment, the law strictly prohibits "bossware" or invasive monitoring of remote employees, ensuring that flexibility doesn't come at the cost of worker dignity.
The Implementation Focus
While Portugal’s Legal Framework score is a perfect 100, the World Bank notes that its Supportive Framework (the actual execution of these laws) sits at 73.5. This suggests that while the laws are world-class, the next step for Portugal is ensuring that small and medium-sized enterprises (SMEs) have the resources to follow these regulations as effectively as large corporations.
Finland: The Global Benchmark for Workplace Autonomy
Finland has long been the gold standard for workplace flexibility, often serving as the primary model for other OECD nations. While many countries focus on "protecting" workers from overwork, Finland’s approach is centered on radical autonomy—the legal right for employees to decide when and where they do their jobs.
Finland’s Performance Metrics (WBL 2.0)
Finland consistently ranks in the top tier of the World Bank's Women, Business and the Law index, particularly excelling in the Workplace, Parenthood, and Childcare indicators.
| Indicator | Score (0–100) | Reason for High Performance |
| Legal Framework | 95.0 | Universal rights to flexible working arrangements for all employees. |
| Supportive Framework | 81.3 | Strong government infrastructure and accessible childcare systems. |
| Workplace Indicator | 100 | Comprehensive laws on non-discrimination and flexi-work. |
The Finnish "Flexiwork" Advantage
Finland’s leadership is defined by the Working Hours Act, which provides a level of freedom rarely seen in other legal systems:
The 50% Rule: Under Finnish law, employees in many sectors have the right to decide the timing and location of their work for at least 50% of their working hours.
Working Hours Bank: Finland pioneered the "time bank" system, where employees can "save" overtime hours or earned bonuses and convert them into paid time off later, allowing for long stretches of leave without losing income.
Result-Based Culture: The legal framework encourages employers to shift focus from "hours clocked" to "tasks completed," making remote work a seamless part of the national economy rather than an exception.
Childcare Integration: Finland scores a perfect 100 in Childcare. By legally guaranteeing a spot in high-quality municipal daycare for every child, the state ensures that flexible work is a tool for career growth, not just a way to juggle chores.
Comparative Look: Finland vs. Portugal
| Feature | Finland | Portugal |
| Philosophy | Empowerment: Focuses on employee choice. | Protection: Focuses on employer boundaries. |
| Key Law | Working Hours Act (Flexiwork). | Right to Disconnect & Telework Law. |
| Expense Model | Integrated into high-trust salary models. | Mandatory reimbursement for home utilities. |
WBL Insight: Finland’s success is attributed to its high Supportive Framework score. Because the government provides clear templates for "Flexiwork Contracts," even small businesses can implement these complex laws without high legal costs.
Lithuania: The Strategic Reformer
Lithuania has rapidly climbed the ranks to become a top performer in the 2026 World Bank WBL (Women, Business and the Law) index. Its strategy is distinct: while Finland focuses on general autonomy and Portugal on boundaries, Lithuania has focused on mandatory flexibility for caregivers and parents to eliminate the "motherhood penalty" in the workplace.
Lithuania’s Performance Metrics
Lithuania’s scores reflect a massive legislative overhaul completed between 2023 and 2025. It is currently one of the few economies to achieve a perfect score in the Parenthood legal indicator.
| Indicator | Score (0–100) | Reason for High Performance |
| Legal Framework | 91.2 | Near-perfect laws regarding mobility, pay, and parental rights. |
| Supportive Framework | 61.1 | Reflects a transition period as the state builds enforcement tools. |
| Parenthood Indicator | 100 | Universal rights to flexible work for parents and caregivers. |
The Lithuanian "Care-First" Model
Lithuania’s legal framework is designed to make work "bend" around the needs of the family, particularly through its updated Labour Code:
The Remote Work Mandate: Employers must grant a request for remote work for at least 20% of total working time if requested by a parent with a child under 8 years old, or an employee caring for a family member. The employer can only refuse if they can prove it would cause "excessive objective costs."
The 32-Hour Week for Parents: In a landmark 2024 policy, public sector employees with children under 3 years old are entitled to a reduced work week of 32 hours while receiving their full 40-hour salary. This "short week" is designed to keep mothers connected to the workforce during the most intensive years of childcare.
