This article was originally published on March 27, 2020, and was updated on November 18, 2024.
The remote working culture is here to stay. What started as a workplace trend during the COVID-19 pandemic has dramatically accelerated into a norm and shows no signs of slowing down.
Statistics tell a compelling story about the transition to remote work and the benefits of working remotely:
- As of mid-2023, one in five U.S. employees were working remotely (U.S. Bureau of Labor Statistics)
- By 2025, nearly 33 million Americans will work remotely (Upwork)
- 71% of remote workers said working from home helps balance their work and personal life (Pew Research Center)
While some business leaders herald this shift as beneficial for both employers and employees, others remain hesitant due to the impact on productivity and team cohesion. In fact, many big companies have issued strict “return to office” mandates, urging employees to return five days a week. This has left many employees feeling helpless and dissatisfied, caught between their preferences and corporate expectations.
But as the research shows, work-from-home (WFH) is beneficial for employees and employers.
Benefits of working from home for employers and employees
The shift towards a more flexible work environment has been evolving over the years, and here are a few reasons why:
Benefits of working remotely for employers
1. Enhanced productivity
With flexible schedules, employees can focus on high-priority tasks, minimize distractions, and create a personalized work environment — leading to greater efficiency and output.
2. Improved morale and engagement
Surprisingly, Buffer’s 2022 State of Remote Work survey reported that 86% of respondents want to work remotely as it fosters emotional connections, open communication and social interactions. This is likely due in large part to innovative technology that keeps employees engaged and informed no matter where they work.
3. Reduced absenteeism
Remote work makes it much easier for employees to schedule doctor visits, eat healthier food, work out, and practice better self-care habits — resulting in increased productivity and reduced absenteeism.
4. Increased retention rates
Companies that offer remote work experience a 25% lower turnover rate — helping them retain top performing employees.
5. A larger pool of skilled talent
By removing geographical constraints, companies can expand their talent pools by hiring top candidates without being restricted to specific metro regions or paying relocation costs.
6. Reduced operating cost
Fewer employees in the office means reduced wear and tear on facilities, lowering maintenance costs, utility bills and office supplies.
7. Lower energy use in office spaces
With more employees working from home, businesses can reduce the energy consumption of office spaces, contributing further to environmental benefits.
Benefits of working from home for employees
1. Flexible working hours
With more control over time, employees feel a greater sense of freedom to complete their tasks outside the traditional 9-5.
2. More time for personal interests
By eliminating commuting time, employees can pursue hobbies, spend time with family, and engage in other activities that contribute to a more fulfilling life.
3. Work from anywhere
Whether at home or a favorite coffee shop, flexibility enhances productivity and creativity by up to 70%.
4. Fewer office interruptions
Working remotely limits distractions common in office settings, like water cooler interactions and chatty coworkers — boosting productivity and job satisfaction.
5. Time management improvements
Whether an early bird or a night owl, employees can structure their days and work when they feel most productive with minimal distractions.
6. Reduced commuting cost
Working from home saves money on transportation, whether it’s gas or public transit fares. This can lead to substantial financial savings over time.
7. Lower wardrobe expenses
Employees can save on clothing costs because they often don’t need to wear business attire when working from home. For some, this also reduces the pressure to keep up with fashion trends..
8. Decreased lunch expenses
Preparing meals at home avoids costly takeout or cafeteria food. This can lead to more control over dietary choices and additional savings.
9. Reduced stress levels
Another big benefit of working from home? Fewer traditional office environment stressors like office politics, coworker distractions and rigid schedules — enhancing focus and reducing anxiety.
10. More time to exercise
Employees who work from home can bring more physical activity into their daily routine. They have the flexibility to take a break from their screens to workout — improving their health and potentially reducing health insurance costs for their employers.
11. Better meal planning
Similarly, remote workers enjoy the flexibility to prepare fresh, home-cooked meals, better control portion sizes, avoid processed food, and establish regular, balanced eating habits throughout the day.
