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Flexible work report

Prepared by Dr Elizabeth Clements, Linda Hobman,
Pat Rosier and Roger Tweedy
for the Work and Age Trust. nework@xtra.co.nz.

Funded by the Government's EEO Contestable Fund

Possibilities for employers and employees

- retention

- fast business response

- personal development

- whole life

 Employment is changing. Businesses have to react fast and need employment practices that allow them to survive. Employees are increasingly wanting time for family and activities other than paid work. Our societies are becoming more diverse with the many different cultural patterns influencing people's wants and needs. Many people do not wish to or cannot work the standard 9-5 working day yet have many of the skills employers require. People with disabilities, for example, have qualifications, experience and abilities that are workplace assets. Flexible employment practices address these issues.

This document is for

    • people whose life circumstances make standard employment practices restrictive - this can include culture, family (child-care, elder-care etc.), disability, health circumstances and so on.

    • employers and employees who find the 9-5 job no longer the best option.

The EEO Trust 2001 Diversity Survey found that 83% of the organisations surveyed provided flexible work options for employees. In preparing this resource four national employers were worked with - Woolworths, Telecom, Kinetic and Shell NZ. There will be many other examples of business with a range of flexible options.

From the New Zealand census, 2001:

  • I in 5 New Zealanders have a disability, with the most common being physical and sensory disabilities.

New Zealand has an increasingly diverse ethnic makeup. This increases the demand for varied work patterns to suit different cultural patterns

Contents

 

1. The business argument for flexibility

1.a A changing labour market

There is a 'new deal' emerging in some sections of the labour market. This is happening quickly and is characterised by

  • a readiness to challenge the accepted wisdom
  • a shift from a labour economy to a knowledge economy;
  • less people in big organisations and more people in small organizations
  • people reference checking prospective senior managers and selecting organisations as much as organisations selecting people

1.b An increasing criterion for success

Flexibility is increasingly a criterion for survival and success because:

  • increased competition puts pressure on to

reduce costs,

react quickly to change, and

speed up the production of goods and delivery of services;

  • new ideas and technological change demand a quick response;

  • large, slow-moving inventories are no longer an option;

  • social and demographic change accelerates the demands of a diverse workforce;

  • legislative requirements, such as EEO policies, must be met

1.c Benefits of flexible employment options

  • higher retention rates (less recruitment expense);

  • retention of organisational knowledge especially in older workers;

  • more contented employees who are more productive;

  • increased ability to attract and retain a better qualified, more diverse workforce including those who cannot work full time or within standard hours;

  • greater variety in work organisation and job design;

  • less absenteeism;

  • more committed, motivated employees;

  • increased ability to meet client needs through offering services at times to suit clients;

  • ability to meet peak demand;

  • Retention of older workers and their knowledge and experience. (Pressure from both employers and employees will increase in this area as the baby boomers more towards 65.)

NOTE: Some types of work such as call centre, teaching, shop-based sales and so on demand workers are on-site to carry them out and any flexible arrangements would have to acknowledge this.

Top of the page

1.d Why employees stay

Much is written about the need to retain staff, because of both the loss of experience and organisational knowledge and the high costs of recruitment.

Changes made by companies to retain staff that worked (in order of effectiveness)

  • career development strategies

  • remuneration strategies eg bonuses

  • lifestyle strategies eg flexible work hours

  • job flexibility strategies opportunity to telecommute, job sharing

  • high roller  share offers, international travel

  • body and mind  gym membership, life cover.

Benefits from making changes to flexible arrangements

  • increased job satisfaction

  • increased commitment and loyalty to organisation

  • improved morale

  • lower absentee rates

  • better use of time as flexible workers are often more disciplined in their time management

  • lower stress levels as family and work commitments become easier to balance.

The majority of people leave a position due to

  • lack of acknowledgment
  • inequities (real or perceived) in remuneration
  • lack of purpose or vision in the organisation
  • insufficient opportunities for development
  • management by activity rather than outcome
  • a mismatch of expectations through poor or no orientation
  • poor work/lifestyle balance leading to burnout
  • little or no change in their day to day work
  • other employers offering lucrative and creative non financial benefits and
  • employers not moving aggressively into new technologies.

1.e Examples & Research

Fel-Pro Inc., an automotive products manufacturer, commissioned the University of Chicago to study work family policies and found that workers using flexible benefits and programmes were

  • more committed to the company

  • active participants in changes at the company

  • more active in team problem solving

  • more likely to submit suggestions for improvements.

A Ford Foundation study found that policies that help employees integrate their work life and personal life can actually improve business performance

Extract from the Australian National Quantum Market Research Study, September 2001:  Workplace greed is starting to drive people crazy as quality of life makes a long awaited comeback. Australians have had enough of marathon stints at the office. Life with the family is far more precious. More than 30% said they would take a pay cut for a 35 hour work week."

'Finding New Ways to Work' in post-gazette.com includes a list of suggestions for keeping high-tech workers that range from "Grown-up" movie nights with junk food, beer and wine and parallel children' s movies, to a work culture that that makes employees feel as if they are important to the organisation no matter what job they do. The following points are also made:

  • Respect is more important than free pop or coffee

  •  Frills contribute to people feeling valued

  • There is a thin line between a laid-back culture and a disorderly one

  • Providing the "comforts of home" means expecting employees to spend less time at home

2. The individual and flexibility

2.b Individuals want

  • more time to spend with family

  • ability to meet caring responsiblities outside work

  • flexibility and support to retrain and develop professionally

  • some security of income

  • a balanced lifestyle

  • opportunities for advancement

  • time to spend on activities other than work

  • recognition of their other needs by their employer/s.

