Flexible working could add R17bn to economy
CITRIX, a mobile workspace solutions provider, recently announced the results of its study with London’s Centre for Economics and Business Research into the potential economic impact of a more widespread “work from anywhere culture” in South Africa.
The study found that if the South African knowledge worker population fully used flexible working, it was possible to add an extra R17 billion a year to the South African economy through the more productive use of available working hours – equal to 0.4 percent of gross domestic product.
In addition, more extensive flexible working practices could save commuters a total of R44.1bn, by reducing commuting costs (R39.5bn) and the time spent travelling, which also has a value.
“Over recent years, many organisations have become firm advocates of the benefits of flexible working and this study verifies the impact that such a culture can bring to the wider South African economy,” said Brendan McAravey, country manager of Citrix South Africa.
“Technology now enables us to work from anywhere, at any time. It is time to move on from judging workers on how long they spend at their desks to evaluating them on the work they actually deliver.
“By realising that employees do not have to be in the office from 9 to 5, employers will reap the benefits of an even more productive, contented workforce – and as illustrated here, reaching a new, untapped pool of talent in the process.”
There is a high demand from employees in South Africa to work more flexibly, with 93 percent of South African knowledge workers indicating that they would opt to work from home or an alternative remote location on an average of 19 hours per working week.
If organisational culture throughout South Africa evolved to embrace this, there would be savings in commuter costs of R39.5bn, with a reduction of 320 million hours spent travelling to and from work annually.
Such changes would result in an improved work-life balance as well as considerable financial gain for individuals.
The leisure time gained through the greater adoption of flexible working accumulates to 1.2 million extra hours a year or 110 hours per person per year.
As well as improving the worklife balance of those in full-time employment, the report also indicates that more flexible working opportunities could deliver significant benefits to the wider South African economy by further engaging people working part-time, or previ- ously excluded from employment. The research revealed that: There is scope for technology-enabled flexible working to encourage over 5 million people in South Africa who are unemployed or economically inactive to be enabled or more willing to join the labour force.
The study indicates that 95 percent of these respondents would be inclined to start working if given the tools to do so.
This group of unemployed or economically inactive workers is responsible for 91 percent of the total potential boost to gross value added, equal to R169bn annually or a 4.5 percent boost to gross domestic product, with the remainder of R17bn contributed by productivity improvements of people currently in work.
Ninety percent of part-time working respondents indicated that they would be inclined to work more hours if given the opportunity to work remotely.
With 574 000 part-time workers in South Africa who would like to work remotely, this could potentially create an extra R5.2bn in gross value-added output.
With the aid of flexible working, the total South African economic output contribution could be boosted by as much as R187bn (in gross value added) per annum.
“Issues such as load shedding and high fuel prices take their toll on the workforce financially, physically and psychologically,” McAravey says.
“Businesses in South Africa need to look closely at the provisions they make for flexible working. Those that choose not to enable workplace mobility will lose out in the war for talent and could arguably suffer from lower employee productivity.
“This study highlights an opportunity for employers to collaborate with remote-working technology providers to ensure that employees are in a position to seize the opportunity to engage in such flexible working practices.
“The economic argument for flexible working is quite clear – South Africa as a whole needs to contribute to a culture where anywhere, anytime working is the accepted norm.”
See www.citrix.com for the full report.