Non-Transferable Leave: To ensure flexibility isn't just a "woman's issue," Lithuania mandates two months of paid parental leave that must be taken by the father (or second parent), or it is lost. This shift in the legal framework aims to normalize men using flexible work arrangements.
"Mamadienis" & "Tėvadienis" (Parent Days): Employees raising children are legally entitled to extra paid days off per month (up to two days for those with three or more children), specifically to handle family logistics without dipping into annual leave.
Comparative Summary: The "Big Three"
| Feature | Lithuania | Finland | Portugal |
| Core Philosophy | Support: Targeted rights for parents. | Trust: Total autonomy for all. | Protection: Hard lines for work/life. |
| Remote Work | Mandatory for parents/caregivers. | Part of the 50% "Flexiwork" right. | Right to request + expense coverage. |
| Standout Policy | 32-hour week for young parents. | Working Hours "Bank." | The Right to Disconnect. |
WBL Insight: Lithuania’s Supportive Framework score (61.1) is currently lower than its peers. This is because the government is still in the process of implementing a national digital tracking system for the gender pay gap and creating more robust "Flexible Work" guidelines for the private sector to match the public sector's 32-hour standard.
France: The Global Pioneer of Boundaries
France is arguably the most influential country on this list, having authored the "blueprint" for modern work-life balance laws. While other nations focus on the right to start work flexibly, France focuses on the right to stop work. In the 2026 World Bank WBL 2.0 index, France remains a top performer, particularly in the Workplace and Parenthood indicators, with a strong emphasis on protecting the employee's private sphere.
France’s Performance Metrics (2026)
France is one of the few economies where the Supportive Framework score closely matches its Legal Framework score, indicating that the government doesn't just pass laws—it provides the infrastructure to enforce them.
| Indicator | Score (0–100) | Reason for High Performance |
| Legal Framework | 90.0 | Comprehensive protections against discrimination and for flexible work. |
| Supportive Framework | 87.5 | High availability of official guidance and complaint mechanisms. |
| Workplace Indicator | 100 | Full legal parity in recruitment and the right to request telework. |
The French "Boundary" Model
France’s approach is defined by two major pillars: the 35-hour work week and the famous Right to Disconnect.
The Right to Disconnect (Droit à la déconnexion): Since 2017, French companies with more than 50 employees are legally required to negotiate with unions to define the hours during which employees are not expected to send or answer emails. If no agreement is reached, the employer must publish a formal "charter" defining these boundaries.
The Telework Default: Under Article L1222-9 of the Labor Code, an employer who refuses a request for telework from an employee in an eligible position must provide a formal, objective justification. This shifts the power dynamic, making remote work the "expected" option for compatible roles.
Professional Equality Index: France mandates that companies calculate and publish an annual "Gender Equality Index." One of the key indicators is the percentage of employees who received a raise upon returning from maternity leave. Failure to score high enough results in financial penalties of up to 1% of the total payroll.
Expense Reimbursement: Similar to Portugal, French law requires employers to cover the costs associated with remote work. In 2026, the tax-exempt monthly allowance for home office expenses is capped at approximately €580 annually.
Comparative Look: France vs. Finland vs. Lithuania
| Feature | France | Finland | Lithuania |
| Core Philosophy | Rest: Protection from "always-on" culture. | Trust: Freedom to choose hours. | Family: Mandates for parents. |
| Key Enforcement | Gender Equality Index & Fines. | High Cultural Consensus. | 32-hour week for public sector. |
| Remote Work | Employer must justify refusal. | Right to 50% remote/flex. | Mandatory for parents of kids < 8. |
WBL Insight: France’s high Supportive Framework score (87.5) is bolstered by its extensive network of labor inspectors and the "ANEF-Emploi" digital platform, which streamlines work permit and compliance tracking for employers.
Australia: The "Closing Loopholes" Leader
In the 2026 World Bank WBL index, Australia is a standout high-performer. While it has long had strong legal foundations, recent landmark reforms—specifically the "Closing Loopholes" legislation of 2024 and 2025—have pushed its scores toward the top of the OECD.