 Individuals' needs

 (just like any other workers)

  • effective supervision

  • training and development

  • participation in project teams

  • acting in higher duties

  • access to all positions except those which have proved to be unsuitable to perform on a flexible basis

  • promotion to management positions

  • a good standard of accommodation and equipment

  • participation in office discussions and decision making according to their level of responsibility

  • access to information on, for example, planned organisational changes, mediation, and grievance procedures.

2.c Case Study

Roy Hanrahan's preference for flexible project work, described in his own words:

I am a marine engineer who watched the shipping industry disappear in the early 1960's and retrained as an industrial engineer only to watch that industry disappear in the 1970 s. Before that happened I arrived in NZ with Dunlop to find the manufacturing industry a hotbed of industrial conflict. By a complete fluke I happened to speak with an accent very similar to those who led the unions at that time, and my employer thought (as employers sometimes do) "ay up, that lad is one of them, let's show our cultural sensitivity by rejecting their claims in an accent that is familiar to them". And so I became an industrial relations manager.

I spent several years with Dunlop and then with a local authority plying my new found trade, until I left the local authority in 1997.

I had never been unemployed so my first need was to find a permanent job. While job seeking, I became a contract worker and after several months this was my preferred mode of working. Contract work is unreliable and I filled in the spare time making children's furniture and rocking horses. This proved to be an alternative source of income.

After several years of contracting with a wide range of private and public sector clients, Telecom approached me through an agency. They had a job vacancy that required an unusual combination of skills, experience and working pattern. In 1997 Telecom contracted out all of its design, build and maintenance work which meant that the remaining 228 technicians were redundant. Telecom seconded these employees to a contractor. This had a negative effect on the technicians and their union and led to a series of challenges through the employment court.

Telecom needed a manager to manage the employment needs of these seconded employees who was comfortable in the arena of mediations, grievances, discipline etc. etc. but who could also get close enough to the staff to assist them to decide issues for themselves.

This is where I came in. My background in IR, my understanding of tradesmen's needs, my experience with unions and my (by-now) adjustment to contract work made me suitable for this project. The position required travel throughout the country and therefore a central residential location was desired. Working from home was expected for some periods of the week, travel was regular and extensive, and a car was provided.

I do not live near a Telecom office so was more than happy to continue working from home. My wife enjoyed travelling to the corners of NZ and I was able to travel with her (it costs no more for two in a motel than one). Telecom was clear that the role was results driven not hours driven and it was not expected that I spend time in their office except for specific purposes. I was available by telephone to the technicians. This allowed me to continue my craft work without neglecting my duties.

Telecom has a relaxed dress code which suited me (no pun intended) as most trades workers have little time for head office wallahs. (in suits)

Some other benefits for me were the lack of need to attend corporate meetings or functions and little need for written reporting. I was allocated a desk in HR which placed me in a familiar environment but put no obligation on me to become one of the "team".

This job required all of my skills and experience learned over 30 years. It was flexible in the hours I attended the office and allowed me to work at home on both Telecom work - or my own projects if things were quiet. I was able to travel throughout NZ with my wife, I could dress in casual clothes, I was given a car with no restriction on travel to and from the main office, I didn't have to attend meetings, and they paid me as well (I may never retire).

Telecom is the first organisation that I have worked with that is genuinely "results driven". As long as I get the job done, I am free to get on with the rest of my life. It matters little what hours I work but it is very important that the technicians are able to contact me at any time of the day wherever I am.

3. Making Flexible Options Work

See also <How to set up an individual arrangement>

3.a Features of successful practice

  • the arrangement is mutually agreed to

  • individual arrangements are recorded in writing  the agreement should cover the type of arrangement, length of time of agreement, any agreed right to return to a previous pattern of working, any other issues

  • the policy is available to all staff it applies to, including prospective staff who are applying for positions

  • it is positively promoted

  • it is led by managers who have the necessary knowledge and understanding

  • it is integrated into human resources systems and processes.

  • outputs expected of staff are clear

  • there are established ways to measure performance

  • there is a level of trust between the manager and staff member

  • there are good communication systems

  • there is clear support in the values, attitudes and experience of senior executives

  • there is full across the board staff communication about any flexible arrangements to avoid any feelings of special treatment/ favouritism.

3.b Key components

An annual survey of Australian and NZ organisations shows that the 3 key components to making work/life initiatives work are

  • demonstrable commitment by CEO to work/life issues

  • respect for the individual as a core base value

  • policies supporting a wide range of flexible work options.

The point is also made that initiatives need to be applied throughout the organisation.

 

3.c Managing flexible workers

  • coach

  • facilitate

  • monitor  build in review times

  • give staff opportunities to network

  • ensure they have the same access to information, resources, promotion etc as other workers

  • teach them how to tap into other resources

  • give employees information and decision making ability to do their job

  • use process oriented rather than outcome based training

  • ensure other workers understand and accept the flexi workers

3.d Example

Steps used in implementing flexible work practices (from NSW Govt)

  • develop a strategy and integrate it with business plan

  • exercise leadership

  • establish management accountability

  • ensure necessary resources are available

  • expand the number of jobs available for flexible work practices

  • provide training and skills development.

Also:

Be equitable - that means not treating people the same but giving everyone an opportunity to obtain a work-life balance.

4. Flexible work options

4.a Casual work

Key points

Casual work is usually work that has no job security, low pay, and on-demand schedules.

For employers, casual workers often have little or no commitment to the organisation.

Often both employer and employee are better served by using permanent part-time staff than by relying on casuals.

