Benefits of Working Remotely for Employees & Employers

Jonathan
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Benefits of Working Remotely for Employees & Employers
Published on
Updated on
September 10, 2024

The capability to control where the workplace is situated, be it a personal office or in the kitchen at home, makes it easier to personalise and be comfortable thus enabling one to work harder.

Further, there is no daily trek to work and back without having to get stressed up throughout the working day. Conversely, extra time can be utilised in other productive activities or tasks that make the individual expend more time at work or home.

One cannot underestimate the benefits of health while working from home; less contact with illness-causing germs, less stress and therefore less stress-related ailments, and preparation of proper and healthy meals since no time is wasted running to and from the office.

The major advantage of remote working is possibly the ability of the employees to work from the comfort of their homes. For employees, this sometimes translates to working in seclusion, from the hustle and bustle of the workplace interference that may be present in an organisation.

Over the last few years, there has been a significant increase in information technology that has brought widespread adoption of remote working and the general layout of the usual office space.

This blog focuses on the advantages of working from home that workers and their companies receive. Before discovering the benefits, read our detailed blog on “What is remote working” for a better understanding of our concept.

Benefits of working remotely  

Let’s discuss the benefits of allowing employees to work remotely and the importance of remote work in the employer and employee’s life.

1. Flexibility and work-life balance

  • Customised schedules: Remote work frees an employee to be his/her boss and timetable his/her working schedule to correspond with the most productive times.
  • Reduced commuting stress: Employees benefit from reduced travelling time and are relieved from the frustrations of traffic jams or cramped public transport thus healthier both physically and mentally. These Health benefits of working from home can’t be ignored.  
  • Improved work-life integration: Freelance working enables an individual to balance personal and family obligations and work.

2. Increased productivity

  • Fewer distractions: It minimises distractions from co-workers or office noise and provides the chance for employees to work in an environment to the best of their ability.
  • Personalised work environment: People can adjust the environment to their needs improving comfort and, as a result, productivity levels.
  • Autonomy: This results in greater independence among the employees, and this independence coupled with other factors results in better performance.

3. Cost savings

  • Reduced expenses: Workers can reduce transportation expenses, and the cost of uniforms as well as eat-outs, while end-users can be relieved from overhead expenses for example space and power consumption.
  • Lower turnover: As a result of the possibility to work remotely, people seem to be more satisfied with their jobs and work longer time, which saves money for the employer connected with hiring new employees.

4. Access to global talent

  • Virtual hiring helps organisations scout for talents that are beyond their office or specific geographical location.
  • Global hiring: Companies are free to solicit employees regardless of their geographical location hence acquiring the best employees from around the globe.
  • Diverse teams: Remote work allows one to build teams with people, who are different, and have different skills and different points of view, which often leads to innovations.

5. Environmental benefits

  • Reduced carbon footprint: Less travelling and reduced usage of infrastructure facilitate reduced emissions, hence promoting sustainability. These are the major environmental benefits of remote working.  
  • Decreased resource usage: Reduced usage of paper, energy and water can lead to great impacts on the environment and world earth.

6. Enhanced job satisfaction

  • Greater work autonomy: Remote workers' self-managerial roles enhance autonomy at the workplace thus improving job satisfaction.
  • Better health and well-being: The ability to manage work and personal life more effectively can lead to lower stress levels and better overall health.

7. Business continuity

  • Resilience: Remote work setups enable businesses to continue operations during emergencies, such as extreme weather or public health crises, with minimal disruption.
  • Scalability: Companies can scale up or down more easily without the constraints of physical office space.

8. Improved inclusivity

  • Accessibility: Remote work can be more accessible for individuals with disabilities, reducing barriers to employment.
  • Inclusive policies: Remote work can support a more inclusive workforce by offering flexible arrangements that accommodate various personal circumstances.

Remote work is not without its challenges, such as the potential for isolation or difficulty in maintaining boundaries between work and personal life. However, with the right strategies and tools in place, these benefits can significantly outweigh the downsides.

Challenges of remote working  

1. Communication barriers

  • Lack of face-to-face interaction: Many times, non-verbal cues which include gestures, facial expressions and intonation of voice are not well understood when people are conducting meetings online.
  • Time zone differences: Working in different time zones makes it challenging to arrange for meetings, and also hampers real-time working.

2. Technology issues

  • Technical difficulties: Now, unforeseen issues such as net connectivity issues, and software or hardware issues, can hamper work activity, and slow down productivity.
  • Over-reliance on digital tools: Communication intensiveness can result in what has been referred to as ‘Zoom fatigue’ whereby one gets overwhelmed by notifications.

3. Work-life balance

  • Blurred boundaries: Since the boundary between work and home is blurred, it might be difficult to ‘clock out’, hence working longer hours and employee exhaustion.
  • Family distractions: Elderly dependents, sick children, or relatives and friends who require one’s companionship from time to time may act as distractions.

4. Isolation and mental health  

  • Social isolation: Lack of colleagues to interact with can make one feel lonely and hence they can get bored.
  • Stress and anxiety: Duties put pressure on people working remotely together with loneliness resulting in stresses such as stress, anxiety, and depression.

5. Team collaboration

  • Coordination challenges: As for the organisation that structures people into teams and makes them work on projects, it should know that it is much more challenging to collaborate with colleagues located in different areas of the country and, thus, have more time to develop hobbies instead of working on projects or risk having different objectives and expectations when communicating through electronic media.
  • Reduced team cohesion: Maintaining morale and creating a team culture can be said to be relatively challenging especially where subordinates do not report to work physically.