Australia’s strategy is unique: it focuses on enforceability. Unlike countries where flexible work is a "soft" right, Australia has empowered its national tribunal, the Fair Work Commission, to legally compel employers to grant flexibility.
Australia’s WBL 2.0 Performance (2026)
| Indicator | Score (0–100) | Reason for High Performance |
| Legal Framework | 90.0 | Perfect scores in Mobility, Pay, and Parenthood. |
| Supportive Framework | 81.7 | One of the highest global scores for implementation and guidance. |
| Workplace Indicator | 100 | Full legal parity and robust flexible work request rights. |
Key Flexible Work Provisions
Australia’s recent shift from "guidelines" to "enforceable rights" makes it a global case study:
The Right to Disconnect (2024/2025): Australia followed France and Portugal by introducing a legal right for employees to refuse to monitor or respond to contact outside of working hours, unless that refusal is "unreasonable." For small businesses, this became fully enforceable in August 2025.
Enforceable Flexible Work Requests: Previously, if an employer said "no" to a flexible work request, there was little an employee could do. Now, if an employer refuses a request from a parent, carer, or older worker without "reasonable business grounds," the Fair Work Commission can arbitrate and order the employer to grant the request.
Paid Family & Domestic Violence Leave: Australia is a world leader here, providing 10 days of paid leave for all employees (including casuals) experiencing family violence. This is considered a critical "flexibility" provision that allows women to maintain economic independence during crises.
Gender Pay Gap Transparency: Since 2024, the government has publicly published the gender pay gaps of individual companies with over 100 employees. This "name and shame" approach has pressured companies to use flexible work as a tool to retain women in high-paying leadership roles.
Comparison: Australia vs. France vs. Portugal
| Feature | Australia | France | Portugal |
| Enforcement | The Commission: Can order a company to allow remote work. | The Index: Fines based on a "Equality Score." | The Law: Explicitly forbids after-hours contact. |
| Remote Work | Right to request + Arbitration. | Must be the "default" if feasible. | Mandatory for parents of kids < 3. |
| Unique Asset | Paid Family Violence Leave. | 35-hour standard week. | Employer pays for home electricity/web. |
WBL Insight: Australia’s Supportive Framework score of 81.7 is significantly higher than the OECD average. This is because the Fair Work Ombudsman provides extensive free templates, calculators, and legal "best practice" guides that make it easy for businesses to comply with complex flexibility laws.
Austria: The "Work From Anywhere" Leader
Austria is a standout in the 2026 World Bank WBL 2.0 report due to its aggressive modernization of remote work. In 2024 and 2025, it enacted a series of reforms that transitioned the country from a "Home Office" model to a "Teleworking" model, significantly boosting its scores in the Work and Parenthood indicators.
Austria’s Performance Metrics (2026)
Austria is one of the top-performing OECD High-Income economies, with a legal framework that now explicitly addresses the nuances of the digital age.
| Indicator | Score (0–100) | Reason for High Performance |
| Legal Framework | 91.0 | Full legal parity in Work, Pay, and Parenthood. |
| Supportive Framework | 76.5 | High, supported by new tax and insurance guidelines. |
| Workplace Indicator | 100 | Legislated right to request flexible work and location. |
The Austrian "Teleworking Act" Model
The centerpiece of Austria’s 2026 ranking is the Teleworking Act (effective January 1, 2025). This law shifted the definition of flexibility from "working at home" to "working from anywhere."
"Working from Anywhere": The law officially replaced the term "home office" with "teleworking." This allows employees to work not just from home, but from coworking spaces, libraries, or even cafes, with the same legal protections as if they were in the office.
Accident Insurance Extension: Austria solved a major barrier to flexibility by extending statutory accident insurance to cover "teleworking" in these various locations, ensuring that a worker’s safety is protected regardless of their physical desk.
Digital Equipment Mandate: Employers are legally required to provide the necessary digital work equipment (IT hardware, software, and data connection). If the employee uses their own gear, the employer must provide a fair reimbursement.
Tax-Free Allowances: To encourage adoption, the government introduced a tax-free "teleworking lump sum" of up to €3.00 per day (for up to 100 days a year), helping to offset the employee's home utility costs.
