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Startup Closes for Two Weeks to Keep Employees Happy, with Unexpected Results

| Source: CNBC Translated from Indonesian | Business
Startup Closes for Two Weeks to Keep Employees Happy, with Unexpected Results
Image: CNBC

Jakarta, CNBC Indonesia - Work-life balance is often a crucial issue in the world of work. Responding to this challenge, Britt Riley, founder and CEO of Haven, designed a childcare business focused on parents’ time efficiency and employee wellbeing.

Over the past seven years, Riley has built a network of clubs that combine daycare, workspace, and fitness facilities under one roof. To date, Haven has raised around US$20 million (approximately Rp357 billion) and has officially expanded its business through a franchise scheme.

Since its founding in 2019, Riley has consistently prioritised the wellbeing of her 60 employees. One of the extreme policies she has implemented is closing the company’s operations entirely for two weeks each year, namely one week in summer and one week at the end of the year.

This policy allows employees to unplug or completely disconnect from work without email or meeting interruptions, while still receiving full pay.

Inspired by Patagonia’s Work Culture

Riley revealed that the inspiration for this mandatory leave policy began with her study experience researching Patagonia’s work culture during university.

“At Patagonia, the principle of ‘Let my people go surfing’ is not just a sweet slogan. I saw firsthand how a successful and profitable company trusts its team to manage their own time. That actually breeds dedication and maximum performance,” said Riley, quoted from an as-told-to article.

That experience shaped her leadership philosophy when founding Haven. Given that she has no background in childcare, Riley viewed the industry from an outside perspective that she felt needed improvement.

“In this industry, early childhood educators are often treated merely as schedule coverage, not as human beings. Many of our staff told us that at their previous workplaces, taking personal leave made them feel guilty,” she explained.

Overcoming Doubts from Parents and Investors

The move to close the daycare facility initially sparked doubts. After all, in the childcare business, there is an unwritten rule that operations must not stop.

However, the member parents actually supported the policy. As people who care for children every day, parents understand the impact of extreme burnout very well.

To minimise disruption for dual-income households, Haven announces its operational closure schedule a year in advance. In addition, the holiday schedule is placed during the quietest weeks of the year.

“Compared with the risk of employee turnover and declining team energy quality, providing two weeks off is a very cheap investment in the long run,” Riley asserted.

As a result, Haven has earned Great Place to Work certification with an employee satisfaction rate of 100%.

Target of 100 Clubs by 2030

The main concept championed by Haven is familycare, namely cutting parents’ travel time. At Haven, parents can drop their children off in licensed play-based classes using the Haven Method curriculum, then walk a few steps to work, exercise, and enjoy relaxation facilities.

This strategy has proven to boost the company’s financial performance. Haven’s financial performance has continued to grow every year since 2019 with healthy margins.

Since January, the volume of franchise interest prospects has surged fourfold. Interestingly, 86% of new club opening applications are dominated by women.

Haven is targeting aggressive expansion by 2030:

  • Network Target: Opening more than 100 Haven clubs across the United States.

  • Job Creation: Creating thousands of new jobs for educators, directors, general managers, and franchise owners.

  • Satisfaction Target: Maintaining a Great Place to Work score of 100%.

“My advice to founders is to embed your values into the company structure, not just as writing on the wall. Also, maintain curiosity and believe wholeheartedly in what you are doing,” she concluded.

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