30+ Work From Home Statistics | Remote Work in 2021
Picture this: Your morning routine without a commute. No traffic, no shoulder bumping and no pseudo breakfasts as you’re rushing out the door.
With the rise of working from home in the U.S., this scenario is not uncommon anymore. The demand for flexible working environments and advancement in technology has encouraged companies to offer employees the option to work from home. Additionally, recent developments with the coronavirus pandemic led many companies to shift to an entirely remote team.
In fact, according to a study released by the U.S. Census, 5.2% of workers in the U.S. worked from home full time in 2017, a 3.3% increase since 2000. To put that in perspective, that’s 3.7 million people working from home in 2000, increased to 6.5 million.
Additionally, in 2018, the U.S. Bureau of Labor Statistics reported that 23.7% of the U.S. population worked at home for at least some hours.
The big picture: work from home statistics
Before breaking down how working remotely has affected the workforce for both employers and employees, let’s take a look at some of the highlights around working from home.
Although surveys are underway for how Covid-19 will affect these statistics, Global Workplace Analytics estimates that 56% of the U.S. workforce holds a job that is at least partially compatible with remote work, and that 25-30% of the workforce will be working at home for more than one day a week over the next two years.
Sixty-one percent of employees have left or considered leaving a job because it did not have work flexibility.
21% of remote workers say that the biggest struggle of working remotely is loneliness, while another 21% said that it was collaborating and communicating.
78% of remote workers primarily work from home, 9% work from an office, 7% work from a coworking space, 5% work from a cafe and 1% work from elsewhere.
How does remote work influence productivity?
Old thinking believes that employees must be in the office to be productive, but this mentality disregards the distractions that an office environment comes with. Socializing, unnecessarily long meetings and loud colleagues can slow down a productive employee.
Fewer distractions allow for workers to focus on the task at hand, often completing it quicker than if they were sitting in a cubicle. In FlexJobs’ 2018 annual survey on telecommuting, they uncovered that the top reasons why people believe they are more productive while working remotely: fewer distractions and interruptions, reduced stress from commuting, minimal office politics and a quieter noise level.
Although statistics show that productivity goes up for employees with flexible work options, the Society for Human Resource Management (SHRM) reported that 62% of remote workers say they’re afraid that their onsite colleagues don’t think they are working as hard as them.
Regardless, results from numerous studies looking into employees who work from home don’t lie. Let’s take a look at more working from home statistics related to productivity.
65% of workers said they would be more productive in a home office than in a traditional office space. — FlexJobs
75% of people say they are more productive working remotely due to fewer distractions. — Flexjobs
77% of millennials report that flexible work would make them more productive. — Regus
Nearly 2 in 3 survey respondents who work remotely say they are more productive now than when they worked onsite at a company. — SHRM
62% of remote workers say they’re afraid that their onsite colleagues don’t think they are working as hard as them. — SHRM
Around 69% of workers believe technology has made them more productive, but nearly 25% believe technology will replace them in their jobs; and 83% of workers use technology to collaborate in real time, but 78% said technical problems disrupt the collaborative experience. — HR Dive
83% of employees feel they do not need an office to be productive. — Fuze
Two-thirds of employers report increased productivity for remote workers compared to in-office workers. — TECLA
Do remote workers need to compromise on their income?
While some companies may not see the same value of an in-office employee as a remote employee, resulting in pay cuts, this trade-off is not always the case dependent on the skillset and career path of the employee. In a study by Stack Overflow, they found that developers who work remotely can earn as much as 40% more than developers working in an office.
FlexJobs also did some digging, asking recruiters if pay for remote employees is different than for in-office employees for the same role, and their answer was a resounding: no.
There’s absolutely no difference. Whether you’re in-office or remote, total compensation is based on the position as well as performance.
Sound promising for remote employees?
Yes, but Payscale, Glassdoor and Ziprecruiter tells us that it’s industry dependent. In the end, recruiters say that negotiating is key. While remote employees might feel pressured to accept a lower salary due to the flexibility, progressive companies are more apt to compensate based on skills, not on location.
How does remote work affect retention rates?
Stephane Kasriel, the CEO of Upwork, once said “Companies that refuse to support a remote workforce risk losing their best people and turning away tomorrow’s top talent.”
Kasriel has a point. In FlexJobs’ 2018 Annual Survey, they found that 76% of respondents said that they would be more loyal to their employers if they had flexible work options.
Millennial job seekers have said that they weigh flexible work options heavily when it comes to finding a new employer, but flexibility isn’t only desired for the sake of work-life balance. Working from home allows employees to relocate, whatever the circumstances may be, without needing to seek out a new job.
Additionally, given that employers who offer remote work don’t need to recruit in one particular city, the quality of applicants can be much higher. That gives employers the option to be picky, and only hire those who are interested in being a part of the company for the long haul. Therefore, retention rates are typically higher for these companies.
We pulled more statistics that showcase how remote work affects retention rates.
By 2020, organizations that support a “choose-your-own-work-style” culture will boost employee retention rates by more than 10%. — Gartner
According to a 2017 study by IT solutions company Softchoice, 74% of 1,000 office workers surveyed said they would leave their job for another that offered the option of more remote work. — Softchoice
76% of female tech professionals think businesses offering remote work would be more likely to retain top talent. — Huffington Post
What does working from home do for work-life balance?
