The Benefits of Remote Work: Why Companies are Hiring Remote Teams

Haley Grant
August 26 | 6 min read
The Benefits of Remote Work

Remote work is the talk of the town among global employees today. From schedule flexibility to avoiding early morning commutes and working in one’s pajamas all day, the perks of working from home are well-documented. But remote workers aren’t the only ones enjoying the benefits of online work. Companies that team up with remote workers are experiencing incredible productivity benefits compared to those that continue to keep all of their work projects in-house.

Every year, it seems that more global companies are seeking out skilled remote workers to complete projects quickly and at a fair price. With the advantages that it offers companies – from cost savings to increased productivity – it’s no wonder that remote work has been dubbed “the future of work.” Let’s take a look at why so many companies around the world are outsourcing their projects and why companies who haven’t yet hired remotely should.

The remote work “migration”

Just how popular is remote work? Last year’s 2018 Upwork Study revealed that 63% of U.S. companies had remote workers. And according to Gallup’s State of the American Workplace Report, 43% of employees work remotely at least some of the time. As for those who do not yet work remotely, 37% say that they would switch from their current job to one that gave them the option to work remotely at least part time.

According to The Global State of Remote Work, a report commissioned by Owl Labs, 16% of all global companies are now fully remote and 52% of employees around the world work from home at least one day a week.The remote workforce has become massive.

The most prevalent advantage of remote work for the worker is adding some freedom and flexibility into their lifestyle – something that’s just not possible in an office job. Other benefits include increased productivity, no commutes, lower stress levels, and overall improved wellness. But companies have just as much reason to be excited about remote work as do the remote workers.

Why companies should hire remotely

Take a look at these benefits for companies that hire remote teams:

1. They save money

When companies hire remote workers, they actually save money. Recruiting and onboarding new employees can take a massive toll on a company’s budget. Between recruiting, training, employee benefits, equipment, taxes, and more, hiring a new employee today costs companies an estimated 1.5x to 3x the employee salary, says Eric Koester of MyHighTechStart-Up. Companies who tap into the remote workforce no longer have to worry about such expenses.

Hiring remote work cuts costs on training and recruitment, as well as health insurance and paid vacation time. It makes a big difference to a company’s spending – an average of 60% saved in operational costs with an outsourced individual, to be exact.

2. They gain access to the global talent pool

Companies who hire remotely don’t have to concern themselves with only searching for workers based near them. Rather, companies have access to a massive pool of talent around the world.

When hiring remotely, companies can expand their horizons globally and focus on finding the best fit for that specific project, regardless of where the remote worker is based.

3. They can work across time zones

In the case of hiring remote workers, time zones are just another benefit for companies. The remote team that the company hires will most likely consist of individuals based in different time zones. That means that someone will always be available to work or pick up the slack while others are asleep.

For example, if a company based in New York hires a remote team that is based six hours ahead, they can rest assured that while they are asleep, the remote team is getting the job done. When the New York company wakes up, their project can already be completed and ready for review at the start of their workday.

4. They increase productivity and efficiency

If there’s one thing that both companies and remote workers can agree on, it’s that working from home boosts productivity significantly. According to data from SurePayroll, 86% of surveyed individuals stated that they prefer to work alone to reach their maximum productivity. Additionally, two-thirds of managers claim that employees who work remotely demonstrate increased levels of productivity.

With fewer distractions than one may encounter in an office setting, remote work improves worker efficiency. In fact, 30% of people in ConnectSolutions’ 2015 Remote Collaborative Worker Survey stated that they accomplish more in less time by telecommuting, and 24% said they accomplish more in the same amount of time.

5. They avoid delays due to sick employees

In-house work and commuting are often connected to increased stress levels, higher blood pressure, and overall increased risk of illness. And when employees are sick, that can lead to delays or missed project deadlines.

With 82% of remote workers reporting lower stress levels, the chances of an at-home worker getting sick are far slimmer than for an in-house employee.

What our project managers say…

Our project managers at Konsus have witnessed firsthand the benefits that their clients experience from hiring a remote team. Here’s how remote work has benefited the companies that they work with:

  • Suzanne Zudiker, Mexico City, Mexico:
    “Working remotely allows our team to have members located all over the world. At one point in time, I had a client that needed a fast turnaround, and we were able to submit changes to their documents at 10 p.m.  Myself, as the project manager, the client, and their team all went to bed and woke up the next morning to the requested changes perfectly implemented! Such a fast turnaround would never be possible if we all worked in offices and were in the same time zone.
    With technological advancements, we are also able to minimize any disadvantages of not being in the same location. We can share virtual conference rooms with our clients, share our screens and point out exactly what it is that we are talking about – a critical feature for a design company – and function just as effectively as if we were in the same room. Additionally, our business model decreases overhead, so not only are we able to turn around changes to the project by the next morning, we also do so at a very competitive rate!”

  • Jack Chan, Kuala Lumpur, Malaysia:
    “I often position myself and the other remote team members as our client’s guarantee for a good night's sleep. Usually, I'm in the opposite time zone as my client – especially for those based in the U.S. – or at least six hours ahead if they are based in the EU. That means we can discuss everything at the start of my day – the end of theirs – and the work will be done and ready when the client wakes up to start their workday.
    We understand that there'll always be many key stakeholders that have a say and provide feedback. This can be done throughout the workday for the client – while I'm sleeping – and be ready for the next round of discussions and revisions at the end of their day before they sign off.
    All client communications are transparent, and if something needs a quick turnaround, there's bound to be someone on the team available that will jump in to assist. That's the power of a global workforce.”

  • Federico Tasso, Malaga, Spain:
    “More recently, I worked on a project that was submitted by the client on a Saturday. The design team and I were able to deliver the project on Monday morning. In this case, remote work allowed us and the client to be in touch over the weekend and to deliver the final draft before the agreed deadline. We were also able to work overnight due to the different time zones between our remote team and the client.”

  • Mark Tecson, Manila, Philippines:
    “Working with a global remote team allows my clients to feel at peace, especially when making urgent or critical requests. Our pool of talent expands around the globe, ensuring clients that someone will always be available to work on their projects at any time.
    There was a time when one of my clients needed a presentation put together over the weekend, but his main designer was out sick. Through our pool of specialists, we were able to find a new designer and deliver the project within the requested timeframe, without sacrificing the quality of the work.”

The future of work

There is one final reason why global companies hire remote workers: it’s the future. As digital economies continue to grow, remote teams have proven to be just as productive and efficient, if not more, than an in-house team, saving companies both time and money.

Companies will – and should – continue to reap the benefits of remote workers, not only to enhance their business’s success but to adapt to this modern workforce.

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Written by
Haley Grant
Haley Grant is an American writer based in Madrid, Spain. A world traveler, Haley is also a huge fan of “Sex and the City,” spin classes and chugging iced coffee.

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