Best Practices / Resources</li></ul>2010 Total Rewards Conference & Exhibition<br />
Telework Savings Calculator<br />• Used by legislators, community advocates, and Fortune 500 companies in U.S. and Canada to promote telework initiatives <br />• Available for every City, County, Metro Area, Congressional District, State in U.S. <br />• Savings<br />Company: Real Estate, Absenteeism, Turnover, Productivity<br />Community: Oil, greenhouse gases, traffic, highway maintenance<br />Individual: Gas, auto, food, parking, tolls, clothing, daycare<br />
Custom Savings Calculator<br />Total # of employees<br /># Teleworkers<br />Days / week they will telework<br />Additionalpeople who could work at home<br />Roundtrip miles to work<br />Roundtrip commute in minutes<br />Other employee Savings<br />$ per gallon of gas<br />% teleworker offices that are eliminated<br />Cost per kWh of electricity<br />Cost/per office<br />Cost of losing an employee<br />Cost of unscheduled absences<br />% Reduction in absences<br />% of employees who quit each year<br />% improvement in retention<br />Assumed improvement in productivity<br />Average annual earnings of teleworkers<br />Other company savings <br />% Who could work at home<br />% of people who want to telework<br />% Daily travel reduction<br />Parking, Lunch, Work Clothes<br />Other Individual Savings/Year<br />Day Care Costs<br />
Telework Savings Calculator - Sources<br />American Community Survey<br />Bureau of Transportation Statistics (BTS) Omnibus Household Survey<br />2005 Reason Foundation — The Quiet Success: Telecommuting's Impact on Transportation and Beyond<br />EPA MOBILE6.2 <br />Colliers International 2008 Parking Study<br />BLS Labor Review<br />BLS Consumer Spending Report<br />Center for Energy and Climate Solutions / Global Environment and Technology Foundation<br />National Association of Child Care Resource & Referral Agencies<br />U.S. Department of Energy, Energy Information Administration, Household Electricity Reports<br />National Highway Safety Administration "Traffic Safety Facts”<br />Federal Highway Administration Traffic Safety Data<br />Cushman & Wakefield MarketBeat<br />Matthews and Williams "Telework Adoption and Energy Use in Building and Transport Sectors in the United States and Japan”<br />U.S. General Administrative Services Telework Studies<br />American Management Associations / AVAYA "Unleashing the Hidden Productivity of your Small Business”<br />CCH Unscheduled Absence Survey<br />TalentKeepers Employee Turnover Trends<br />WorldatWork Member Surveys<br />CommuteSolutions.org <br />
Other</li></ul>2010 Total Rewards Conference & Exhibition<br />
Employer Productivity<br />Businesses lose $600 billion a year in workplace distractions.<br />Fewer Interruptions<br />More Effective Time Management<br />Empowerment<br />Flexible Hours<br />Long Hours<br />
Employer: Productivity<br />- Employees admit to wasting two hours a day.<br />- Best Buy’s average productivity increased 35%.<br /><ul><li>75% agree that flexible work increases productivity.
Dow Chemical estimates a 32.5% increase in productivity. </li></ul>- IBM study suggests telework employees up to 50% more productive.<br />- Alpine Access, shows 30% increase in sales / 90% reduction in complaints<br />- Over two-thirds of employers report increased productivity for telecommuters.<br />
Employer Productivity<br />Workers when you need them<br />
Other Costs: parking, furniture, supplies, maintenance, security, janitorial, insurance, taxes, common area, compliance costs</li></li></ul><li>Employers: Facilities<br /><ul><li>Sun Microsystems saves $68 million a year in real estate costs, $3 million a year in reduced power consumption, and $25 million a year in IT expenditures</li></ul>- Unisys reduced its real estate costs by 87% through telecommuting.<br />- McKesson Corporation’s telework program saves >$1 million a year in RE costs.<br />- The U.S. Patent & Trademark Office avoided $11 million in new real estate expenses through telecommuting and office hoteling (70% of staff telework)<br />- IBM’s 80,000 teleworkers save the company $700 million a year in real estate costs.<br />
Employers: Facilities<br /><ul><li>You don’t pay for an employee’s car and maintenance
What if you didn’t have to pay for and support their computer and phone?</li></li></ul><li>Employers: Absenteeism<br />Telecommuting has proven to be the second most effective method of reducing absences<br />Stress<br />Exposure<br />Occupational / Environmental Hazards<br />Driving<br />Work While Sick<br />More Satisfied<br />
Employers: Absenteeism<br />- 78% of employees who call in sick, really aren’t<br /><ul><li>Unscheduled absences cost employers $1,800/employee per year; that adds up to $300 billion per year for U.S. companies.</li></ul>- Based on AMA data U.S. GSA telework cost/benefit model shows a 63% reduction in unscheduled absences per teleworker.<br />- The spread of contagious disease is at the root of a federal policy that requires all eligible employees to telework to the maximum extent possible.<br />- 64% of managers felt reduced absenteeism was a strong or very strong business reason to allow flexible work.<br />
Employer Benefits: Attraction / Retention<br />Among top non-financial benefits<br />Expands talent pool <br />Geography<br />Caregivers<br />Part-timers (26M)<br />Disabled (16M)<br />Rural<br />Retirees<br />Almost 80% of employees say they would like to work from home, at least part of the time. <br />More than a third say they’d choose the option to telecommute over a <br />pay raise.<br />
Employer: Turnover Savings<br />- Attrition costs 75% of a non-exempt salary and 150-200% of exempt salary.<br /><ul><li> 85% of employers say telework increases employee retention.</li></ul>- 68% Shering-Plough teleworkers say it’ a factor in their decision to stay.<br />- 72% of employees say they’d choose a flexwork job over traditional.<br />- Gen Y workers are attracted to flexible work arrangements.<br />- 70% of Boomers plan to work for pay after retirement<br /><ul><li>5.4 million Americans with some college education or more aren't working.
Only 75% of women age 25–54 participate in the labor force.
Almost a quarter of women work part time (16.5 million), vs. 10% of men.</li></ul>- Two-thirds of employees would take another job to ease the commute.<br />
Money</li></ul>2010 Total Rewards Conference & Exhibition<br />
Telecommuting: Employee Benefits<br />• 90% of home-based telecommuters say they are happier with the balance in their lives because of working from home.<br />• During the 2008 run up in fuel prices, 92% of employees said they were concerned with the high cost of fuel. 73% felt their employers should take the lead in helping them reduce their commuting costs. <br />•During the same survey, two-thirds said they’d take another job to ease the commute.<br />
Telecommuting: Other Community Benefits<br />Reduce human congestion<br />Revitalize cities<br />Improve emergency responsiveness<br />Increase productivity among non-telecommuters by reducing travel times<br />Increase employment<br />Provide portable work options for military families<br />Reduce the offshoring of jobs<br />Raise the standard of living in rural and disadvantaged areas<br />Reduce terrorism targets of opportunity<br />2010 Total Rewards Conference & Exhibition<br />