Telework as a Commute Option

Telecommunications and computer technology makes it possible for a portion of the workforce to work from home instead of driving to the office every day. Teleworking (also known as telecommuting) can be done on a full-time, part-time or occasional basis. And there are even companies that operate entirely by telework such as Aleutian Corp. who is based in Ottawa but has IT specialists working across North America.

Benefits of telework:

Increase productivity. Fewer interruptions, less absenteeism, the ability to work outside of regular office hours, and the elimination of commuting time all contribute to higher productivity levels. In fact, studies have shown that telework cuts absenteeism by 20%. Nortel Networks conducted a study of their teleworking employees and found the average increase in productivity ranged from 15% - 20%. Industry Canada and IBM Canada both reported productivity gains of up to 50% by teleworkers.

Enhance employee recruitment and retention. Employees who telework at least part of the time, enjoy this enough to want to stay with their employer. In addition, a telework program for new employees is equally as attractive. Results from a Ceridian research study showed that 60% of respondents said telework programs helped to retain employees and 52% said they helped to attract workers. Add to this the fact that telework also offers the employer cost savings for new hires and training, and telework becomes a very attractive commute option.

In a large compensation survey (1,400 CFOs) conducted by Robert Half International, 33% said telecommuting was the best way to attract top talent. Ekos Research found similar results among Canadians. They also found that 43% of Canadians would change jobs to an employer allowing telework.

Reduce need for office space and parking spaces. Dedicated office space is not required since telework employees can share work space. Facility management costs for office space, amenity space and parking requirements can all be reduced. Think about this: your organization could save 1 office for every 3 teleworkers – that’s about $2,000 per teleworker per year, or $200,000 per 100 teleworkers.

AT&T saved $3,000 per office totalling almost $550 million by eliminating or consolidating office space that teleworkers did not need. IBM saved $700 million in real estate costs with 320,000 staff (25%) teleworking.

Lower employee relocation needs. Teleworking has the unique advantage of being able to avoid relocation costs that would otherwise be required due to job changes, corporate restructuring or facility moves.

According to Nortel, costs to relocate an employee to another city can be as high as $100,000. And if you’re moving a person to another cube, the tab is $2,500.

Enhanced employee motivation and satisfaction. Telework is a great morale builder. Giving employees more control over their own time management, decisions and deliverables, adds to their level of motivation and job satisfaction. The same Ceridian study found that 33% of Canadians prefer the option to telework over a 10% salary increase. A 2002 survey done by Royal Bank of Canada showed that 77% of respondents said that teleworking increased their job satisfaction.

Improve work-life balance and productivity. Work-home life conflict is the top Canadian job disatisfier – but not for teleworkers because they have a large amount of control over when and how they work. Some prefer the early hours of the day while others work best in the late hours. This time flexibility makes it possible for them to better meet personal and family commitments without taking leave time. That same Royal Bank survey found that 72% felt telework gave them more time with their family.

Save time. Think about the amount of time spent driving to and from work. A half-hour commute each way adds up to 6 work weeks a year, not an insignificant amount of time. By avoiding the commute, teleworkers have more time to use for either personal or corporate benefit, or both. The total yearly commute of average Canadian workers equates to 6-8 full work weeks!

Better access to jobs for persons with disabilities or in remote locations. Teleworking makes it possible for workers with a physical disability or those located in a remote community to offer their skills to your business.

More information on teleworking can be found on the web site for the Canadian Telework Association – www.ivc.ca.

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