Hybrid working; essential for a better work-life balance, or productivity inhibitor?
Paul Strong, Executive Director, Morgan McKinley
Four years on after the pandemic, the global workplace is still debating the merits and downfalls of hybrid work patterns continues. We recently conducted research to gather insights about various hiring and workplace trends by surveying over 3400 professionals and 650 employers/hiring managers globally and found that:
- Preference for Hybrid or Remote Work: 89% of respondents express a strong preference for continuing in a hybrid or remote work model
- Employee Satisfaction: Professionals working in hybrid models express the highest contentment with work patterns: half willing to forego pay raises for desired flexibility
- Remote Rewind: Despite employee preferences, 56% of companies globally are urging staff to return to the office more regularly
- Employee Dissatisfaction: Onsite workers show higher rates of actively seeking new employment opportunities compared to hybrid and remote workers
- Impact on Talent Attraction: Flexible working arrangements emerge as a crucial factor in talent attraction and retention, with 61% of hiring managers highlighting its importance
Mismatches in expectations and preferences
This highlights the preference for hybrid work models among the global workforce. Yet, it isn’t just as straightforward as giving the people what they want. Employers are likely to have different perceptions and may not be as eager for hybrid working to be so prolific…and our research highlighted just that.
- 56% of companies globally are asking staff to come back into the office more regularly than last year.
The mismatch in expectations between employers and employees isn’t just a minor concern; it has significant implications. For employers, not meeting demand for flexibility can limit the range of candidates when hiring. And it’s not just about attracting talent, it’s about keeping them. If you change the flexibility you offer to existing employees, you run the risk of higher turnover.
Our research showed the potential attrition of employees who were not given a choice to work in a hybrid way. Out of all professionals who responded worldwide, 56% of respondents who work onsite five days a week are the ones most actively looking for a new job in the next six months.
It’s interesting to note that, compared to hybrid employees (41%), fully remote employees have a slightly higher rate (44%) of actively seeking out new opportunities. This shows that spending some time at the office may be beneficial for strengthening the bonds between employees, their employer, and others in the workplace.
Organisations should take this into account when outlining work arrangements – it’s key to complement employee choices and promote job satisfaction.
Impacting employee satisfaction
The major factors influencing productivity at work are job security, job satisfaction, and engagement.
61% of hiring managers reported flexible working patterns as the most important factor leading to successful talent attraction and hiring.
If team members aren’t getting flexibility, they become disengaged and search for opportunities that are accommodating of their work-life balance. From our research, 73% of employers responded that they have lost staff in the last six months and flagged salary, as well as lack of flexibility, as the primary reasons for their attrition.
When examining how satisfied employees are with the benefits they receive, which include flexibility for remote and hybrid workers, it’s noteworthy that those who are onsite full-time express the least satisfaction. Regarding their benefits packages, 35% of onsite professionals said they were “dissatisfied” or “highly dissatisfied”. To compare, just 20% of hybrid workers and 21% of fully remote workers expressed discontent with the benefits they receive.
Professionals with a hybrid work pattern report feeling the most secure in their current jobs (57%), and they report the lowest levels of insecurity (24%). However, the largest number of insecure respondents were remote workers (34%), which could be attributed to fears about them becoming “out of sight, out of mind.” Employers who seek to alleviate these worries should take extra caution when communicating with employees who are not as physically present at work.
Hybrid working seems to be the best approach for satisfaction and security – having the blend of in-person interaction, whilst benefiting from flexibility in working patterns.
Challenges for businesses
Our global survey found that 56% of companies are asking staff to come back into the office more regularly. But when looking more specifically at certain countries, it seems that the APAC region is particularly eager to get back to more in-office presence.
Whilst only 40% of employers in the UK, 40% in Canada and 42% in Ireland are asking their employees to be in the office more regularly than they were in 2022, the picture is rather different in Hong Kong (91%), Australia (65%), Japan (62%), Singapore (61%), and China (59%).
There are several reasons why companies are making this call, including the most prominent being ‘to improve collaboration between employees’, followed by ‘to reinforce culture’ and ‘to improve performance’. This shows that while hybrid working has its benefits, it’s not without challenges too.
Communication can be a tough nut to crack in a hybrid environment. Keeping teams connected, at home or in the office, requires a thoughtful approach. With strong communication, you can ensure your teams keep their productivity levels high.
. While hybrid work can improve work-life balance, it can also lead to feelings of isolation and burnout. Businesses must proactively address potential wellbeing issues and provide support accordingly.
Maintaining a strong company culture and fostering team cohesion can be a challenge in a dispersed workforce. It calls for creativity in team-building exercises and regular check-ins to maintain human connections between team members.
Other organisational challenges:
- Legal and Compliance issues: Navigating labour laws, tax regulations, and data privacy concerns can be complex when employees work across different locations and jurisdictions.
- Remote onboarding challenges: Remote onboarding can be a real puzzle, especially for entry-level positions that often thrive on hands-on learning from colleagues. Without the in-person experience, the natural flow of knowledge transfer can be disrupted.
- Inconsistent workstation setups: Not everyone has equal access to the necessary technology or facilities for remote work. An inadequate place to work, and poor internet connectivity can hamper productivity.
- Security risks: Remote work can expose businesses to increased cybersecurity threats, demanding the implementation of robust security measures and employee training to protect sensitive data.
- Inclusivity and Equity: Companies must ensure hybrid working is inclusive and doesn’t disadvantage certain groups of employees.
- Transitioning to hybrid model: The transition from traditional office-based model to hybrid can be challenging, necessitating changes in policies, procedures, and company culture.
Companies must adapt by addressing technological disparities, fostering communication, prioritising employee wellbeing, and ensuring compliance with regulations. For hybrid junior new starters, regular video meetings, virtual mentorship programs, structured training, and clear communication channels ensure that even in a remote setting, they get the support needed to learn and grow.
Designing a productive and inclusive future for everyone with hybrid working
Companies need to implement a strategic and mindful approach to this remote rewind. Striking the balance between flexibility and practicality calls for close collaboration through open communication channels and understanding the motivations driving employees’ desires for flexible work arrangements.
2024 will be a pivotal year to see if organisations see flexibility as not just a perk but a fundamental aspect of workplace cultures creating a more inclusive, productive, and resilient workforce.