Written Agreement Requirement: To protect both parties, teleworking cannot be forced. It must be a written agreement, giving employees a clear legal basis to negotiate their terms.
Comparative Look: Austria vs. The Peers
| Feature | Austria | Finland | France |
| Core Philosophy | Mobility: Work from any location. | Autonomy: Choose your own hours. | Rest: The right to shut off. |
| Legal Status | Written agreement required. | Integrated into 50% "Flexiwork." | Refusal must be justified. |
| Incentive | Tax-free daily stipends. | Time "banking" for leave. | Equality Index scores/fines. |
WBL Insight: Austria is a member of a small group of economies that includes gender-responsive procurement in its laws. This means the Austrian government actively prioritizes doing business with companies that can prove they have strong gender equality and flexible work frameworks in place.
Armenia: The 2026 WBL Regional Reformer
Armenia has emerged as the leading reformer in the Europe & Central Asia region within the World Bank’s 2026 Women, Business and the Law (WBL) 2.0 framework. Its recent ascent is defined by a rapid transition from Soviet-era labor rigidity to a modern, digital-first approach to flexible work.
Armenia’s Performance Metrics (2026)
Armenia's scores reflect a massive legislative push completed between 2024 and 2025. While it is still building its enforcement infrastructure, its legal foundations for flexible work are now among the most progressive in its peer group.
| Indicator | Score (0–100) | Reason for High Performance |
| Legal Framework | 87.5 | New laws formally recognizing telework and remote work rights. |
| Supportive Framework | 50.0 | Reflects the early stages of the 2026 mandatory e-contract rollout. |
| Parenthood Indicator | 87.5 | Significant protections for parents requesting flexible arrangements. |
Key Flexible Work Provisions
Armenia’s modernization is centered on the 2025 amendments to the RA Labor Code, which introduced several critical protections for the modern workforce:
Formal Recognition of "Distance Work": For the first time, Armenian law provides a clear legal definition for "telework" and "distance work." Crucially, the law mandates that remote employees must receive the same salary, benefits, and social protections as their in-office counterparts.
The Digital Mandate (January 2026): As of January 1, 2026, Armenia has implemented mandatory electronic employment contracts. This allows the government to monitor working hours and flexible arrangements in real-time, reducing the "informal" denial of flexible work requests.
Right to Request for Caregivers: Parents with children under the age of 8, as well as those caring for elderly or disabled family members, now have a strengthened legal right to request flexible working hours or remote locations.
Employer Justification Rule: If an employer denies a request for flexible work, they are now legally required to provide a written, objective justification. This prevents arbitrary denials and gives employees a basis for legal appeal.
Equipment and Cost Coverage: The law now explicitly states that the employer is responsible for providing the necessary technical tools for remote work. If an employee uses their own equipment, the employer must provide fair financial compensation for depreciation and utility costs.
The "Implementation Gap"
While Armenia’s Legal Framework score is high (87.5), its Supportive Framework score (50.0) indicates that the state is still in the process of training labor inspectors and judges on these new digital standards. The 2026 focus is on ensuring that small and medium enterprises (SMEs) have the digital literacy to comply with the new e-contract system.
WBL Insight: Armenia’s reform path is being watched as a blueprint for other developing economies. By leapfrogging traditional paper-based labor monitoring and moving straight to a digital contract system, Armenia is attempting to bypass decades of implementation hurdles found in older systems.
Global Reform Initiatives: From Law to Practice
As of 2026, the World Bank’s WBL 2.0 project has shifted its focus from simply tracking "laws on the books" to monitoring specific projects and implementation frameworks. These initiatives are designed to bridge the gap between having a law and ensuring it works for citizens in real-world scenarios.
Below are the primary projects and strategic initiatives currently active in these high-performing countries:
1. Portugal: The "Green Book" & Disconnect Initiative
Portugal’s primary project is the Green Book on the Future of Work, a comprehensive strategic framework used to identify and regulate emerging workplace trends.
The Right to Disconnect Project: Following the Green Book’s recommendations, Portugal launched a nationwide enforcement project to penalize "digital intrusion." Labor inspectors now specifically audit company servers for after-hours communication as part of standard workplace health and safety checks.
