There isn’t a day that goes by that I don’t hear a candidate say they would love to work from home. I can hear dreaminess in their voices–visions of sweatpants and homebrewed coffee. The U.S. Department of Labor reports that approximately 24% of employees do some or all of their work from home, and that number is on the rise.
While there are drawbacks to having remote employees, if you are a hiring manager with the authority to determine who works from home and when, there are major benefits to giving your team the freedom to work remote.
RECRUITING AND RETENTION
According to Global Workplace Analytics, 80% of employees would like to telework at least part time. At Talentfoot, it’s not often we have remote positions available. Largely because these positions are so high in demand, companies often don’t need recruiting assistance to attract great talent. Remote positions give companies the luxury of being able to recruit nationwide, which means there are no geographic constraints to finding the perfect person for an open position.
Once on board, remote employees report higher job satisfaction. They enjoy greater freedom of deciding how to accomplish their work, and when. This brings overall increased morale to the workplace, and often shields at-home workers from office politics that can plague employees. Studies show that remote employee retention rates are 50% higher than in-office employees. Take into consideration the average cost of replacing an employee is between $10,000-$30,000, that’s a lot of savings for your company’s hiring budget.
Remote employees almost unanimously proclaim increased productivity while working from home. They tend to trade their commute times for working longer hours, they take less time off, and aren’t distracted by watercooler banter or office birthday parties. More research on telework productivity needs to be done, but a famous study often cited by proponents suggests that remote employees are 13% more productive.
Depending on your organization’s structure, working from home could save the company thousands of dollars per month, per employee, in expenses. Some companies save costs due to increased employee retention rates, lower overhead, fewer sick days, and increased productivity.
On the flip side, it’s estimated that remote employees personally save approximately $7,000/year in expenses related to working in the office. The cost of work attire, lunches, and commuting expenses add up. Many people will gladly trade a pay cut for the chance to setup a home office. There’s a compelling argument as to whether it’s right for companies to pay remote employees less, since evidence suggests these employees are equally as effective in their jobs.
If recruiting great talent to your company is continuously a problem, consider providing the option to work remote a few days a week. Even the most difficult to fill positions can suddenly bring you interested, and highly qualified candidates.