The Argument for Flexible Work

The ability to work from home has evolved into an employee benefit desired by all generations in the workforce.

As of 2018, 3.6% of the non-self-employed U.S. workforce (around 5 million people) worked from home half-time or more. Data shows that up to 56% of the non-self-employed workforce could work from home based on their job requirements and resources.

The recent COVID disaster has been a catalyst for businesses to reassess their strategy and thinking behind remote work. But outside of infection prevention, is there a real case behind encouraging this 56% of our workforce to no longer plan their lives around their daily work commute? 

I argue yes, for the betterment of our mental health, our businesses’ bottom line, and our planet. 

Mental health in the U.S. has been on the decline, highlighted by a 25% increase in suicide rate from 1999-2016. Reducing stress has never been more important, and providing remote work options is one way to support this much needed effort. Flexible work policies allow employees to optimize their weekly schedules, opening up windows of time to walk the kids to school, complete necessary chores or travel to spend a long weekend with extended family. This freedom creates relief and promotes connection within our families and communities.

A 2016 experiment conducted at a Fortune 500 company by MIT professor Erin L. Kelly and University of Minnesota professor Phyllis Moen investigated whether flexible work policies promoted employee wellness.  They divided a technology department into two groups: one implemented a restrictive work from home policy, while the other was provided the freedom to work remotely. The group with the freedom to choose remote work reported being happier, with reduced levels of stress and burnout and a slightly higher level of productivity. This is one of numerous studies pointing to a similar conclusion. 

Happier employees correlate to a reduction in turnover, which in turn reduces high employee acquisition costs. Remote work policies are also considered a perk that entice the best talent without requiring an additional price tab.

In addition to lower employee costs, remote work also supports a reduction in fixed costs like physical office space. A top, global technology company estimates the cost per employee, per desk in their Seattle, WA headquarters is $15,000 per year. There are many ways to optimize the distribution of this per person office cost; one, by not requiring every employee is onsite Monday-Friday. Reducing the number of onsite staff per day provides more space for employees to work and reduces overall office costs.  

Outside of the obvious drop in office costs pertaining to rent and supplies, less people at the office at one given time reduces a building’s carbon footprint. There is less trash, less food waste, a reduction in HVAC and mechanical system use and reduced commuter impact. Local governments are incentivizing businesses and the commercial real estate industry to reduce their carbon footprint with tax breaks and subsidies. Flexible work policies support this important public initiative and can potentially provide additional cost relief.

There is no denying that our planet has benefitted from less commuters. The UN Council projects a-6% in global emissions in 2020 due to the impact of COVID-19. Here in the United States, greenhouse gas emissions from transportation account for 29% of total emissions, making it the largest contributor. Encouraging employees to work from home reduces the number of commuters on the road, supporting the urgent need to reduce emissions throughout the world.

While some industries are more primed for this employee benefit than others, there are some first steps all industries can take to hop on the flexible work train. 

The initial building block is trust between employees, managers and executives. Trust can be built by digging into the details of the desired output of a role and creating key performance metrics and clear targets required to achieve the goals. This assessment also allows a company to more deeply understand their distribution between essential onsite workers and a remote workforce.

Remote work requires systems and technology – communication platforms, user databases, video conferencing technology and collaboration technology are imperative to facilitating remote work. Adopting these systems with holistic implementation strategies now places companies of all kinds ahead of the “future of work” curve.

Investment in flexible work is a smart decision to future-proof companies in all industries, all the while positively impacting the health of our minds, our communities, our businesses and our planet. It’s also a great opportunity for businesses to align their goals to their employees desires.