Part of the COVID-19 pandemic lockdown aftermath resulted in ‘going remote’ becoming the new norm.
Employers can achieve substantial cost savings by employing remote workers. Studies indicate that companies can save $11,000 per employee by reducing overhead expenses.
Add greater employee work-life balance, flexibility, time and money savings on transportation, and you have increased employee productivity and morale, reported Time Doctor.
The 2024 Ipsos Health Service Report was released last month, showing that mental health is the biggest health issue across 31 countries, including the U.S., as previously reported by The Dallas Express. No wonder many employees are willing to take a pay cut and work remotely in the comfort of their homes to lower their stress levels rather than fight traffic only to sit in a cube under fluorescent lighting.
With real-time analytics and proper virtual collaboration tools, mindless water cooler meetings and workplace distractions are lessened, resulting in greater outputs. Research indicates that remote employees can experience a 50% reduction in unproductive time compared to those working in the office.
One notable change in the ‘going remote’ workforce is the realization that many entry-level jobs now require more experience, as managers need employees who require less guidance.
“[Managers] had very strong preferences to hire people who were more stand-alone, who they felt wouldn’t require as much oversight, because everyone is working remotely,” said Mona Mourshed, founding CEO of Generation, a nonprofit network focused on economic mobility, per Business Insider.
“The entry-level job has vanished in many ways,” added Mourshed.
Recent graduates are now competing for jobs with more experienced candidates who are willing to take the same job in exchange for the opportunity to work from home.
“Maybe you don’t have to take a shot on a fresh college grad or someone that has one year of experience because someone has five years’ experience and will be willing to take that same amount of pay because they can sit in their own home,” said Jason Henninger, a managing director at a recruiting firm, Heller Search.
For employers who still think it is a good idea to hold onto pre-pandemic workforce models, consider the controversial move made by Andy Jassy, CEO of Amazon, in his September 16 announcement to employees.
“Hey team. I wanted to send a note on a couple changes we’re making to further strengthen our culture and teams,” Jassy’s announcement begins before telling his employees they will be returning back to the office five days a week with “assigned desk arrangements,” effective January 2, 2025.
“We understand that some of our teammates may have set up their personal lives in such a way that returning to the office consistently five days per week will require some adjustments,” continued Jassy.
Adjustments are an understatement.
Some believe this was a strategic move to reduce the workforce as it flies in the face of the new norm and maintaining workforce morale.
“As the leader of a company known for innovation and an entrepreneurial culture, I would have expected Andy Jassy and his expansive talent management team to have pursued a more creative work solution,” said Babson’s Walter H. Carpenter Professor of Organizational Behavior. “I wonder if there is a covert reason for this announcement, such as a desired voluntary reduction in workforce,” she speculated.
Despite Jassy’s justifications, the outcomes of his choice could have long-term implications, potentially impacting Amazon’s capacity to recruit and maintain top talent.
Top-talent employees will seek environments where they feel appreciated and perceive fair treatment.
“Statistics showing that other companies have the same policies isn’t that convincing—all it takes is one or two other similar companies that have more flexible policies for the announcement at their own workplace to seem unfair,” explained Keith Rollag, professor of management at Babson College.
