An Employment Attorney’s Guide to the Benefits of Remote Work
Remote work can provide personal and economic benefits.
On a personal level, many employees find that remote work makes them better spouses, parents, and friends. They are happier when remote. That’s understandable. Remote work makes getting to after-school activities easier, eliminates time-sucking commutes, and makes living part of the year in a warmer climate possible. Other employees just want more time with pets.
You might dismiss these personal preferences. But I don’t think that’s wise. Every employee is wired differently. Some employees will thrive in a remote work environment. Other employees will struggle. Your goal should be to figure out what works best for your company and your employee, which is usually the same thing. Plus, from a business and legal perspective, there are compelling reasons why you should consider remote work.
Let’s look at a few of remote work's advantages.
Recruitment. Most employment issues are, at the root, recruitment issues. If you recruit and hire the right people, many other problems start to take care of themselves. You need to be able to find and hire the best talent.
If you’re only recruiting in one part of the country, you generally have a small talent pool. With remote work, you don’t have to operate in Silicon Valley to get technology talent. You can recruit the best and brightest even if they are on the other side of the country. Remote work is a recruiting advantage.
Retention. Your employees want to work in places they enjoy, near people they love, at times that make sense. They want to spend less on lunches, dress clothes, and fuel. They don’t want to be stuck in rush-hour traffic for two hours breathing exhaust to attend a twenty-minute meeting that could have been an email.
If you don’t give your employees flexibility and autonomy, your competitor will. Remote work is one of the best tools for employee retention. The cost of hiring and training a new employee to replace an existing employee is difficult to quantify. However, some experts estimate that, on average, it works out to about six months of the departing employee’s pay. That’s a cost and stress that you’re better off avoiding. Remote work can help you do so.
Gender Equity. Remote work can help encourage gender equity. Female employees are more likely to take a career pause than their male counterparts to stay home with a newborn. Women also generally shoulder more childcare responsibilities, including medical and dental appointments and after-school activities. The gender inequity could be accentuated if the mother is a single parent. If a job allows flexibility, employees are less likely to leave. Long term, this means less of a gender-based pay and promotion gap.
Management Culture. Remote work is good news if you’re a secure manager who cares more about outputs than inputs. Remote work can make your job considerably more enjoyable. You’ll have more time to deal with big-picture issues, and your employees will enjoy autonomy.
Control of Overhead Costs. Agility is one of the best defenses against market shocks. Your business will be agile if you have fewer leases and less overhead. Light ships can quickly pivot to either avoid danger or seek opportunity. When you have remote employees, your agility can be a competitive advantage.
Diversity. Diversity is a competitive advantage. Diversity opens up new markets and helps attract underserved talent. If you’re a federal contractor, you generally must have an affirmative action plan. You’ll want to show that your company is progressing at recruiting, hiring, and retaining diverse talent. Remote work can be your DEI Officer’s greatest ally.
Conclusion. Remote work will make life more legally complicated. But the benefits are too great to pass on. When done correctly, remote work can help make your business more legally compliant and financially competitive.
