Back Button
Menu Button

New Trend or Passing Fad?
Remote Work Environments

This blog is the first in a new series regarding the ‘unintentional consequences’ of the COVID-19 pandemic. As our lives have been abruptly altered due to social distancing requirements – both at home and in the workplace – unplanned ‘disruption’ of previous normal activities could permanently replace sacred elements once believed to be unyielding to any change. But COVID-19 just may have dictated new approaches to how we live and work.

Prior to March and the COVID-19 pandemic, shuttered workplace offices and businesses in Iowa and around the country was unthinkable, it just could not happen – or so we believed. The only way it could happen, we reasoned, was through a sci-fi movie that made this horrifically possible.

But it DID happen, and this B-level movie with an apocalyptic plot has now become reality. Jeffrey Cole, a research professor at the University of Southern California, calls this period in our lives the “greatest social science experiment of all time.” Lockdowns, layoffs and massive public measures to contain COVID-19 “will last long after any threat from the virus is gone,” Cole shared. “In the future, we’ll talk about ‘BC,’ before corona, and after.”

As organizations prepare to reopen businesses and offices throughout our country, thermal scanners and hand sanitizers will be the bare minimum required to keep employees and customers safe. The foreseeable future remains extremely murky as to when (or whether) life will return to pre-virus living. Although working remotely has been around for many years, telecommuting has become an uninvited experimentation for many Iowa and U.S. employers and their employees.

Many health experts believe it will be months, if not years, before a ‘new normal’ develops in our country. Scientists struggle to understand the intricacies of COVID-19. The Wild West mentality of searching for a vaccine to protect people has become a major national priority. America, after all, must cobble together innovative approaches to get people back to work while keeping the public safe.

Working Remotely – an ‘Audition’ for the Future

To ensure safe, social distancing to minimize risk of a second (or third) wave of infections, some organizations are planning to eliminate long rows of desks without partitions, replacing them with work-stations sheathed with glass sneeze guards. Having more space between desks and wearing masks will supplement periodic temperature tests. Designating staircases for entry and exit, strategically staggering lunches and work times will also be very much part of new work environments.

The pandemic has offered proof – supportive or not – that in given industries and organizations, some people can work efficiently from a remote location without having to be physically stationed in an office with other co-workers. It must be noted, however, the mental wellbeing of more isolated workers must seriously be considered and addressed before making a leap into expanding remote workplaces. Will future work mean abandoning in-person connections and replacing with internet connections?

A friend recently mentioned that working remotely for a large insurance company revealed enhanced positive customer service metrics that surpassed pre-COVID-19 results.  This revelation provides a new frame of reference to this organization that working remotely can offer surprising benefits to the company…and to its customers. Having these new performance metrics to complement decision making will be critical in the future.

Nationwide Mutual Insurance Company recently announced a permanent transition to a hybrid operating model that consists primarily of four main corporate campuses (Central Ohio, Des Moines, Scottsdale and San Antonio) for in-office personnel and working-from-home in most other locations. Although Nationwide had been investing in technological capabilities to do this for years, the pandemic has urgently nudged Nationwide to make these changes now.

Recent Studies about Telecommuting Experiences

According to data from the Coronavirus Disruption Project, 42 percent of American workers said their telecommuting experience has made them want to work from home more. Not too surprisingly, 61 percent of those teleworking said they are enjoying the relaxed attire and grooming standards, greater flexibility and lack of a commute. Over three-quarters (78 percent) said they are as effective or more so working from home.

From the employer viewpoint, nearly three-quarters of corporate finance officials surveyed in late March by Gartner, a business research and consulting firm, revealed that at least five percent of surveyed organizations will convert on-site workers to permanent remote status as part of their post-COVID cost-cutting efforts.

A survey by USA Today and LinkedIn reveals that, according to 54 percent of respondents ages 18-74, working at home positively impacts work productivity. Reasons cited for higher productivity include time saved from commuting (71 percent), fewer distractions from co-workers (61 percent) and fewer meetings (39 percent).

It is fair to say the virus has served as an audition for organizations to determine whether working remotely can become the norm based on the type of work being performed. The implications of evolving from office locations to remote or home locations can have immense consequences to the economy.

The supply and demand of office space could change significantly if organizations eschew owning larger buildings or rent smaller office space than in the past. Even ‘The Oracle of Omaha’ himself, Warren Buffett, has commented that working from home may very well become the norm because productivity has not suffered in certain scenarios. Buffett commented, “…When change happens in the world, you adjust to it.”

Conclusion

Suffice it to say that most organizations are not yet making radical permanent changes when responding to a seemingly ‘transient’ pandemic. However, developing worksites that can appropriately adapt to COVID-19 – and any future health threats – warrants implementing strategies that go beyond short-term fixes.

While embracing telecommuting, organizations may find low-hanging fruit by purchasing or renting smaller buildings and office spaces and convert these overhead ‘savings’ into other operational investments, which could positively impact employee pay and benefits. Would an upward trend of telecommuting adversely impact sectors that currently cater to office-based employees? Absolutely. Lower fuel consumption for commuting, altered business attire and relaxed cosmetic usage are just a few examples of potential long-term disruption that may occur.

We are only two months into this pandemic, yet much is to be learned by employers about long-term trends versus short-term fads in the workplace setting. My best guess is that the COVID-19 will make telecommuting a more permanent fixture in the business world where it makes most sense to the organization and its customers. As the telecommuting ‘experimentation’ phase continues, each organization must weigh the pros and cons when strategizing for the future.

Next Week’s Discussion:  COVID-19 and Telemedicine

To stay abreast of employee benefits, we invite you to subscribe to our blog.