"Peak employer bodies" and the ACTU have agreed on providing unpaid parental leave to long term casuals. For example parents will return to the same or a comparable position if at all possible.

Examples

New Zealand supermarket chain, Woolworths, calls in regular workers for extra shifts in preference to using casual workers. They want all team members to have a commitment to the company and to be trained. This, they find, is not possible with casual workers.

A casual arrangement can be a "win win" one. One example is a man in his late 60's whose passion is golf and golfing vacations who is employed by an insurance company on a casual basis, between tournaments, to carry out follow up calls on sales promotions. In this case the employee is not relying on the income yet wants to keep in contact with the work environment. This form of casual work may develop as the workforce ages over the next decade.

Research

From AsiaPacific Journal of Human Resources Vol 30, No 1, 2001 "The casual management of casual work: Casual workers' perceptions of HRM practices in the highly casualised firm" by Diannah Lowry of Nottingham Trent University.

Findings from this research include:

  • Casual work often takes part under the rubrick of  flexible labour , any analysis of which often ignores casual work. Casual workers are often seen as less committed and less reliable than other workers.

  • The number of casual employees has doubled in Australia in the past two decades; now over one quarter of employees are employed on a casual basis only. These workers have no contractual protection and lack HR services (training, voice, job design, job variety.

  • Shifts and penalty shifts favour permanent staff. There is little consultation with the workers, with flexibility seen as for employers' rather than employees' benefit. Casual workers are expected to be available all the time and get "the bad shifts".

  • Training is "on the job". Only 2% had any training to supervise, with the general attitude being that training would be "wasted" .

  • Promotion was generally not available.

  • There was little recognition of work well done.

  • Rates were considered okay, with variable hours difficult. Penalty rates were an important aspect (88%) of wage satisfaction.

  • There was little social integration with permanent staff.

  • Problems with equity, especially those over 40.

Half those surveyed were dissatisfied with with management s treatment of casual staff, seeing it as unequal. 68% said they had less chance of promotion, and were inequably given unpopular shifts and taken off rosters without explanation.

4.b Part-time work

Key points

Part-time workers work on a continuing basis for less hours than fulltime workers. In New Zealand fulltime is commonly understood to be 40 hours a week but is generally defined as more than 30 hours a week. In France fulltime work has now been legislated to 35 hours a week.

Part-time workers may work under a number of different arrangements

  • 2.5 days a week

  • 5 half days a week

  • some basic shifts and "on call" for other times

  • 40 hours a fortnight

The more input part-time workers have into their rosters the better rosters work in practice.

Many workers other than women with young children would prefer to work part-time.

Many jobs, or aspects of them, can become part-time alternatives. It is worth thinking laterally about the possibilities.

Respond to requests to work part-time with a "how could we make this work?" rather than a "this won't work" attitude.

Factors to take into account include;

  • making the workload appropriate for the time
  • impact of changed workloads on other staff
  • making mutually suitable times for working, for example, having people on site for essential meetings

Examples

Woolworths, which is one of New Zealand s largest supermarket chains, employs thousands of part-time team members because of the concentrated nature of trading patterns around certain times and days e.g. 4-6pm and Saturdays. These part-time team members have the same rights and receive equivalent benefits to those of full time team members.

While the needs of the business come first, Woolworths accommodates workers' needs where possible. Some examples are:

  1. Women returning to work after parental leave often want different hours. Woolworths accommodates them where possible. This often means returning to a 3-4 hour evening shift but changing to a day shift as the children get older.

  2. School students are generally limited to one night plus one day in the weekend to avoid disrupting their school work.

  3. Personal arrangements can be made to suit individuals with particular needs. For example, a person with terminal cancer wants to keep working but finds s/he is exhausted after two hours. As long as the business will not suffer, Woolworths will arrange for this person to work two hours a day.

  4. Team members wanting to take on leadership roles have the opportunity to be trained and are encouraged to apply. Woolworths has an assessment centre where they give prospective managers an opportunity to demonstrate their suitability for leadership roles. If considered suitable, they undertake a series of training courses and receive day-to-day mentoring and coaching. They can apply for senior positions as they become available. Their study at the Advanced Learning Centre includes topics such as presentation skills, getting and keeping quality people (recruitment), project leadership, and quality leadership.

A former senior executive tells his story.

My experience in part-time work comes after 38 years with a large corporate entity. It was made clear as I reached pension age that the company had no firm position planned for me when I returned to New Zealand after five years as an expatriate. In the event I retired and subsequently was offered short-term employment as a casual contactor by a departmental head. In addition the international arm of the organization engaged me also on a part-time basis. Both offers came more as a consequence of my contacts within the organisation than any particular policy to use the experience of retired or resigned staff. The part-time role suited me admirably as I did want to be far freer for my own interests and to take a step away from the normal pressures of a management team.

Several English firms in the transport sector have staff fix their own rosters.

In an Edmonton (Canada)process plant workers choose between one of three working time arrangements.

Research & statistics

European Figures: A European Foundation for the Improvement of Living and Working Conditions pamphlet, published in 2001 reports:

    • 12% of full time workers would like to work part-time for a given period
    • figures for individual countries ranged from 8% in Spain to 23% in Norway.
    • 57% would like to take a career break.
    • 71% want to work 30-40 hours a week.

 

A 2001 Australian study by the Australian Bureau of Statistics shows that 28% of Australians work part-time and 66% of them were happy to be working part-time. (However, there is always a significant group who are in part-time jobs  at times more than one  because that is all the work they can get, with resulting poor pay and conditions.)

From the New Zealand census, 2001:

    • While 3 in 4 part-time workers are women, increasing numbers of men are working part-time.

