I was listening recently to a debate where a person (business owner) said they were struggling to get employees, because more and more people wanted to work from home. This got me to thinking, “what are the pros and cons for the employee and ditto for the business or employer?” I certainly know some employees prefer to work from home, and since COVID-19, some absolutely hate it and couldn’t wait to get back into the workplace. Let’s look at both perspectives from both angles.
Employee Perspective: Pros and Cons of Working at Home
Pros of working from home
- More independence. It does provide greater autonomy generally, and a good sense of independence. In some instances, you can even somewhat choose your work hours, as long as the business’s needs are met.
- Saves money. Sure, you will have some electricity but generally your commute costs will be less, either bus/train fares, or vehicle fuel and running costs like tyres. Depending on where you are, you might even save on parking and/or tolls.
- Increase in productivity. You will most likely be more productive when you work alone in a quieter place. When you have increased productivity this improves your output, helps you stand out (such as for a bonus or promotion) and gives you a better sense of satisfaction.
- If you need to move around (eg taking a call on a mobile phone) means you don’t have to be glued to your seat and can move around and keep the blood flowing. You can also take (fair) breaks when the time suits you, not because it’s ‘morning tea’ time.
- Improved technical skills. Everyone has had to improve their technical skills; how to use Zoom or Team or team collaboration apps or platforms.
- Improved communication skills. When you can’t just lean over and say something to someone, or ‘read their expression’ you do need to improve your communication skills; and be more organised so that you hit things effectively, not just say what pops into your head.
- More work flexibility. If you’ve got flexible hours, then it might be that you start earlier, your work done and can then clock off – which means you can attend medical appointments in the late afternoon and not need to use up sick days.
- Less distractions. Unless you’re working from home with loud, noisy people around you (or children) then you should find working at home is quiet and with less distractions. Of course, you might need to educate friends and family that you are working, despite ‘being at home’.
- Easier collaboration across the globe. If you’ve an office say in the US and you’re a morning person, then you might be quite happy to liaise with the US office early, get your day done and finish up early.
- Grants and incentives. Whilst not a lot around in Australia for grants (unless you’re a not-for-profit) some industries do have incentives. Some employers will even pay a ‘home allowance’ to go towards the cost of your computer, paper, toner, electricity etc.
- Provides more job opportunities. I certainly know of people based in another state who have gained work in a different state because they don’t have to ‘live around the corner’.
- Provides work-life balance. Working from home can help you with your goal of work-life balance. With the extra time you save in commuting, even working a little longer, you should have more personal time available.
- Mental health. Whether it’s fighting peak hour traffic, or the joys of public transport – not having to travel is surely to reduce stress levels big time.
Cons of working from home
- Increased isolation. Many employees really suffered through COVID and felt very isolated. If you’re an outgoing personality type, then you may find you absolutely need that people contact that a Zoom screen just doesn’t provide.
- Home office costs. You may need extra equipment, such as headphones or webcams which you may have to go out to buy. An extra cost you may not be prepared to spend. Plus, there will be extra electricity costs.
- Risk of overworking. This is a big one and something that many home-based workers experience; they simply live at work and work where they live, so really don’t switch off properly when they ‘leave at the end of the day’.
- Risk to productivity. Not everyone works great alone or can lose focus. Plus, there is the temptation to go to the fridge, hang out the washing or do something else – rather than what you are supposed to be doing.
- Distractions at home. Being distracted by the TV, pets or even other family members can be a challenge, plus you might not actually have a suitable room to work in – not everyone has an office at home they can use.
- Workplace disconnect. The fact is that often people who don’t see each other regularly will have a degree of disconnect.
- By not being able to see their team members working like they would in a physical workplace, some managers start over-controlling or micromanaging.
Business Perspective: Pros and Cons of Staff Working from Home
The benefits of staff working from home
- Employee satisfaction and happiness increased. We all know that a “Happy employee is a productive employee.”
- Talent retention and attraction. There are a good number of people these days who want to work from home, and if you offer this, they will more likely apply for your position, than the one they have to commute to and from every day.
- Happy workers stay in a workplace longer. Replacing team costs money in more ways than you expect. In fact, it often costs 1.5 times a person’s annual salary to replace them.
- Cost saving. With not having to have offices, you can cut back on physical space; you may have ‘hot desking’ where team only come in once in a while, or even be able to reduce your office space to next to (or actually) nothing. Electricity will be cut back (or out) and because you’ll save on paper, printer ink etc; you can pay your team a home allowance to further keep them happy.
- Carbon impact. Less commuting means less pollution, which of course is better for the environment.
- Improved engagement. Being flexible, where you allow people to start earlier, or work different hours, means (hopefully) they will be flexible also and help you out as well. Sure, I know there is no guarantee, but if you look after your team (and you’ve recruited the right people) you should see reciprocation.
- Access to a larger and more diverse pool of talent. Without the limit of geography, you can pull from another suburb, state or other side of the world.
- Forced adoption of technology. Some staff don’t like change, but if allowing them to work from home means getting up to speed, and they want to, then it’s more likely to be adopted.
- Less office politics. Hopefully, the drama stays away and there is less opportunity for conflict. With improved communication, there is less opportunity for people to ‘rub each other the wrong way’.
- Reduction in work absences. Since working from home offers flexibility, it can also reduce work absences and don’t need to pull a sickie or take a whole day off to see their dentist.
Disadvantages of work from home
- Business culture. This is harder from a distance, but if you manage things well it’s more likely to be less of a problem.
- Disengagement and disconnection. It can definitely occur and when staff are remote, this is definitely a problem you can come across within the business.
- Virtual fatigue. People working virtually, or working too many long hours will burn out. Burnout usually means they end up having to resign in order to get back some balance in their life. Staff leaving is not good for a business.
- Cybersecurity. You need to educate and guide your team to ensure no-one slips in this area; but it can happen whether they are at home or in your office. Get a plan, train your team and monitor your processes to ensure ttelecoteinhe team are following the process.
- Team-Building. This can be harder because the team can become a little disjointed. However, a creative owner/manager will find solutions to keep the team cohesive and productive – as a team, not just a heap of individuals all over the place.
- Slack employees. It’s no secret that a percentage of workers will take advantage of working at home. It can be harder to monitor people. It also means that ultimately you’re going to have to take action if they are not doing their job. I recommend you engage with an Industrial Relations expert to help you action things correctly. When recruiting, absolutely perform very solid reference checks to ensure you engage a trustworthy, honest, hardworking person who is not all about ‘ripping off the boss’. Unfortunately, the ‘slacker’ often creates a manager who then starts over-controlling or micromanaging – spoiling it for everyone!
So, as you can see, there are pros and cons from both perspectives and often these days, businesses offer a hybrid solution, which is a mix of both. My belief is that you should ask your team what each of them prefers. Some may opt for 100% in the workplace, others want 50/50 and others yet again, happy to come in only once a month or so. If you’re employing, I’d leave your options open as an employer and be clear that you will reassess in a period of time. Initially, of course, you may need to train and this may work better in the workplace. If the person works well and effectively (and productively) from home, then what’s stopping you from giving them more days at home? The smart employee will be productive and effective, to ensure that the ‘working from home’ option continues to be available. What’s the expression? Abuse it and you lose it!
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