Despite the new year being an opportune time for renewed optimism, companies are continuing the trends of corporate belt-tightening and layoffs in 2024. In just the first couple weeks of January, Google, Amazon, Unity and other major firms have announced job cuts.
Due to ongoing economic uncertainties, companies are continuing to enact cost-cutting measures. A recent survey by IWG, the world’s largest provider of flexible workspaces, found that 81% of chief financial officers in the United States see hybrid work as a cost saver.
According to IWG data, 89% of U.S. CEOs at companies that have implemented hybrid work have seen cost savings, as a direct result. Expense reductions were realized in decreased office space (25%), less in-office amenities (33%) and the lower costs of co-working office spaces (32%).
Other Benefits Of Hybrid Work
In addition to cost savings, employers have also seen an increase in employee happiness and improved productivity. Since adopting this flexible work style, seven in 10 CEOs reported that employee happiness surged.
Hybrid work allows employees to find a better work-life balance, leading to increased focus and productivity during work hours. Around 60% of CEOs said they saw an improvement in productivity levels.
Reducing commuting time through hybrid working can lead to several benefits for employees, including lower travel costs and improved health and well-being. Research shows that hybrid workers experience longer sleep durations, healthier eating habits, weight loss and improved mental health.
The healthier work-life balance can play a significant role in attracting and retaining top talent, as it fosters a more flexible and supportive work environment. Nearly all of the CEO respondents indicated that hybrid work has helped burnish their reputation.
“This latest research highlights that hybrid working helps businesses stay competitive and resilient, especially in times of economic uncertainty and that CEOs are adopting hybrid working for many reasons,” said Mark Dixon, billionaire founder and CEO of IWG. “Not only does it support employee work-life balance and well-being, but it also provides a meaningful boost to a company’s bottom line.”
Hybrid work also holds environmental benefits. In a future of work report, Dixon wrote, “We recently undertook a groundbreaking research project together with Arup, looking at the environmental impact of the hybrid model in both the U.S. and the U.K. The results were staggering, showing that localized working can bring a reduction in carbon emissions of as much as 87%.”
Source: Forbes