    • While 3 in 4 of those working were employed full time, the number of people employed part-time has increased by nearly 6% since since the 1996 census. This is a continuing trend  it was the biggest growth area in employment between the 1991 and 1996 censuses.

4.c Temping

Key points

The term temp traditionally refers to workers employed for short periods of time in occupations such as office work, the hospitality industry and some trades.

In larger cities businesses tend to use agencies to employ temps. In formal temping the agency acts as employer and aims to maintain a pool of good temps to  onsell .

Agencies try to build a loyalty programme and a sense of belonging. They perform the balancing act of meeting the individual motivations of their team by getting them the right amount of work, while also meeting the demands of their clients.

Reasons for employing temps

  • the temporary absence of a permanent staff member

  • a peak in the work

  • a short-term project.

Being a good employer of temps

  • Ensure you are clear about what they will do and to whom they are responsible

  • Ensure they receive adequate information to perform the tasks

  • Ensure other staff know why the temp is there

  • Recognise the limits of a temp s knowledge of your business as well as their skills

  • Set out the terms and conditions of employment

  • Give feedback on performance

High flier temps Source; Management Review (US) March 1999

They "drop in for three months to two years to save the day and fly off to another adventure", and command high fees. They are used most often in one or more of the following:

  • sudden loss of a senior executive

  • during turnarounds

  • mergers and acquisitions

  • privatization

  • process reengineering

  • for specific efficiencies - eg upgrading logistics, technologies etc

  • product launch

  • divestiture

  • selling a company

Advantages include:

  • flexibility - no long-term commitment, pension, fringe benefits, can start at short notice;

  • short learning curves - bring experience in handling change;

  • strategic contribution - new insights based on wide experience;

  • focus on achievement - as self-employed independents not part of internal politics, no career ambitions within firm, no fear of dismissal so focus on achieving objectives;

  • cost efficiency - daily rate plus expenses usually less than those of a permanent executive.

Questions to answer:

  • Will hiring a high flying temp create stability or more havoc?

  • What about loyalty and commitment to the company?

  • How will staff perceive the interim person?

Examples

Kinetic - New Zealand

Kinetic, a Wellington recruitment agency working in the office market indicate that people go temping to:

  • feel their way back into the New Zealand workforce after returning from overseas;

  • earn while undertaking extramural studies

  • supplement income while setting up own business

  • maintain interest outside home and supplement income while semi retired.

  • cut back from full-time work.

A paradox in the final reason is that once a worker has a good reputation as a temp they get work almost every day and saying "no" can lead to not being asked. In this instance permanent part-time work may suit the individual better.

According to Morgan and Banks Australia the world of temping is changing. One of the changes is an increase in the use of highly skilled executives as temps. 'Already the temping phenomenon is producing two vastly different classes of untethered workers: the mercenary workforce at the top of the skills ladder, who thrive; and the rest, many of whom must struggle to survive.'

Time April 19, 1993

Diane Thrailkill in her book Temp By Choice comments that "a large number of those people who continue to temp may be settling for difference& ..I think of temping as an adventure, an opportunity for a varied and productive life, and a way to earn money. Not everyone shares my vision."

4.d Project/portfolio/contract work

Key points

Projects are defined pieces of work with a specified outcome that occur in a limited timeframe. There are three major ways in which 'projects' feature as an alternative work option:

  • in the "dejobbed" workplace, where people are fully employed by one employer and work on projects, often more than one at a time, rather than "having a job"

  • in the traditional workplace when workers are seconded for a period of time to work on a particular project

  • in the situation where an individual creates a working life by doing a combination of projects for different employers (Often referred to as "portfolio working" .)

The dejobbed workplace

In the dejobbed workplace project-based employment contracts replace traditional job descriptions. Staff work in teams on defined projects with the aim of achieving an identified result. When the result is achieved, workers regroup and move on to another project. Performance is measured in terms of results, not in terms of time spent in the office.

Advantages

  • Employers have focussed employees

  • Employees often have flexibility in use of time and space and can use this flexibility to ensure their out of work commitments are met as well as their work commitments

Disadvantages

  • Project work can be demanding, and with no time limits, staff can find themselves working longer hours than they would if their performance was measured in terms of time and presence in the office.

  • Delays in completion of projects or poor management can leave workers unoccupied between projects. This is expensive for the employer and frustrating for the workers.

Secondment

Secondment occurs when workers swap their usual roles for either a temporary role in another position or to work on a project.

Advantages

  • Expertise within the organisation is utilised

  • Workers have a refreshing break from their normal job

  • If a team is involved communication across the organisation can improve

  • Seconded workers gain more experience

Disadvantages

  • Often, the seconded person will need to be replaced

  • The seconded person may have difficulty settling back into their normal position

Considerations

  • Clearly negotiate the requirements of the project

  • Ensure the seconded worker s normal job requirements are addressed

  • Ensure other workers understand the nature of the secondment

Portfolio work - a new way of life

As employment gets more flexible it will be carried out in many forms. It will include work in the voluntary sector and will include volunteering and learning activities. For most people of course, the availability of paid employment will be a primary concern. But as people come to see themselves as primarily responsible for their working patterns, more individuals will expect to vary their working lives. People will redefine their own work, for themselves.

Charles Handy the British social philosopher widely regarded as the chief prophet of the modern workplace, coined the term "portfolio work". To Handy adopting a portfolio approach to life, means that life is a collection of different groups and activities, of bits and pieces of work, like a stock portfolio. You could get different things from different bits. "A part of that portfolio would be "core" , providing the wherewithal for life, but it would be balanced by work done purely for interest or for a cause, or because it would stretch me personally, or simply because it was fascinating or fun."

