In response to the COVID-19 pandemic, companies of all sizes transitioned toward a more mobile and agile workforce.

Lockdowns forced companies to develop remote work strategies, and by December 2020, 71% of Americans were working from home.

While these changes were necessary and somewhat forced, opportunities arose for both employers and employees.

As of 2022, the future of work across the United States and the globe is hybrid — here’s why.

Remote Work Has Now Become the Norm

Before the COVID-19 pandemic, some companies offered opportunities to work from home (WFH). However, based on productivity metrics throughout the pandemic, this “trend” toward remote work is just the beginning. Hybrid teams are expected to become permanent, and by 2025, it is estimated that 70% of the workforce will work remotely at least five days a month.

Countless surveys have revealed similar results among employers, with one Gartner CFO survey finding that 74% plan to shift some employees to remote work permanently — and employees are voicing their opinion as well. Considering 55% of U.S. workers want a combination of home and office work, and 42% will take a pay cut to gain that level of flexibility at work, employers need to be strategic about the opportunities they offer next. Companies that offer remote work will have a competitive edge, attracting top employees based on their workforce model.

What Is the Hybrid Working Model?

Hybrid work involves a location-flexible arrangement. This means that employees can work on- and offsite. This offers the advantages of both work environments, particularly in terms of one’s overall well-being. For example, working from home is less stressful for many employees, supporting optimal mental health. However, although video calls and video conferencing help connect remote teams, those who work solely from home may feel isolated and seek co-worker interaction two to three days a week. A hybrid team helps create that balance.

There is no “one-size-fits-all” hybrid model, as what works best for one company won’t be ideal for another. Each company should develop a hybrid model based on the needs of the business, as well as the needs of the individual employees.

For example, many industry leaders are opting for a “remote-first” approach, prioritizing a WFH schedule. Some employees may need to come to the office as their job requires their physical presence, while others can completely move away from the traditional office setting. Other companies are implementing an “office-first, remote allowed” approach, offering a remote work policy as a possibility.

Companies from Facebook to Google have allowed employees to continue working from home indefinitely. Some companies offer an at-will model, where employees can choose their work arrangement, and others are implementing a week-by-week schedule, alternating between remote and office work. Again, there is no perfect solution that applies to every company. The key is to provide choice. Let employees choose the schedule as their views and needs change, making WFH a privilege.

Hybrid Work Benefits Employers and Employees

Hybrid work benefits an entire organization. Employees who achieve a more optimal work-life balance can operate with the same (or higher) amount of productivity and efficiency. The more flexible, rewarding, and digital a company is for employees, the more likely it is that company will access top talent and keep that talent. This supports the success and growth of the company itself.

Here are just some reasons the hybrid workforce is here to stay.

Increased Productivity

Many fear that when employees work from home, they’ll be less productive. However, research shows that the opposite is true. According to a Mercer study, in September 2020, 94% of employers said productivity was as high or even higher following the rapid shift to a remote workforce. According to the Corporate Executive Board, representing 80% of Fortune 500 companies, employees who feel as though they have a good work-life balance are 21% more productive than those who don’t.

Improved Employee Wellbeing

Workforce wellness matters. From reducing absenteeism to improve employee morale, making wellness a priority can have a dramatic effect on performance. Greater work-life flexibility and employee wellbeing go hand-in-hand. By preventing stress and burnout, employees can better care for their mental and physical health — both of which influence their job performance. This increase in flexibility also allows employees to focus on their health, as they can schedule time for exercise and healthy eating. For example, by cutting out their commute, employees can take part in healthy activities they love, such as gardening or yoga.

Tip: To encourage optimal wellness, implement a wellbeing development platform to help employees stay on track.

Reduced Costs

Research shows that hybrid work models could help businesses save $500 billion a year across five areas — productivity, reduced absenteeism, reduced staff turnover, real estate costs, and business continuity. For example, reducing the fixed costs of a physical space allows employers to invest greater funding into technology that encourages growth. Employees also save a significant amount in travel costs, food, and clothing, and can even get certain tax breaks.

Hybrid Work Is Here to Stay

According to Stanford, before COVID-19, 5% of working days were spent at home. During the pandemic, this increased to 40% a day, and post-pandemic, that number will probably stay around 20%. Although lower than what it was during the pandemic, that 20% is still a fourfold increase compared to what it was pre-COVID-19. This shows that working from home and hybrid models are here to stay.

To ensure success, companies will need to adopt new policies, processes, and technologies to optimize employee wellness, WFH communication, and overall workplace performance.

Want to encourage a better employee experience? Looking to support your hybrid team? Visit RemoteWorx.com to learn more!