12. Reduced carbon footprint
Less commuting means fewer emissions, which is better for the planet. Remote work can be part of a more sustainable lifestyle.
What are the common challenges of working remotely?
With the increased adoption of remote work, employers must adapt their leadership style to enhance the remote work experience. While working from home offers many benefits, it also comes with some challenges.
Feeling isolated and lonely
Employees who work from home can feel isolated, especially compared to the lively atmosphere of a bustling office. This isolation often leads to loneliness, which increases employee stress and negatively impacts job performance.
Communication and collaboration difficulties
While the best technology keeps employees engaged and connected no matter where they work, remote workers can sometimes struggle with efficient communication and collaboration. It can be harder to gauge emotions and work on projects together when you’re only interacting through a screen. Some common difficulties are time zone differences, language barriers, lack of nonverbal cues and technical issues.
Blurry work-life boundaries
Employees working in a 9-5 setting can disassociate themselves from work and go home to relax. However, employees working remotely might find it difficult to manage their work-life balance. This leads to work-related stress, frustration, decreased focus and fatigue.
How can companies support their employees in working remotely?
Here are a few strategies for employers to support their remote employees:
Integrate a robust communication platform
Ensuring that all employees are aligned, connected and informed, and measuring employee engagement, can be more complex when employees are working remotely. A comprehensive employee experience (EX) platform like Simpplr solves that challenge. It provides a single source of truth and the cornerstone for communication and collaboration across the enterprise. And with advanced analytics and insights, employers can keep a real-time pulse on employee sentiment and engagement no matter where their people work — supporting stronger decision-making.
Encourage digital breaks with an AI-powered intranet
Remote employees don’t have access to watercooler conversations. Using an AI-powered intranet platform like Simpplr helps to create a designated space where remote employees can catch up with coworkers. Sharing riddles, word games, productivity hacks, or even a general update helps those who are looking to take a quick break from work. This can significantly boost employee well-being. Read our digital coffee breaks blog post for inspiration!
Use the right tools to improve internal communications and collaboration
Without in-office perks like shared whiteboards, in-person team meetings and face-to-face brainstorming sessions, staying on the same page can be challenging. Use digital whiteboarding tools, video conferencing software, task management systems and other project management tools to make communication and collaboration more effective for remote workers. You can also integrate the best internal communication tools to support digital teamwork and learn how to build an effective internal communication plan here.
Leverage employee surveys to keep sentiment in check
Working remotely makes it harder for organizations to hear, see and understand the depths of employee emotions and attitudes. Use short and frequent employee pulse surveys to continually gauge how employees are feeling. By actively listening to concerns and implementing feedback, you can ensure that employees feel heard — which increases employee retention.
Publicly recognize and reward employees
Employees don’t need to be in the office to feel valued and appreciated. Use a unified employee experience platform with integrated recognition and rewards to celebrate accomplishments big and small — no matter where employees work. Take employee recognition up a notch by acknowledging employees in the company newsletter, during digital all-hands meetings, or on the company intranet to highlight their contributions to the organization and their peers. This direct recognition reinforces their efforts, motivating them to maintain or exceed their performance standards.
Promote wellness for employees working from home
The difficulty of separating work from personal life can negatively affect both physical and mental well-being. Make sure remote workers have access to high-quality wellness programs and tools. Here are a few examples o consider:
- Mental health support (counseling and stress management workshops).
- Physical wellness programs (access to fitness or gym classes).
- Personalized health management systems.
- Well-being support groups.
Read our blog post on healthy work-from-home habits for more ideas.
Leverage Simpplr to reap the benefits of working remotely
Understanding the benefits of working from home is more important than ever — given that remote workspaces are now mainstream.
Encourage and support your remote employees by adopting a comprehensive EX platform like Simpplr. Powered by AI with a sophisticated intranet at its core, Simpplr puts everything employees need to do their work more efficiently, with less friction and frustration, in one place. It provides a centralized digital work hub to find people, information and answers — eliminating the cost of additional solutions.
Watch a 5-minute demo to learn how Simpplr can help make remote work, well, simpler.
