'You could even see this as an opportunity to better streamline the business,' says lecturer citing benefits of working from home, office
Hybrid work looks like the perfect recipe for employee wellbeing – with research showing workers take fewer sick days, are less stressed and see reduced levels of anxiety – and productivity.
New research from International Workplace Group (IWG) finds that more than a third of hybrid workers (36%) are taking fewer sick days, with eight in 10 also seeing a better work-life balance and reduced anxiety.
A healthier workforce is also boosting business outcomes, the findings state, with 75% of CEOs noting increased productivity and over three-quarters (77%) seeing increased employee engagement among a hybrid workforce.
The findings come as recent research showed that rising sick days are costing businesses and the economy billions annually and long-term sickness is taking a near $42 billion toll on productivity, a number that could double by the end of the decade, according to research conducted by Bloomberg.
Given the pluses, there would appear to be ample evidence for HR to build a business case for hybrid work.
It is the natural response to finding balance in all aspects of people’s lives, according to Andrew Dhaenens, Lecturer at UNSW’s Business School.
“Organisations want to facilitate benefits and reduce turnover whilst also making sure their workforce are embedded in workplace culture – hybrid working can help facilitate that,” he said.
“Allowing flexibility ensures you’re getting the most out of your employees. Instead of travelling 45 minutes to an hour to work, that time could be better utilised. There are some things that are better in an office, but a lot of things can be done from home and that’s why it’s so beneficial.”
While HR often has to find balance between employee wellbeing and the bottom line, hybrid work shouldn’t be hard to make a business case for, according to Dhaenens.
“Over the last five years, the costs associated with remote work have plummeted. You often look at monitors – it used to be very expensive for businesses to keep their IT department up to date but now monitors are one of the cheapest bits of equipment you can get,” he said.
“Commercial office spaces are finding the same challenge in the sense of their space being less valuable because of people working remotely – but the uncomfortable truth is that the costs of those spaces are offset by the benefits of someone working from home because of the increased efficiency and that’s absolutely not a bad thing.”
Despite return-to-office mandates in force across the country, studies show that more than a third of Australians are still working from home, as reported by ABC.
“Working from home is the natural response to finding that balance,” Dhaenens said, “and you could even see this as an opportunity to better streamline the business – that’s another case you could put to high-ups.
“Looking at infrastructure that works for your team, whether that means owning your own space instead of renting. By tailoring that experience, you’re making employees more willing to work in the office so, technically, you’re saving money.”
The study of more than 2,000 hybrid workers by IWG also found that the reduced time spent on daily commutes is cited as a key factor in helping reduce overall stress levels for 80% of hybrid workers.
"Hybrid and more flexible ways of working are incredibly beneficial for both employees and their employers. Not only is it universally popular with workers with higher levels of satisfaction and an improved work-life balance reported, but as this research shows, employees are taking fewer sick days, managing stress better, and adopting healthier lifestyles. Meanwhile, companies are enjoying higher levels of productivity and lower costs.", said IWG’s CEO, Mark Dixon.
With hybrid working being around since COVID, there are still ways we can expand and integrate the strategy across the business.
“It’s all about creating that culture about learning – and this is a perfect opportunity to suggest how hybrid working would be beneficial for your business. Instead of just implementing it, why not look at individual experiences for people to better utilise the location of where you work?” Dhaenens said.
Employers might not have the best employees within their local community, so hybrid working would help with skills shortages — and potentially long-term success and growth, he said.
“Returning to the office is the ‘now’ thing, but instead of looking at what’s in front of you, allowing that [hybrid] balance not only saves you money but also makes your business more sustainable. That’s a pretty easy business case to put to any CEO.”