While some employers have introduced ping pong tables, beer on tap and bean bag chairs to boost employee morale, it’s just not cutting it. Work-life balance has been the talk of the recruitment and HR community for years, but millennials are defining it differently these days.
Work-life balance and working from home go hand in hand. By encouraging the ability for employees to work remote, it supports employees outside of work. Whether it be to spend more time with their families versus sitting in traffic, or fulfill their travel bucket list, remote work has been proven to promote a work-life balance.
97% of the workforce said a job with flexibility would have a huge improvement or positive impact on their overall quality of life. — FlexJobs
27% of workers regard their commute as a waste of time. — Regus
40% of remote workers were in agreement that a flexible work schedule is the biggest benefit to working remotely. — Buffer
81% percent of remote workers have traveled outside of their home city and spent time working during those travels. — Buffer
Nearly 3 in 4 respondents say the arrangement helps them with work/life balance. More than one-third say they work remotely to care for their children. — SHRM
How does working remote impact stress levels?
Premiere Global Services, Inc. (PGi) reported that 82% of their telecommuters reported lower stress levels. But let’s face it, some remote workers might be hesitant to admit to their boss that they’re stressed for fear of being requested back into the office.
Does that mean that working remote could help lower stress related to work?
We took a look at what causes stress in the workplace and found that an employee’s personality traits can affect their stress level when working remote.
The obvious reasons why working from home can reduce stress are: no commute, comfortable clothing, personalized office space and more. But, there are ways that remote work could increase stress based off of each employees’ personality.
- Minimal socializing. Some employees thrive with human interaction. It’s easy for remote workers to feel a sense of loneliness, especially if they consider themselves an extrovert.
- Working long hours. If you’re working from home, it can be difficult to step away and can’t see the office clearing out at the end of the day. Long hours can lead to stress, and ultimately, burnout.
- Stress goes unnoticed. If you’re in an office, your manager or colleagues will likely be able to tell that you are stressed based off of your physical appearance (like if you haven’t shaved), attitude or behavior. And, if you have a supportive employer, they’ll work towards helping change that. Remote workers must speak up if they’re feeling stressed since they aren’t face-to-face with their manager, therefore, the signs of stress could go unnoticed and be elongated. This could result in higher stress levels than if they were in the office.
For those who are working from home and feeling stressed, it can be first combated by recognizing it. Then, work towards creating a routine, defining boundaries, taking breaks, creating a new work environment or working on other ways to socialize during the work week.
Lower overhead for everyone: employer and employee
Operating costs such as real estate and overhead can come with a hefty price tag for employers. According to MarketWatch, the average office space per employee costs $14,800 in New York, $6,702 in Los Angeles and $6,080 in Boston annually. No matter what city a company is based out of, office space will always cost more than no office space at all.
In the same vein, employees can save on costs when they work from home. Some experts say that it costs upwards of $2,600 on average per year for Americans to commute to work. Studies show that telecommuting saves on costs for both the employer and the employee.
One third of firms report that they expect to see businesses of all sizes opting for flexible work locations rather than fixed term leading contracts.
Telecommuting full time brings in more than $4,000 in savings each year thanks to reduced expenses on things like gas, parking and public transit costs and dry cleaning.
Companies such as Dell, American Express and Aetna Insurance all have encouraged employees to work remote, which has helped them save significantly on overhead.
In 2016, Dell announced its plans to further expand its telecommuting and remote work initiatives, citing the $12 million in annual savings from reduced office space costs.
American Express is saving up to $15 million a year in real estate costs thanks to remote working.
At Aetna Insurance, 47% of the workforce works remotely, which saves the company more than $70 million a year in real estate, utility and housekeeping costs.
The environmental impact for those who work from home
According to data from Global Workplace Analytics, if everyone whose jobs are compatible with remote work telecommuted half the time, they’d eliminate 119 billion miles of highway driving each year. It would also reduce the amount of oil we use by 640 million barrels and cut emissions by 54 million tons of greenhouse gas.
Yes, you read that right. Not only does working from home lower oil consumption, but it reduces the need for road repair and parking. However, if you still own a car and leave it in your driveway, we found on our home burglary statistics post that this can deter theft.
Working remote also reduces printing since everything is shared digitally, so waste is reduced significantly at home than in offices. As a result of our digging into the environmental impact of working from home, we uncovered these surprising facts.
Annually, Xerox teleworkers drive 92 million fewer miles, saving 4.6 million gallons of gas, reducing carbon dioxide emissions by nearly 41,000 metric tons and saving over $10 million. — SHRM
People who are working from home in the United States right now avoid emitting 3.6 million tons of commuting-related greenhouse gasses annually. — FlexJobs
People who are working from home in the United States right now avoid emitting 3.6 million tons of commuting-related greenhouse gasses annually. — Global Workforce Analytics
The Consumer Electronics Association (CEA) reports that telecommuting is part of a climate change solution since using electronics to telecommute saves 9 to 14 billion kilowatt-hours of energy each year. — Lifewire
Overall, giving employees the opportunity to work from home has proved to be positive for employers. Have you asked your employer if you can work from home?
Sources: Statista | Schooled by Science
