Although the option to work from home has been growing in popularity, only 3.
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However, percent of the workforce is estimated to work from home multiple days a week by the end of Fortunately, employees are largely in favor of remote work opportunities. It is employers who have approached remote work skeptically — at least until recently when social distancing to flatten the curve from the Covid pandemic forced the issue.
Employers are now realizing that remote work is not less productive than work in an office. Indeed, there is a positive correlation in increased productivity associated with working from home.
According to a recent survey from Global Workplace Analyticsemployees are productive 75 percent of the time they are working from home compared to 63 percent of the time in the office. Another way to look at it is that employees are distracted 78 minutes of the day in an office and only 43 minutes in the day when working from home.
According to a Gartner survey from March of74 percent of CFOs want to transition at least 5 percent of the workforce to permanently remote positions. The objective of a distributed workforce is ostensibly to decrease payroll expenses.
This is why the question of how to pay remote workers is so important to get right. Our research into salary data reveals that remote workers are actually paid more than people who work in an office.
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Remote workers make 8. Remote Work Pay vs. Non-Remote Work Pay It is important to note that remote workers are not paid more because they work remotely.
Rather, it is more likely that remote work opportunities currently tend to be reserved for high performers who have earned trust to work from home. Remote work opportunities are also more common in the information industry, which tends to be more highly paid than other industries.
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However, this may change in the future. The coronavirus has demonstrated that more workers can be trusted to work effectively from home.
As such, we may see compensation trends around remote work shift as remote work becomes ubiquitous. Of course, there are cost savings to be realized from a remote work strategy that have nothing to do with base pay, particularly as regards infrastructure. For example, businesses could save money by shrinking their office space, reducing or eliminating commuter benefits, and reducing expenses associated with workplace meals and other perks that are attractive benefits in an onsite work environment.
It is important to note that remote workers remote earning methods not paid more because they work remotely. Then again, organizations may find that there are new expenses associated with supporting a remote workforce that were not expected when employees work in an office.
To do this, HR will need access to as much data as possible — including salary data — that allows them to model different scenarios for the CFO. Remote Worker Compensation by Industry and Occupation Although remote workers earn more than non-remote workers at the national median, the results are mixed when analyzing remote worker pay across industry and occupation.
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This data can be useful to organizations evaluating how to pay remote workers as it can indicate trends in workers who expect to earn the same or more when working from home and workers who might be willing to take a pay cut for the convenience of working from home based on their industry or occupation.
Generally speaking, we see that remote workers in highly professional, white collar industries receive remote earning methods pay relative to non-remote workers while other industries see modest decreases in pay for remote work.
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The more skilled and educated the profession, the more likely pay for remote workers will be higher compared to non-remote workers. The exception is Healthcare, where remote workers are highly educated but earn nearly 19 percent less when working remote for the uncontrolled group and 0.
Industries such as Construction, Energy and Utilities, Retail and Customer Service or Transportation and Remote earning methods also see lower pay associated with remote work positions, possibly because the core positions within these industries are required to interact with patients, customers, equipment, or teams onsite and where remote workers may be viewed as receiving special accommodation or benefit in exchange for reduced pay.