Handy particularly saw this style of work being relevant to the growing number of people in their "third age" - those beyond the organisation but still with much to contribute. As he predicted this style of life is being taken up by baby boomers but unexpectedly also by younger people opting out of the work culture of modern organisations.

Portfolio workers are often individuals who put a high value on flexiblity and control of their working lives and are strongly self-motivated.

Individuals undertaking this form of employment must deal with lack of security, having to "sell themselves" and seek contracts, and the ongoing lack of involvement with an organisation. Some combine it with an ongoing part-time job that provides a regular basic income. (A revolving credit mortgage can be a good option for someone with a fluctuating income.) Maintaining networks is an essential element of being a portfolio or contract worker.

Lack of an Organisation

Many people working outside an organisation, such as contract and portfolio workers, miss the socialisation of the traditional workplace. For those working from home for instance the opportunity to test ideas, obtain feedback from others, and have collegial contact can be limited.

Example

The Nework Centre in Wellington is an example of an initiave to alleviate some of the disadvantages of working alone. Nework provides a meeting place in the city through a membership access card. It provides homeworkers and contractors with a city space to meet with others working in similar ways, catch up on phone calls and messages, and meet clients. They also run a weekly luncheon were people have the opportunity to share issues and learn from others in working in a similar way.

Microsoft is dejobbed - everyone works on projects.

Statistics

On census day 1 in 10 people worked at home. Some of these people were self employed, some were employers and some were employees. This is more than double the number in 1996.

4.e Using the office space

Space often used as offices can be organised in many different ways, including:

  • Various forms of open plan.

  • "Boulevards" that cut through groups and departments in the office and are designed to encourage informal shoptalk and impromptu meetings.

  • Gathering spaces, cafeterias, lounges, game rooms instead of offices.

Hot desking

Can also be called location independent working, and refers to an arrangement where workers do not have their own desks but are allocated work space when they need it. They keep their belongings in lockers, filing cabinets or portable drawers when not in the office. It is best suited to workers who are often out of the office, such as sales reps.

It relies on computerised routing of phones and other technologies.

Hot desking research suggests it is a system that saves businesses money on space and resources.

A limitation is that some workers report feeling depersonalised by not having their own space and resent having to "battle for space".

Considerations

  • Does the job require substantial amounts of time out of the office?

  • What are the worker' s needs while in the office?

  • How can employees maintain an individual phone contact point if this is necessary for their job?

  • What software systems needed to effectively share computers?

  • Will there be a booking system for desks and other resources?

  • Where will workers keep their personal belongings and work related materials?

  • Who will manage the space?

  • How will other workers be affected by some people hot desking?

  • How will hot desking be monitored?

Hotelling

This a variation of hotdesking where a building is used by people on a temporary basis. They book space and equipment as they would at a hotel.

Telecentres

Such centres make it possible to go to work without commuting. People pay a fee-for-service and and can reserve space and time in wired offices that have spaces for up to 40 people

Examples

Hot desking at Telecom It was found that 4-5 people can use 1-2 desks and that this has substantial savings in office space. It is very unusual for a desk to not be available. If the "hot desk" is not available there is always someone else away. At any time, 1 in 20 staff are away sick or at a conference or something any particular day. It is essential to promote a mobile way of thinking amongst staff

Telecom have a store of office furniture that they make available to those who work from home.

An example of hotelling is provided by a major accounting firm which maintains several floors of undesignated space, and teams are accommodated week by week in differing layouts. This fits particually well for audit or consulting teams who alternatively work from clients' offices and their homebase.

Kapiti Telecentre, Lindale, run by a non-profit charitable trust offers virtual offices, internet access and IT services for hire by the hour, day, week or month.

htt://www.telecentre.co.nz

4.f Alternative uses of time (Flexitime)

Key points

Some part-time arrangements also relate to part-time working. Examples are nine month years and working full time for half a year and being paid half time for a full year.

Flexitime is one of the most widely used options.

It enables many groups of people, including some with disabilities, family commitments or community responsibilities, to maintain these and their working life.

Types of flexitime include

  • staggered start and finish times (glide time)

  • working four 10-hour days or 80 hours in nine days

  • employees redistributing their work hours in their own way, negotiating with their manager and work groups

  • flexible rosters (Woolworths)

  • annual hours replacing weekly hours with a contract of, for instance 1976 hours a year - the employee receives a fixed monthly payment even if all the work is done in one season

  • allowing parents time to visit children in creche, make and receive phone calls from children after school, have visits from school-age children after school

  • having staff organise their own work and where they do it, often subject to attendance at meetings and some other "on-site" requirements

Examples

Several accounting firms employ workers, often older women, from March to November, their busiest time, in the accounting services area. This can have the effect of extending a person s worklife beyond what it would be if the longer break wasn t taken.

Solaglas in England is a glazing industry with 500 employees. They have a flexible shift system with days varying from 4.5 hours to 11 hours.

The statement at the New Zealand branch of an international business is, "As long as all the client s needs are served [in a flexible time arrangement], we will consider whatever arrangement is appropriate."

A nylon fibre manufacturer in Gloucestershire, England, organises staff into self managing teams with measureable outcomes. The teams decide their own hours of work.

Research & statistics

Quantum Market Research surveyed 400 companies across Australia and found that more than 30% would take a pay cut for a 35 hour week and 70% believe productivity would stay the same or improve with shorter hours.

From the New Zealand census, 2001:

While the 40-44 hour working week was the most common in 1996, it is continuing to decline. More people are working both shorter and longer hours. For instance, the number of people who worked up to 14 hours per week increased from 7.8% in 1991 to 11.2% in 1996. The proportion of people who worked 45 hours or more per week increased from 32.7% in 1991 to 36.2% in 1996.

