Managers are frequently asked to do more with less. Finding ways to gain a financial or talent “edge” is vital, particularly after so many felt the global pandemic’s harsh economic impacts. One of the top ways to obtain top talent and lower your bottom line is to adopt a remote workplace.
Nuts and Bolts Savings
According to the State of Association Workplaces Post-Pandemic, when associations sat down and calculated the return on investment (ROI) of going remote, they found positive or neutral results. A harsh economic environment did not hamper profitability for remote workforces. There are many benefits to remote work beyond the simple financial gains of releasing or reducing office space. Outside of real estate costs and the tax savings associated with them, organizations going remote can also save on:
- Cleaning (especially deep cleaning required by many during the pandemic)
- Parking or public transportation stipends
- Food (whether beverages, snacks, or a cafeteria)
Other benefits include reduced absenteeism because the “office cold” is eliminated. They don’t need to decide whether or not to stay home if they have a cough. Remote work can also negate lingering health and ongoing COVID-related concerns. It can help organizations sidestep concerns over instituting vaccine mandates and enforcing mask-wearing. It also eliminates the need for employees to miss work due to quarantining if exposed to COVID. The time, money, and hand wringing many organizations experience over these issues cease to exist when you don’t need to go into an office.
Employee Engagement and Retention
Employers instituting remote work can also see an increase in their employees’ productivity. A Stanford study found remote employees were 13% more productive than their counterparts. In fact, “Stanford Graduate School of Business professor Nicholas Bloom says requiring employees to be in the office is an outdated work tradition, set up during the Industrial Revolution. Such inflexibility ignores today’s sophisticated communications methods and long commutes, and actually hurts firms and employees.”
By providing flexibility, employers improve employee engagement and retention, thus avoiding an expense of $4,129 cost-per-hire as reported by a SHRM Benchmarking Report. While for employees, Flexjobs reports that working parents saved more than $200 per week while “the average person can save about $4,000 per year by working remotely.”
With the number of job openings at an all-time high, there is significant competition for high-performing, quality talent in different areas. Hiring remotely challenges the “requirement” to hire locally by significantly expanding the reach of your applicant pool. The Journal of Accountancy argues that “Eliminating geographic boundaries in hiring can be a great way to find in-demand skilled workers… It can also be helpful in keeping talented workers who want to leave more expensive, crowded cities and resettle elsewhere.”
Allowing employees the flexibility to work where and when they want shows that you trust them. In turn, they are more committed and productive in their work. Engaged employees want to feel respected and valued, and when they are, it enhances an organization’s profitability and retention.
The Numbers Don’t Lie
Flexible workforce models can benefit an organization’s ability to serve their missions, members, customers, and other constituents better for longer. Remote work is an alternative to the idea of “do more with less.” It frees up resources enabling organizations to put more money back into their programs, products, and services. Flexible work is the future of work.
If you need help enhancing your employee engagement in a remote or hybrid workplace, contact us for more information.