Businesses press on with hybrid work
HR leaders must balance return-to-office policy with workforce streamlining, PwC survey finds
Businesses are expected to continue with hybrid work in 2023 despite a push to get workers to return to the office.
At the same time, the need for greater flexibility is leading companies to rely more on contingent workers, the consultancy PwC has found.
While there is no one-size answer to return-to-office planning, it’s crucial that businesses set a clear and transparent policy that balances employee benefits and organisational expectations.
A recent report by PwC US revealed that 42% of business executives across industries expect their employees to work onsite for four or five days a week, whereas 19% expect them to work at the office one day a week or less.
Hybrid work is here to stay, but return-to-office planning is a sensitive issue, said Dr Pirata Phakdeesattayaphon, consulting partner at PwC Thailand.
“Businesses are likely to settle for a hybrid working model that combines on-site and remote working. Employers are making a push to increase on-site work as a means to foster meaningful workplace collaboration and to help workers feel they are part of the corporate culture,” she said.
“But we have to understand there’s no single right answer for return-tooffice planning. It’s a sensitive matter that may go against what employees need and expect.
“Many employees need the flexibility that work-life integration brings. Working remotely allows workers to work efficiently while reducing the time, costs and stresses involved in a commute to work.”
WORKFORCE STREAMLINING
Dr Pirata said Thai businesses are hiring contingent workers as they look to streamline their current workforce.
Most contingent workers are hired directly on freelance contracts and specialists are sought through third-party firms, but the push to streamline is also resulting in employers bringing in technology and automation to replace low-skilled workers, she said.
“Today, all occupations are being affected by workforce streamlining because organisations want to increase their productivity and flexibility,” said Dr Pirata. “Establishing a contingent workforce is one approach to workforce management that is gaining popularity and is likely to increase in the future.”
The PwC US survey confirmed that businesses are taking action to streamline their workforces as they face risks on multiple fronts, including post-pandemic repercussions, and economic, social and geopolitical instability.
With global volatility rising, businesses are looking for ways to increase operational efficiency and maintain business continuity. In the US survey, 34% of HR leaders reported they shifted the ratio of staff to contingent workers, while 26% planned to reduce the number of full-time employees in the next 12 to 18 months.
She said businesses must have a clear and transparent return-to-office policy to encourage employees who want flexibility to return to the office. The challenge for human resources leaders is to balance workforce requirements with employee expectations, including reducing bias towards employees who prefer working remotely.
Roughly 79% of HR leaders in the PwC Pulse Survey believe management favours on-site work over remote employees, said Dr Pirata.
FOUR CONSIDERATIONS
For businesses considering their returnto-office planning, she advises HR leaders to focus on these four issues:
1. Create joint measures by involving the team’s people manager and employees in setting on-site work schedules together and deciding which are suitable for remote work. This approach creates freedom and room for decisionmaking as well as encouraging both parties to be involved in shaping the team’s policy.
2. Organise a hybrid working model training course to eliminate biases and assess the impact of hybrid processes. The training should be extended to the management level to train them on how to bring out the full potential of their team members and set measures to regularly monitor performance.
3. Improve the performance management system so that it focuses on delivering goals and outcomes rather than monitoring workplace attendance. Leadership must set clear goals and align work expectations with their team members.
4. Put workplace flexibility at the core of business planning to encourage retention while supporting career growth for employees. It’s important that organisations foster a culture of flexibility that enables employees to connect their personal needs with the overall purpose of the organisation.