Just the word "telecommuter" is enough to make many managers start to sweat. When faced with the prospect of managing an employee they cannot even see, basic managerial knowledge oftentimes becomes hazy, resulting in a confusing arrangement for both manager and employee. As more of our world revolves around technology and an increasing number of jobs can be executed from a home office, managers must learn how to adapt their leadership style to cater to both remote employees, and those working in the office.
One of the main questions managers have related to telecommuting is "Why? What is in it for the company or the manager?" Since the employee benefits of telecommuting are so easily recognized, this is an excellent question. Telecommuting can, in fact, be a win-win arrangement for employers and employees.
Reducing Overhead
When an employee works from home, the employer saves money from not having to provide a physical location for the employee to work. This means less money is spend on rent, heat, electricity, furniture, supplies, janitorial costs, security, and many other things. Even if the employer helps telecommuters cover a portion of expenses such as cell phones, office supplies, and internet costs, the overhead is generally much less than providing an actual physical space with those amenities. Whether it is a couple of employees from each office, or a large percentage of the workforce, these savings truly impact the bottom line.
Attracting Top Talent
The element of trust is important in any relationship, including that of the employer and employee. A telecommuting policy sends a positive message to employees: i.e., "We trust you." When an organization fosters an environment of trust, employees will help spread the message of being a part of a great company culture. Top talent will settle for nothing less than the best, and company culture can certainly make a difference in attracting the best job candidates or losing them to the competition.
Increasing Engagement
The ability to work from home is a major bonus for many employees. This added value oftentimes makes employees appreciate their position more than they would have otherwise, which leads to commitment to the organization. An increase in personal commitment fosters a bond to the organization, which builds a strong foundation for Engagement.
Increasing Retention
The cost of replacing an employee goes far beyond recruiting fees. Loss of productivity as well as temporary replacement and training costs amounts to 138 percent of actual wages.1 Reducing voluntary turnover could make a huge impact on an organization's budget. One strategy that has proven to be an effective way of reducing turnover for many companies is incorporating a work from home policy. Telecommuters have a 60 percent higher intention to stay than employees who work in a traditional office setting.2 This increase in retention could save organizations a great deal of money over time.
Reducing Carbon Footprint
Social responsibility is becoming a more common organizational focus than in past years. Many employees, especially millennials, are drawn to organizations that limit their environmental impact. Telecommuting reduces carbon emissions from transportation, allowing organizations to reduce their carbon footprint and tout their commitment to the green movement.
Considering the aforementioned benefits, it would be wise for employers to consider incorporating a work from home policy, or expanding their current policy. In the past, telecommuting has sometimes been considered a risk for employers. However, as technology advances and business norms change, it could soon be more of a risk not to incorporate telecommuting into talent management.
1 Karol Rose, author of Work-Life Effectiveness: Bottom Line Strategies for Today's
Workplace, WorldatWork, 2006 (used the midpoint between the high and low extreme)
2 Clear Air Campaign, 2008
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