Gender-Responsive Procurement: Portugal is a global leader in a project that integrates gender equality into public tenders. Companies bidding for government contracts receive a "score boost" if they provide proof of active flexible work and equal pay certifications.
2. Finland: The Working Hours Bank System
Finland’s core project is the nationwide integration of Time Banks, a structural initiative that treats time as a form of currency.
The "Joustotyö" Expansion: A government-led project focused on educating SMEs (small and medium enterprises) on how to implement the 2020 Working Hours Act. This includes providing digital templates that help small businesses allow employees to "bank" their overtime as leave rather than cash.
Universal Childcare Infrastructure: Finland is currently finishing a massive investment project to ensure that 100% of childcare centers are digitally integrated with the national employment database, allowing parents to adjust their childcare hours in real-time as their work schedules shift.
3. France: The Equality Index & "Index Pénibilité"
France uses a data-driven project known as the Pénibilité (Arduousness) & Equality Project to drive workplace reform.
The Professional Equality Index: A mandatory annual reporting project for all companies with 50+ employees. The data is publicly published on a government dashboard, allowing consumers and employees to see which companies are failing to support flexible work for women.
Telework Charters: A legal project requiring every major company to draft a formal "Telework Charter" in negotiation with labor unions, ensuring that remote work rules are not determined unilaterally by bosses.
4. Australia: The "Closing Loopholes" Enforcement Project
Australia’s current focus is the Fair Work Enforcement Project, a direct result of the 2024–2025 "Closing Loopholes" legislation.
The Commission Arbitration Project: A new initiative where the Fair Work Commission acts as a rapid-response arbiter. If a flexible work request is denied, the commission has a project timeline to resolve the dispute within weeks, often resulting in legally binding orders for the employer to comply.
Pay Transparency Dashboard: A project by the Workplace Gender Equality Agency (WGEA) to publish the exact dollar-value gender pay gaps of individual firms, forcing a cultural shift toward flexibility as a retention tool.
5. Lithuania: The 32-Hour Public Sector Pilot
Lithuania is currently in the middle of a massive Public Sector Modernization Project aimed at setting a "gold standard" for the private sector to follow.
The 32-Hour Week Pilot: A government-funded project providing a shortened work week for parents of young children in state institutions. The goal is to collect data over three years (2024–2027) to prove that productivity remains high, encouraging private firms to adopt the same "parent-friendly" hours.
Caregiver Support Registry: A digital project that allows employees to register their "caregiver status" with the state, which then triggers automated legal protections they can present to their employers.
6. Austria: The "Telework Anywhere" Infrastructure
Austria is leading the Modern Mobility Project, which seeks to decouple "work" from "residency."
Insurance Harmonization Project: A legal-technical project that updated Austria’s social security systems to recognize accidents occurring in "third-party locations" (cafes, coworking spaces) as workplace accidents.
Digital Stipend Program: A tax-led project providing direct financial incentives for companies that transition their IT infrastructure to the cloud, making telework technically feasible for more workers.
7. Armenia: The E-Contract & Labor Code Modernization
Armenia’s primary initiative is the 2026 Digital Labor Transition, a World Bank-supported project to move the country away from paper-based employment.
Mandatory E-Contracts: A nationwide project requiring all employment contracts to be registered on a central government server by early 2026. This allows the government to automatically flag contracts that do not include mandatory provisions for "distance work" or flexible hours.
Labor Code Awareness Project: A regional initiative to train hundreds of new labor inspectors on how to identify "informal" discrimination and ensure that the new 2025 rights for remote workers are actually being respected in the private sector.
Comparative Summary of Active Projects
| Country | Primary Project | Core Objective |
| Portugal | Green Book on Work | Regulating the "Right to Disconnect." |
| Finland | Time Bank Integration | Treating work hours as flexible "credit." |
| France | Equality Index | Using public data to shame/fine companies. |
| Australia | Commission Arbitration | Forcing compliance through legal orders. |
| Lithuania | 32-Hour Week Pilot | Testing shortened weeks for parents. |
| Austria | Telework Insurance Reform | Protecting workers in coworking spaces. |
| Armenia | Mandatory E-Contracts | Digital tracking of remote work rights. |
Post a Comment
0Comments