The four-day week at South Cambridgeshire is set to continue despite funding threats.
The government has said it could use "levers" for the coming financial year to "disincentive" the scheme.
The district council began the trial for desk-based staff at the start of 2023, and has since expanded to include waste collection workers.
Staff receive full pay for working fewer hours, but are expected to complete all of their work in that time.
The authority wanted to see if it would help with staff recruitment and retention.
Councillors have faced repeated backlash over the trial.
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