3 Ways Companies Who Go Remote See It Pay Off BIG TIME
How does working remotely really impact remote companies and their employees?
In today's post, I dive into the real benefits of remote work for companies that go remote. What impact has remote work had on the mental health of employees? Do the numbers prove that companies really truly benefit from a remote workforce, or is it just a bunch of hot air? Keep reading to see the unexpected findings!
I'm a huge fan of remote work because it’s dramatically increased the quality of life for me and been a game changer for many of my clients. Working remotely has become one of the primary ways to work in 2020, and companies across countless industries have already made temporary or long-term shifts to going remote. The remote way of doing work is definitely here to stay.
What did we discover? In short, research around employee satisfaction suggests a range of benefits and considerable savings for both employees and employers alike. In fact, a typical employer can expect to save an average of $11,000 per half-time telecommuter per year. What’s even more surprising is that in 2018 (before this monumental year for remote working), there were an estimated $5 billion in cost savings for U.S. companies that enabled employees to work from home, and these savings only took into account part-time telecommuters!
Whether you’re an employer weighing out your options or an employee hoping to strengthen your argument for remote working, here are 3 ways companies with a remote workforce are seeing the payoff:
Greater Productivity
From reducing outrageously long commute times to distraction-free workspace, there are a range of ways remote working can boost morale and contribute to improved employee productivity. One two-year study found that the added productivity from remote-working employees was equivalent to a full day’s worth of work a week!
Employee feedback suggests that employees are strongly in favor of going remote. A startling 77% of individuals feel that they are more productive working remotely than in an office. I used to commute 4+ hours a day living in Los Angeles and trust me, this is no way to live. Working from home can offer employees the flexibility and opportunity to create a workspace that works uniquely for them and supports their productivity. Maybe you’re a plant lover or just simply enjoy the company of a canine friend sitting around your feet? Or perhaps you enjoy having easy access to home cooked meals and fresh air? Remote work allows employees to fully customize their workspace and schedule in whatever way suits them and their working style best.
Although Slack pings and sporadic Zoom calls might be a distraction when working from home, arguably it's nowhere near as disruptive as the annoying rustling of office papers and snack wrappers or the drama of office water cooler gossip. Did you know, office workers spend an average of 66 minutes a day discussing non-work related topics? Remote employees reported spending less than half that time on non-work conversations: just 29 minutes per day.
Many of us may experience the pressure to stay longer hours after work or arrive much earlier to beat fellow commuters to the office. Here’s the downside: our productivity levels drop by 11% when working over 8 hours, and decrease by as much as 19% for every additional hour we spend at our screens! So while that extra time in office may seem admirable and associated with a stronger work ethic, many of us are less likely to be actually working and working well. It seems that an office space - even with a quirky open layout and unlimited snacks - may not be the answer to keeping employees engaged. A more productive workforce awaits -and it doesn’t seem to require pricey office rent or employees staying late to avoid the commuter rush.
2.Employee Retention & Expanding the Talent Pool
It seems evident that remote work is exactly what most employees are clamoring for - even over more pay. In fact, 61% of employees who do not currently work from home would give up some pay in exchange for being able to work remotely, and 72% of employers say telework has a high impact on employee retention. While for some it may be the flexibility or reduction of commuting costs, for others the appeal of remote-working may simply revolve around the freedom to make food and enjoy eating in the comfort of their own kitchen. The opportunity to work remotely can be especially valuable for working parents whose children are now engaging in online learning and require their parents’ attention at home.
Switching to a remote model allows companies to expand their talent pool by reaching candidates outside of commuting distance. Forget the need to negotiate pricey relocation packages, companies are able to explore a bigger and more diverse pool of candidates who are keen to join a remote team without the inconvenience of moving homes, let alone cities. Being able to recruit talent from nearly anywhere enables companies to reach a wider range of candidates across the country or even globally, which can be especially beneficial for companies in more rural areas or early-stage business ventures. Finally, companies can narrow down their search and find the specific talent they’ve been seeking - from niche tech wizards to multilingualism - all while creating opportunities to expand inclusive hiring practices.
3.Improved Employee Health & Well-Being
Companies with a remote workforce can expect to see radical improvement in many areas of their employees’ health and well-being. Waking up early frazzled and irritated by a commute ahead isn’t exactly the best way to start any day, let alone a productive workday. Time gains from remote work open up a window of time for employees to develop healthy habits, such as daily exercise, eating more nutritious meals, or honing in on a powerful morning routine (something that many successful leaders swear by). An Indeed survey revealed that 75% of remote employees found that working offsite improved their work-life balance and 40% reported not feeling stressed typically during their average workday.
There is no time quite like the present when it comes to prioritizing the health and safety of employees, and that includes reducing their risk of exposure. Given approximately 80 % of infections are spread by hand contact and touching contaminated surfaces, remote workers are able to avoid these risks to a greater degree. Reducing employee sick days and absenteeism means a more productive workforce and higher profit margins for companies - which is a win for everyone.
While a remote workforce may not be feasible for some companies, the statistics certainly present a strong case for employers going remote. The question is, with such strong benefits to remote work, what implications might this have for the companies that don’t go remote? Will they be left in the dust, or will there always be companies that choose in-person over remote work settings?
And if you are a remote worker, how has going remote changed things for you? Let us know in the comments below!
To Your Health & Wellness,
Dr. Therese