6. Productivity and accountability

  • Self-discipline: A flexible workplace means that the worker is expected to be self-directed in their tasks since they do not have their supervisor around most of the time.
  • Lack of motivation: The relaxed working environment does not offer direction that ensures that a fixed time is devoted to work hence resulting in poor time finding and ineffective motivation.

7. Career development

  • Limited visibility: Teleworkers may have a perception of being ‘out of sight’ and therefore, ‘out of mind’ resulting in a negative influence on promotions and career mobility.
  • Access to training: First of all, remote workers may suffer from a lack of training and professional development as compared to opportunities which might be available in the centralised workplace environment.  

8. Security concerns

  • Data security: A rather apparent concern is the fact that most employees are working remotely, and that can lead to a number of security threats related to the leakage of valuable company data.
  • Compliance issues: Ensuring compliance with industry regulations can be more challenging when employees are dispersed and using various networks and devices.

9. Cultural and organisational challenges

  • Maintaining company culture: It can be difficult to sustain a strong organisational culture when employees are not physically present.
  • Management styles: Traditional management approaches may need to be adapted to effectively lead remote teams, requiring new skills and strategies.

Read further about challenges and how to solve them in our recent blog - “Challenges of remote working” or learn how to make a strong remote team from our blog “Virtual Team Building Activities”.

Addressing these challenges

To overcome these challenges, organisations can invest in better communication tools, provide mental health support, establish clear boundaries between work and personal life, and offer training to help employees adapt to remote work environments. Additionally, fostering a strong company culture and encouraging regular check-ins can help maintain team cohesion and morale.

Benefits and drawbacks of remote work  

Aspect Benefits Drawbacks
Work-Life Balance Greater flexibility in managing personal and professional life Blurring of boundaries between work and personal time
Commute No commuting time or costs Lack of separation from the work environment
Productivity Potential for increased productivity due to fewer distractions Potential for decreased productivity due to home distractions
Flexibility Ability to work from anywhere, accommodating different schedules Risk of overworking or feeling always "on"
Cost Savings Reduced expenses on commuting, meals, and work attire Potential increased costs for home office setup
Health and Wellbeing More time for exercise, better sleep, and healthier eating Possible feelings of isolation or loneliness
Talent Pool Access to a global talent pool for employers Challenges in building a cohesive company culture
Collaboration Easier to schedule meetings across time zones Potential communication gaps and reduced spontaneous collaboration
Career Progression May enable career opportunities not limited by location Potential for reduced visibility and fewer networking opportunities
Environment Reduced carbon footprint due to less commuting Increased energy consumption at home
Company Overheads Lower operational costs for businesses (e.g., office space) Potential challenges in managing remote teams effectively
Employee Satisfaction Often higher job satisfaction due to autonomy Potential decrease in morale if not well-supported by employer

Read about what remote working and remote work benefits in our latest blog- here. You can also read “What is offshoring” and “What is a virtual team” to understand and resolve these challenges.

Benefits of remote work for employees

Remote work provides employment opportunities great degree of flexibility since employees can coordinate most of their work schedules with other commitments and preferences. This flexibility can have definite benefits to the extent that it allows employees in extreme cases to have better work-life business balance or correspondingly other person’s care, household chores or any kind of personal chores do not interfere with the strict formal office hours. Remote working or the flexibility to choose where to work also means that one does not need to spend time and energy going to work. It can also help to person’s overall functioning and satisfy the needs in the workplace.

Besides, working from home also reduces some of the working costs that employees have to incur on their own. If there is no commuting required then people save costs such as fuel costs, public transport costs and the general wear and tear on the company vehicle. This also means that there is no need to buy formal work clothes or eat out any more frequently than necessary, which will save money even more. Also, freedom arising from working remotely results in increased efficiency due to the capability of developing a working environment conducive to productivity. It also leads to increased self-responsibility and may decrease the risk of burnout and enhance job satisfaction.

Benefits of remote work for companies

In its overall implications, it shows that, for companies, working from home means main business cost reduction. Due to a decreased necessity for an established centralised workplace, overhead costs including rent, utilities and other office-related expenses will be minimised. This, in turn, means that with a remote work model, organisations might be able to recruit the right staff irrespective of the geographical location they come from. This can bring in talents to the organisation from different backgrounds and thus increases the innovation level thus increasing the competitiveness of the firm.

Outsourcing also leads to high productivity among employees as well as high retention rates among workers. It is observed that with reduced interference from calls and meetings and with the option to be most productive at the company’s best hours, the individual does better. First of all, freedom and independence with the implementation of remote work also impact the morale of employees, which means that more people will stay with the company.

Conclusion

Organisation employees and employers have begun realising the various advantages of this new approach to working. From the ability to work from the comfort of one’s home to the challenges that remote work poses to organisations and the environment, the practice has become standard as the era of the standard working day, from 9 to 5 in the office is long gone.

Use our employee cost calculator to see how much you can save when you offshore to India. Ready to build your virtual team? If yes, connect with me today!!!

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About the author

Jonathan is the CEO here at Black Piano. He is on a mission to help small to medium-sized businesses scale as quickly and affordably as possible. He's a management consultant by trade, but hey, nobody’s perfect! Jonathan excels in building remote teams and has expertise in offshoring, outsourcing, team building, EoR, business development and much more.

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