More Aussies would take pay cut to work from home

A new Productivity Commission study shows that some employees would be willing to take a pay cut in return for working from home permanently.But it warns that working from home during the Covid-19 pandemic is putting staff at greater risk of “burnout’’ or “slacking off”.Productivity Commission chairman Michael Brennan said 40 per cent of Australians workers are working from home during the pandemic, compared to just 8 per cent previously.“For many employees working from home arrangements will be a factor in deciding which job to take,’’ he said.“Some employees have even indicated they would be prepared to take less pay in return for the ability to work from home.“Working from home is of value to many workers, with savings in respect to the commute and the flexibility to combine work with other responsibilities, like putting on a load of washing between meetings.’’Many people are already quitting inflexible jobs to find careers where they can work from home, the Productivity Commission report states.It cites research from the United States showing that the ability to work from home two or three days may be worth the equivalent of a 7 per cent pay rise to workers.“Some workers may even be willing to accept lower wages to work from home,’’ the report states.“They may also agree to work longer hours, given that they are able to save the time that would otherwise be spent commuting.’’work from home poll The report found that most workers save an hour a day, on average, in commuting time and would choose to go to the office just two or three days a week.Mr Brennan said many employers will choose to have a “hybrid workplace’’ after the pandemic, with staff in the office part of the week.“Face-to-face interaction is often the basis of collaboration, creativity and building workplace culture,’’ he said.The Productivity Commission research found that most workers enjoy the extra hour a day, on average, of time saved commuting to work, and would choose to go to the office just two or three days a week.It says the pandemic has removed the stigma that out-of-office workers are “shirking from home’’.“Separation from managers may … afford workers the opportunity to slack off,’’ the report states.“(However) workers have been shown to work longer hours when working from home during the pandemic.’’The report flags the dangers of working from home – including loneliness for staff cut off from colleagues, back and neck injuries from slouching in front of screens all day, and “burnout’’ from long hours in high-stress jobs. “Without the cues of a commute, some workers may struggle to switch off from work,’’ it states.“And some employers may expect their workers to be more available when working from home.“Working from home has the potential to affect stress levels, relationships at home and lead to burnout, although evidence of this occurring is limited.’’The report shows that only one in four workers on the minimum wage has a job that can be done from home.But two out of three workers earning more than $100,000 a year have the type of job that can be done away from the office.“The benefits of the shift to working from home are likely to flow mainly to higher-income and more educated workers,’’ it says.The report shows that public servants, professionals and teachers are the most likely to be working from home during the pandemic.Two thirds of businesses in the financial and insurance sector, as well as the administration, and education sectors, had staff working from home this year.Barely half the companies in the manufacturing, health and real estate sectors let staff work remotely.