4.g Working at home (includes teleworking)

Key points

Work away from the office can be occassional e.g. while caring for someone who is ill, to complete a particular project, or as a regular component of a job for all or part of the week or month.

"Teleworking" refers to people who work away from the work site, using an increasing range of electronic tools for communication and to do their work.

It can be done in a number of ways including setting people up

  • with remote access and company computer

  • at home with duplicate office so they have two offices

  • with home office and access to an office-based hot desk

This option often goes with others such as Portfolio working. In these cases the worker provides their own office space and equipment.

Advantages of working from home include:

  • less traffic

  • less central city parking

  • less expensive real estate required in the city

  • the individual can enjoy self management, working when they are most productive, thus achieving more in less time.

Considerations

  • the arrangement needs to suit the job and the person

  • the job needs to be clearly defined with agreed outputs and performance objectives

  • any impact it will have on other staff must be taken into account

  • there must be agreement on whether staff will be available by phone and when, how they will schedule their work, expectations about attending meetings etc

  • staff working away from the office must be included in communications systems

  • other staff must understand the arrangement

  • staff member must be self motivated, have time management skills and able to organise appropriate space

  • equipment and resources must be adequate and appropriate

  • a phone means for clients to make contact should be arranged where necessary.

  • check security arrangements must be put in place where necessary (information, resources)

  • HR policies and procedures may need to be altered

  • customers' perceptions may need to be managed

  • technology is the means, not the end

  • recognise that a change in culture may be necessary

The main disadvantage is isolation and the cost of internet connection and phone calls. Other concerns are health & safety issues, security of information, availability of technology, performance measurement and trust, and meeting the costs of space, power and consumables.

Research & statistics

In "Is the grass greener on the other side. Does telecommuting rhetoric live up to the reality?" Management May 2001, P Kerslake found 67% of teleworkers thought that teleworking improved their personal/home lives.

In "Changing to remote working: it' s more than technology" in Human Resources Dec 2000, G.C. Avery refers to the advantages for both parties included in the list above and identifies isolation for the worker as a limitation. Health and safety issues, less immediate communication and performance management are identified as concerns for employers.

From the New Zealand census, 2001:

37% of households have access to the internet, 24% have access to a fax machine and over 95% have access to a phone. These items all increase a person s ability to work from home.

4.h Leave

Key points

Applying leave provisions flexibly and generously develops worker loyalty.

Treating people the same does not always result in equity; extreme circumstances require compassion and balancing the needs of the individual, co-workers and the organisation

Sick leave

Some possibilities

  • up to three "wellness" days a year where employees "ring in well" and do not come to work has been shown to alleviate abuse of sick leave
  • it is possible to accumulate sick leave over a number of years
  • generosity towards an employee with a serious illness sends out a message that employees are valued

Compassionate leave

  • requires flexibility within general guidelines
  • a way to recognise valued contributions, long service and so on.

Parental leave (New Zealand)

Parental leave is unpaid (by the employer) leave which eligible staff are entitled to take before, during and after their child is born. It is now embedded in law in New Zealand and some other countries and (partially) paid, from taxes. Employers can go beyond legal requirements.

There are three types of parental leave

    1. Maternity leave of 14 weeks. It can be taken from 6 weeks before baby is due or earlier if their doctor recommends this.

    2. Paternity leave taken up to 3 weeks before the baby is due to 3 weeks after.

    3. Extended leave where either parent can take up to 52 weeks unpaid leave.

Additional points

  • women can take up to 10 days unpaid special leave for reasons connected with their pregnancy such as antenatal classes

  • the same conditions apply to adoptions

  • staff must have worked at least 10 hours a week for 12 months prior to expected birth or adoption date to qualify

  • pregnant women who cannot safely or properly do their job will be transferred to a different position where possible or may be required to begin parental leave early.

  • those taking at least 3 months off may get one week paid at the start of leave and one week on return.

  • an information brochure sets out the entitlements and responsibilities of both parties.

  • parental leave is not automatic, it must be applied for to ensure everyone knows the conditions.

Getting the most from parental leave

  • talk to staff who are expecting babies about leave arrangements
  • ensure they know their rights and responsibilities
  • plan how their work will be done in their absence and involve them in the handover
  • keep them informed about changes while they are on leave
  • invite them to social and training functions

  • make it easy for them to return by being flexible about how this happens (using any of the ideas presented here).

The Woolworths,example: when a team member is about to begin parental leave, they are given:

  • a pack that contains a letter of congratulations from the CEO, including statement that he looks forward to their return

  • a letter and brochure explaining how parental leave works

  • a selection of goods and advice for the baby

Why does Woolworth' s parental leave scheme work?

  • policy and procedures are clearly articulated and people are informed about it

  • there is flexibility included to address the many different circumstances those taking leave may experience eg loss of a baby resulting in a desire to return to work early, wanting more time off, wanting to work different hours on their return and so on

  • those on parental leave are encouraged to attend training events and critical meetings so they are not left behind when they return to work

Statistics

From the New Zealand census, 2001:

New Zealand has increasing numbers of people who do not have a christian heritage  these are primarily from Hindu, Buddhist, Islam and Spiritualist traditions. This has implications for public and religious holidays.

4.i Special leave provisions

Key points

Special leave includes a wide variety of arrangements both paid and unpaid.

Sometimes there are specific provisions for one or more categories, sometimes they are all dealt with as forms of special leave.

Study and examination leave

Woolworths has specific arrangements for this as it employs many students and want to retain them as they move between home and their places of study as well as when their study is complete.

