Jun 17, 2020
Employers are seeing the benefits of going remote. In some cases, employers are seeing positive boosts in productivity, while others are reporting an overall happier workforce and lower attrition rates. Below are three benefits employers can expect from a (at least partial) remote workforce:
As stated above, one of the biggest benefits an employer sees when hiring remote employees is an increased level of skill and diversity in candidates. Since employers are no longer bound by hiring from the candidate pool in their immediate geographical area, they are free to seek out the best and brightest around the world. Remote work has been especially helpful for normally disadvantaged groups, like disabled employees, who can now work to their fullest potential in the comfort of their homes. It’s ultimately wise for employers to consider remote hiring, since it’s proven that diversity helps businesses increase innovation, boost creativity and raise employee engagement.
One of the biggest knocks on remote work is that employees are lazy or less productive. In most cases, it’s actually the opposite. According to a Harvard University study, WFH employees could actually boost US workforce productivity by more than 4%. Researchers found that WFH employees actually take less sick time and are more comfortable in their surroundings, which resulted in less errors and billions of dollars back into the economy. Additionally, another Stanford University study of a 16,000-person Chinese travel agency saw a staggering 13% increase in productivity because employees were happier with their careers.
Remote work has been proven to reduce operating costs for most businesses. In fact, six out of 10 employers identify remote work’s cost saving effects as a major reason why they are shifting towards telecommunication. For example, technology giant IBM is saving upwards of $50 million a year on real estate costs by moving a portion of their workforce to remote opportunities. Since employees are healthier, happier and more engaged in remote opportunities, there are lower rates of attrition. This equals big bucks for employers, who report that losing a team member can cost them anywhere from $10,000 to $30,000 in lost productivity and hiring costs for another employee for that one position.