Preferences and disadvantages of remote work as perceived by businesses
A recent survey by ZEW, a German economic research institute, has shed light on the key advantages and disadvantages that companies experience with hybrid work models. The survey, conducted in June of this year, involved approximately 1,200 companies from the manufacturing sector and the information economy.
Advantages of Hybrid Work Models
The survey highlights several benefits for companies that adopt hybrid work models. Around two-thirds of the surveyed companies perceive these models as beneficial for employee job satisfaction, suggesting that offering flexible work arrangements can improve morale and overall well-being among employees.
Moreover, more than half of the companies believe that hybrid models make it easier to attract skilled workers, indicating that flexible work options can be a competitive advantage in the labor market. While opinions are divided, about 20% of firms see benefits for productivity with hybrid work models.
Disadvantages of Hybrid Work Models
On the downside, around two-thirds of companies perceive hybrid work as a disadvantage when it comes to internal communication and teamwork. This suggests that remote work can hinder collaborative efforts and communication within teams.
Less than 10% of companies see positive effects on innovation due to hybrid work models, and 41% expect negative effects. This indicates that some companies worry that remote work might hinder innovative processes.
About 31% of companies expect negative effects on employee retention, although half believe it has a positive impact. This mixed view highlights the complexity of hybrid work on employee retention. One-third of companies fear negative consequences for productivity, reflecting ongoing debates about the impact of hybrid work on work efficiency.
Sector-Specific Findings
In the manufacturing sector, 34 percent expect an increase in employees working from home. In the information economy, 29 percent expect an increase, suggesting a growing trend towards remote work in both sectors.
Interestingly, in larger companies with at least 100 employees, the usage rate of home office options is significantly higher. In the manufacturing sector, 88 percent of such companies offered home office options, and in the information economy, it was 98 percent for companies of that size.
Future Trends
While the survey indicates advantages and disadvantages, it also reveals that some companies are planning to reduce or end their home office offers in the next two years. Around ten percent of companies have such plans, suggesting a potential shift in the future of work.
However, the survey also shows that more than two-thirds of companies see an advantage in hybrid working models, and no specific disadvantages related to job satisfaction were mentioned. Instead, companies with existing home office offers expect an increase in employees working from home.
In conclusion, the ZEW survey provides valuable insights into the experiences of companies with hybrid work models. While there are challenges, such as those related to internal communication and teamwork, the benefits, particularly in terms of job satisfaction and attracting skilled workers, are clear. As the trend towards remote work continues, it will be interesting to see how companies adapt and navigate these challenges in the future.
[1] Data sourced from the ZEW survey on hybrid work models, June 2021.
- The survey findings suggest that hybrid work models can bring benefits for health-and-wellness in the workplace, as two-thirds of companies believe these models improve employee job satisfaction.
- Businesses in the information economy are increasingly adopting hybrid work models, with 29% expectant of an increase in employees working from home.
- While some companies might plan to reduce or end home office offers in the next two years, the survey indicates that over two-thirds of companies see an advantage in hybrid working models, especially in terms of finance with more than half believing that hybrid models can make it easier to attract skilled workers.