Tangihanga/bereavement leave

Woolworths does not list relatives to whom it applies in their employment contracts because "the company recognises that a team member may mourn for someone who is not a relative and want time to attend a funeral." They have found very little abuse of this leave and find they get better productivity because a team member is not torn between work and family.

Transferring leave

Some employers encourage staff to transfer statutory holidays to days of religious significance to them.

Part-time leave

This is when a person may work, for example, three days a week and take off two days a week unpaid for a period of eight weeks while they study or for some other commitment.

Community service leave (paid time to work with charities)

A number of businesses, including Merill Lynch, have a scheme where staff can take paid days or half days to work on a community project. Often there will be a team from within the firm working on the same project on the same day, which often creates at least local media interest.

Leave without pay

One major employer (Telecom) allows a maximum of 12 weeks at the manager' s discretion. Longer is not impossible - again at the manager' s discretion - but a good case has to be made. A general finding within Telecom is that people away longer than 2-3 months end up resigning.

Lend Lease Pty also provides for an individual and their manager to make leave without pay arrangements.

Career break schemes

Reasons for career breaks can include  children, community activities, study of language and/or for higher qualifications, research. The EEO Trust supports the principle that all employees should be able to take career breaks for: further vocational education and training, non-vocational education and training, travel, research, personal growth and development activities, religious or spiritual interests, any other activities than enhance a person' s life and therefore contribution to the workplace.

The purpose of career breaks is for refreshing and recharging; they tend to lead to greater contribution by an employee, regardless of the level of direct work relevance.

Kraft provides for career break arrangments with staff.

4.j Job sharing

Key Points

Job Sharing is voluntarily sharing the duties and responsibilities of one job amongst part-time employees and/or full time employees.

The commonest arrangement is for two people to each do half of a full-time job.

It requires high level organisational skills and excellent communication.

There can be problems about who is ultimately accountable  this needs to be clearly spelt out.

Considerations

  • don' t assume job-sharing can only apply to some jobs

  • set up the employment contract carefully

  • plan what will happen when either partner leaves

  • set it up to suit the employer s and the individuals needs

  • discuss whether one partner will cover for another during absences.

  • clearly identify any meetings that both partners must attend and structure the job accordingly.

Job sharing has fallen from favour since its introduction 20 years ago. With an increasing shortage of people with specific skills and abilities, intergenerational job sharing may gain back some of the ground. Maintaining and passing on institutional knowledge and experience through job sharing may be an option worth exploring

4.k Virtual teams (e-teams)

Key points

Virtual teams do not meet physically or share any work-space but communicate and work together via computers, cell phones, video links and so on.

For people who work this way  office can mean a motel, car or home.

This way of working demands high levels of ability to work independently and to communicate with others and with the employer.

People who work in this way most often have strongly outcome-based employment agreements.

Resource

From "Rise of the e-office: Web technology is steadily reducing the need for the bricks-and-mortar workplace" Financial Times, Feb 13 2001, Louise Kehoe

"The office will become an enabling environment, without a big space for the boss and spaces generally that are more open and flexible." Other points include

  • In an e-business, the role of the individual worker will increasingly be defined by the objectives of a specific project and may vary from one project to another.

  • The manager of one project may take a contributory role in another project. Teams may be drawn together from multiple locations, both within the company and among its partners, customers and suppliers.

  • Members of a team will work in a web-based virtual workspace which enables creation, editing and tracking of documents as well as written and spoken communications.

  • Participants will receive automatic alerts and can participate in online dialogue - the knowledge base is all recorded, so it can be mined by subsequent teams.

  • The e-office may create new social and organisational pressures.

  • People may never really leave work and hence life balance issues will become harder to deal with.

  • There may be less conflict among individuals but when it happens it may be harder to deal with.

  • Relationships between a corporation and employees will change, there will be more "free agents".

  • Status symbols will change. Who will want to be business leader?

  • Social scientists wonder whether a relentless electronic communications lifestyle may be eroding a sense of belonging and attachment and promoting disorientation and rootlessness in general.

  • E workers need to be mature and trustworthy, self directed and results focused.

This model allows the team to have a combination of core staff and other

contractors working on flexible time arrangement

4.l Benefits and bonuses

Key points

Benefits and bonuses are methods of recognising workers contributions in ways other than salaries and wages. Employers can apply bonuses and profit-sharing in many different ways.

Such an approach puts les emphasis on  the job and more on the work done and the contribution made.

Examples

At Woolworths New Zealand, if the company has met its goals overall, any store that exceeds profit goals and meets the criteria gets a bonus twice a year which is shared with everyone in the store. Variations are made for people who have just started, and so on.

Telecom's benefits include:

  • health insurance

  • retirement savings scheme

  • an employee share scheme

  • cars for private use (for some)

  • cheap holiday accomodation and air travel

  • telephone concessions

  • discounts to arts events sponsored by Telecom

4.m Phased retirement

Key points

Phased retirement can include

  • being rehired as a consultants

  • becoming part-time or casual workers

  • gradually reducing work hours

  • allowing leave of absence while still employed to "try out" retirement

  • allowing older workers into job-share arrangements

  • moving older workers to different jobs, perhaps with less stress or fewer hours.

In the US major problems relate to payments from retirement plans.

Questions to ask about superannuation plans:

  • How would reduced hours/salary in the last few years of employment affect superannuation?

  • Do years of service still accrue while a person is working part-time and receiving a partial pension?

  • How do part-time years affect calculations of total years on the job?

  • How are benefits/payments recalculated after an employee stops work altogether?

