Post-Pandemic Work-Life Balance
In Office? Remote? Hybrid? What's an employer to do?
The workforce today post-pandemic is much different than pre-pandemic. During the lockdowns, employees discovered fulfillment is bigger than engagement or job satisfaction as employees struggled with stress levels and burnout skyrocketed to keep up with their jobs while at the same time trying to balance the increased demands of home. Moreover, this fueled frustration in workplace and, in essence, led to the Great Resignation.
In an article by Gretchen Tarrant, Feb. 25, 2023 published in the Wall Street Journal, entitled, The Truth About the Four-Day Work week, from People Who Have Tried It looked at different options for businesses, and, in particular, four-day workweek along with a 7-hour workday or even 4to 8-hour days with a half day on Friday.
Consequently, a vast majority of workers want to remain remote while employers are trying to get employees back in the office. Additionally, there are some employers, to my surprise, that require employees to log and track time for 10-hour days 5 days a week. Not surprising it's those employers that are puzzled why they have a turnover problem. Further, applicants that I have spoken to post-pandemic want 25-50% more in salary to return to work in office 5-days a week, and even some who wouldn't do it for any amount “you just couldn't pay me enough.” As such, businesses are faced with a tough balance act and if businesses want to retain workers, they need to look at what research is showing them. A 2022 Qualtrics survey, in fact, found that 92% of employees said they'd welcome a four-day workweek. As a result, just over 80% reported that a four-day workweek would increase loyalty to their employer and likely help recruit talent. The bottom line? A four-day workweek comes with a lot of positives - higher company and worker productivity, lower turnover, and better work-life balance.
However, there are a few negatives. According to The Manual, going from two to three-day weekends is a 50% increase in off time and a 20% decrease from days required to work. With this in mind, companies and employees must be on guard for the negative that balances this positive. Reducing workdays by one usually does not reduce the required productivity or hours required to work. Squeezing 40 hours into four days means a more intense schedule in addition to more disconnect. After three days off, it takes a bit to get back into the game. If your business decides to go with a 4-day 10-hour a day schedule, management needs to be mindful about how much needs to get done, collaboration on schedule issues and watch for cracks in the camaraderie as stress for some may lead to burnout.
Consequently, California is trying to push through a bill AB 2932 which will require businesses with more than 500 employees to pay time and half when employees work beyond eight hours in a day or 32 hours in a work week. Further, it prohibits employers from reducing an employee's regular rate of pay as a result of the reduced hourly workweek requirement. While supporters state that this bill will increase productivity and improve quality of life for workers, opponents state that this will have a devastating impact on businesses, which I agree.
While the best approach to address employees work-life balance post pandemic differs from business to business as well as from industry to industry, to mandate through legislation is the wrong approach.
Early in my career I worked for a large corporation that instituted a summer policy from Memorial Day thru Labor Day which was 8-hour days and a half day on Friday. This was well received and is a viable option for those businesses that demand a 5-day in office work week. In fact, in the WSJ article, this option was well received and improved morale along with retention.
Admittedly, while I enjoy remote work periodically, there is something to be said for the camaraderie of the office as the human connection helps people overcome challenges more easily and maintains mental well-being. Further, a recent survey conducted stated that employees feel that they are “always on” and 79% of those polled feel burned out working remote. In my own personal experience, as I dealt with the brokers across the United States, I seemed that I was 'on the clock' 24/7. In fact, I know some current employees and Managers who are remote and currently put in 10-hour days - 5-6 days a week as they too are “always on the clock”. This is not sustainable.
It is for this reason why some businesses have successfully opted for a hybrid of two days in office and three days at home or even one day in and 4 days at home with positive feedback. In fact, some companies even supply lunch for the in-office day for employees as well. Employees love the flexibility, the connection with their co-workers along with the respect provided from the employer. Turnover in each of these outlined above are minimal, worker productivity is high along with culture and morale and job requisitions fill quickly.
In sum, turnover during the Great Resignation is costly and detrimental to the bottom line. It is for this reason why businesses need to change their mindset on how to balance post-pandemic work-life before any legislation is enacted.
Every business has unique needs and solutions that need to be tailored accordingly. Unsure of which option is best for your business? Deluxe Employment Services is business driven and people focused. We will help you assess to determine which solution is best for your organization.