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4. The Growth of Telecommuting

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Why is there such tremendous growth in telecommuting now? There are many reasons:

Advanced technologies. The Internet and personal computers have contributed significantly to the ability of people to work from disparate locations. We now have broadband capacity to homes through cable, satellites, fiber-optics, copper wire, and wireless networks; we have improved electronics and communication devices, mobile phones, palmtops, and portable computers; we have sophisticated voicemail systems. All of these factors mean that employees can be just as connected to the workplace from their homes — several hundred miles away — as they are from the office around the corner from the boss.

Reduced costs for office space. In the United States, the federal government found that it could save money on office space — and attract top-notch workers — by allowing employees to telecommute. At Sun Microsystems, where more than 19,000 employees — or 56 percent of the workforce — work away from the office at least once a week, real estate holdings were reduced by 15 percent in 2007. Expenses for employees who work from home at least part of the time range from 30 percent to 70 percent less than those for employees who work in offices.

Employee retention. In an era of double-income families, it is not uncommon for one spouse to accept a job in another location, requiring the other spouse to leave his or her place of employment. Flexible options like telecommuting allow companies to retain spouses who might otherwise need to change employers as part of their relocation. Telecommuting also allows the retention of employees who have family care needs (either for young children or elderly parents), and employees with disabilities who might be difficult to accommodate in the traditional work setting.

Traffic patterns. Congestion is often an issue in metropolitan areas. Major events, in some cities, have led to more employers exploring telecommuting options. When Salt Lake City hosted the Olympics in 2002, for instance, preparation for the event meant major road construction and traffic problems. Consequently, a number of employers were more receptive to employees’ requests to telecommute. Even in less densely populated areas, travel time can play a role in the move to telecommuting.

Environmental issues. One of the early drivers of the concept of telecommuting, particularly in large, metropolitan areas, was the reduction of air emissions and the elimination of pollution. The federal government in the United States was an early adopter of telecommuting, and President Obama has pledged to expand the option even further under his administration.

Employer benefits. Employers are often initially hesitant to allow employees to telecommute, primarily due to concerns that lack of physical presence will denote lack of involvement on the part of the employee. However, those that have allowed employees to work from home have been surprised to find that productivity actually increases, and employees report higher job satisfaction and improved morale. Alongside reduced real estate costs, many companies have also found that their absenteeism and turnover rates have declined after instituting telecommuting programs.

Employee benefits. Employees enjoy the flexibility of telecommuting as well as the reduced commuting expenses and hassles. They are better able to balance the demands of home and work; they report reduced stress and higher productivity, and demonstrate a strong sense of loyalty and commitment to those organizations that recognize and respond to their personal needs.

Literally thousands of organizations, large and small, have embraced the concept of telework. Some of the companies that have been trailblazers include AT&T, Sun Microsystems, Best Buy, SC Johnson, Yahoo!, Qualcomm, Eli Lilly, and Cisco.

Managing Off-Site Staff for Small Business

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