Partnering with a more human resource

Increase recruitment, retention and productivity with flexible work arrangements

Posted by: The ADP Team on 25 January 2017 in Human Capital Management

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Research by the Society for Human Resource Management (SHRM) (1) shows that participation in some type of scheduling optimisation options, or flexible work arrangements (FWAs) has risen in recent years – yielding positive results for employee recruitment, retention, development and productivity.

According to SHRM 2015 Employee Job Satisfaction and Engagement Report (2), scheduling optimisation options, or flexible work arrangements (FWAs), are important to employees and affects their willingness to stick around. For example 55% of employee respondents noted work-life balance flexibility as a “very important aspect of their job satisfaction.”

FWAs are also vital for retention according to SHRM’s 2015 HR Jobs Pulse Survey (3), in which 38% of respondents indicated they continue at their current enterprise because of the “flexibility to balance work and life issues.”

Without FWAs an enterprise could put itself at risk of understaffed shifts which, according to the latest U.K. Health and Safety Enterprise (4) report on staffing levels, can lead to:

  • Safety-critical tasks going uncompleted, or completed later than they should have been
  • Maintenance becoming backlogged
  • Increases in overtime
  • Complaints and absences related to stress, fatigue and other ill health to increase
  • Turnover due to high workload, stress and fatigue
  • Bottlenecked communications
  • Customer complaints and increased delivery times

Trending Up

In the SHRM 2015 Employee Benefits Report (5), more than half of employers surveyed said they now offer the following FWAs: telecommuting (60%), telecommuting on an ad hoc basis (56%), flexitime (54%) and flexitime during core business hours (52%). Other common options include compressed workweeks (31%), full-time telecommuting (22%) and shift flexibility (21%), all in an effort to appease employees while keeping shifts at full strength.

Employers’ participation in some options has substantially increased over the past five years according to the report. For example 56%, offered ad hoc telecommuting in 2015, up 14% from 2011.

Here to stay

Over the next few years, many HR professionals (89%) believe flexible scheduling and telecommuting options will increase in some way, according to the SHRM 2014 Workplace Flexibility: Overview of Flexible Work Arrangements Survey (6). The survey also shows that 83% believe telecommuting, in particular, has improved certain aspects of organisations’ operations and will be more commonplace, overall.

Similarly, the survey revealed that “one-quarter (26%) reported the productivity of employees who previously worked 100% onsite had increased, and one-third (32%) reported absenteeism rates had decreased.”

FWA Success and Effects

In the 2014 survey, HR professionals were asked to comment on the success of FWAs. 91% said a compressed workweek “has had some degree of success” (61% said “very successful” and 30% said “somewhat successful”). In addition, more than 50% of the respondents also believed that FWAs “had a positive effect on various business operations, including recruitment and retention, employee excellence, and organisational success.” Most critically, support or buy-in from top management, employee commitment and “a supportive organisational culture” determine scheduling optimisation success.

Another benefit of FWAs comes in recruiting various demographics. “Flexible scheduling” was cited “as a means of attracting older workers” by 37% of survey respondents in SHRM’s Aging Workforce: Recruitment and Retention Survey (7) – and  97% said it has been effective for recruitment and retention of older workers (63% said “very effective”).

Millennials are another demographic that appreciates FWAs. They “have shown an increased preference for having greater control over their own schedules, and many place greater emphasis on organisational culture, rather than on compensation-related aspects of a job,” according to SHRM’s 2015 Strategic Benefits Survey: Leveraging Benefits to Recruit Employees (8).

If your business is struggling to show positive results in recruitment and retention of a diverse population, while raising overall productivity, flexible work arrangements might be a key to help unlock the full potential of your workforce.


Written by: Diane Faulkner


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TAGS: flexible work arrangements FWA scheduling optimisation work schedule

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