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Benefits for Employers

Benefits for Employers

For employees, the benefits of working remotely are pretty clear: added flexibility, a greater sense of autonomy, and less time and money spent on commuting to and from the office. So what’s in a remote work arrangement for the employer? Quite a bit, actually. For those companies considering allowing some or all of their staff members to work remotely, the benefits are surprising.

Lower Overhead Costs

Firstly, companies that allow telecommuting generally spend less on things like renting an office space, office equipment and supplies, coffee and snacks, and electricity and heating bills. Employees who work from home full-time do not need furniture, such as desks, chairs, sofas, and lamps. Depending on the company, at-home employees may be asked to use their own computers and telephones.

Two businesspeople shaking hands.

High Quality of Life = More Job Satisfaction

Employees who work from home are more likely to have a better work-life balance. They don’t have to spend any time commuting, which may mean more free time to spend with their families or doing activities they enjoy, such as exercise or hobbies. In addition, they’re free to live wherever they want and are not restricted to living in the same city as company headquarters. As a result, they can choose to live in the country, travel regularly, or move to a new city when their spouse gets a job there. The ability to have these choices plays a role in employee happiness and when employees are happy, it’s a good thing for you as an employer. Employees who are satisfied with their life and their jobs are less likely to seek out new opportunities, which means less turnover.

Working from Home Boosts Productivity

In a recent study featured in the Harvard Business Review (HBR), a small entrepreneurial company running a Chinese travel website was asked to allow employees to sign-up to work from home for a nine month period.

Half of those who signed up were allowed to work remotely, while the other half had to stay in the office, serving as a control. After the nine-month period, a survey was conducted. The results revealed that not only were the telecommuters less likely to quit, they were also happier and more productive at their jobs.

Access to More Talent

As an employer, finding the right people to fit the job openings you have can be a struggle. Once established, few potential hires are willing to uproot their life for a job – they may have kids in school and a spouse also working in the city where they reside. However, when an employer allows employees to work from home, the pool of potential hires increases. Some employers choose to set a limit, such as a 2- or 3-hour radius from the office, so that employees can come in if they have to. Still, the hiring pool is much larger when it’s not restricted to one city. For other businesses, there’s no geographic limit to where employees can work. Those businesses are free to look into talent from around the world in order to find the absolute best fit for the job openings they have.