  • How are earnings over the last years (however many years are used in a calculation of earnings on which the amount of superannuation is calculated) attributed?

A phased retirement plan could reduce hours slowly over 6 months - five years. This would assist with income/lifestyle adjustment and allows new staff to be eased in. The questions raised above would need to be dealt with.

5. Keys to successful flexible employment

Keys to success

  • Human resources management personnel processes that are competent to deal with the flexibilities

  • Support from the top level of the organization (or at the very least a person' s manager)

  • An arrangement that is clear to all parties and all the people affected by it. In writing is best

  • An arrangement that is appropriate for the size and nature of the organization (a firm employing five people won't need as much detail in an agreement as a large employer)

  • Trust and respect from all parties to all other parties

  • A culture that supports flexibility

  • Doing it

6. How to set up an individual arrangement

Flexible working options can be initiated by either the employer or an individual. There are a number of examples on this site of employers providing specific provisions.

The following models an be used by both employers and employees to evaluate policy proposals or propose an individual arrangement.

Option 1

(Generally completed by the employee in the first instance. Could also be used by an employer to check that a proposed policy covers all the necessary aspects.)

  1. Describe the proposed working arrangement.

  2. Benefits and barriers for the firm. What are the benefits for the firm? Identify potential barriers that a flexible work arrangement could raise with clients, partners, staff.

  3. Flexibility and availability. Clarify your availability to travel or meet unexpected work needs on days or at times when you are not in the office or formally scheduled to work.

  4. Communication. How will you maintain this with the office? With clients? How will you let others know when you want to change your schedule?

  5. Efficiency and coverage. How will you ensure that your new schedule won't be disruptive to work flow? Describe your back-up plan for when you are unavailable and someone  - client, partner, staff -  needs something fast

  6. Reasons/benefits for yourself. Identify reasons for the request. What are the perceived benefits for you? Are you meeting your career and personal goals?

  7. Describe current and proposed work schedules. (Include hours per week and per day if different from standard office hours.)

  8. Summarise your current workload and client responsibilities/relationships and proposed changes

  9. Based on the above, provide the proposed number of hours you anticipate you will spend in each area of your job.

Using the completed proposal as a guide, discuss with your supervisor, coach and local HR rep. Any agreed upon arrangement should be written into a letter of agreement and reviewed, evaluated and discussed quarterly to ensure it is successful for the individual, the office, the clients and staff.

Option 2

To be completed by applicant or used by employer as check list

  • Working option requested (select which): Part-time, job-sharing (must find own partner); telecommuting, compressed work week; flexitime; other

  • Describe your current schedule and hours/schedule requested

  • How will your proposed schedule sustain or enhance your ability to get the job done?

  • What potential barriers could your changed schedule raise with: a) external customers, b) internal customers, c) co-workers, d) your manager, and e) others.

  • How do you suggest overcoming any challenges with these groups?

  • (If applicable) Describe any additional equipment/expenses that your arrangement might require. Detail any short or long term savings that might result from your new schedule to offset these expenses.

  • What reasonable deliverables and measurements would you propose for you and your manager to assess how your performance is meeting or exceeding expectations. Be as quantitative as possible.

  • What review processes do your propose for constructive monitoring and improvement of your flexible work option? Are there measureable outcomes to use in the review process.

  • Section for manager to approve or decline (giving reasons). Both sign.

Option 3

The employer has a policy that spells out the possibilities (which may or may not include working off site, depending on the nature of the work) and the processes for:

  • making an application

  • making a decision to grant it or not

  • setting up the arrangement

  • monitoring and review

The individual makes an application under the policy.

Option 4 (The most suitable for smaller businesses.)

Whoever initiates the idea, whether it is the employer or the employee, they work together to answer the following questions:

  • What is the arrangement requested?

  • Effects for employee  positive and negative

  • Effects for employer  positive and negative

  • What will let everyone know it is working?

  • How will anyone tell if it is not working and what will each party do about it?

  • How often will it be reviewed, by whom, and by what measures?

Resources

http://www.bls.gov/opub/mlr

Monthly Labour Review for research and statistics:

http://www.eeo.nsw.gov.au/family/flexible/about.htm

Website of NSW government. A good resource for preconditions for flexible work arrangements.

www.aarp.org

American Association for Retired Persons

Information and insights about:

  • employment issues affecting mid-career workers

  • educating employees on financial and retirement planning issues (note this will refer to US conditions)

the changing role of managers as the workforce ages

www.aarp.org/working-options

For strategies and resources related to managing the aging workforce

www.ccs.mit.edu/21c/CWP004.htm

Article by Laubacher R.J. & Malone, T.W. Flexible work arrangements and 21st century workers' guilds at shows that businesses are being forced to use flexi approaches to survive but workers suffer  "in a world set up for full timers" economic security, career development and social connection are not catered for.

Workplace Express www.workplaceexpress.com.au

www.woolworths.co.nz/careers/

Woolworths has a five-stage leadership development programme to promote and develop its managers. It recruits from its own team members and outside for trainee managers. Trainees receive intensive group training as well as on the job training in retailing, team leadership and special project work. Trainees are given opportunities to take on leadership roles when ready.

Telecomnz.hire.com/criteria.num

A Telecom website where both employees and others interested in working for Telecom can select their preferred area of work, location, hours type of employment and pay to register their interest.

http://www.workoptions.com

Designed to help employees get flexiwork arrangements

http://www.rsa.org.uk

The website of the Royal Society for the encouragement of Arts, Manufacturers and Commerce (RSA), a source of information about Portfolio working.

 

 
   
© 2003 The Nework Centre   |   email neworknz@yahoo.co.nz
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