Teleworking: The Hidden Costs For Employers

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The extent of teleworking has growth rapidly over the last five years. Today, it is estimated that a 5.5 million people work from home. The attractions for workers are obvious such as reduce stress, less commuting and fewer lost days for children's illnesses. Employers cite benefits such as reduced office space costs, improved staff liability and reduce stress for staff. These benefits come in the form of improved productivity and reductions in office accommodation costs. However, there can also be unseen costs and obligations for employers.

 

Health and Safety

Employers have to make sure that their employees work in a safe environment. A recent survey discovered that around 50% of companies were at risk of failing the Health and Safety Executive's ("HSE") requirements to conduct risk assessments and compliance audits. These assessments and audits ensure that teleworkers' home work spaces are safe from risks of fire, electrical faults, vision damage or repetitive strain. HSE inspectors have statutory rights to carry out safety inspections at the homes of teleworkers.

 

Employers need to ensure that the home workspace is properly set up and risks assessed for each worker. The work space should be equipped with a sturdy desk and stable chair to protect the worker's posture. Anti-glare lighting should be provided and the desk and computer equipment positioned to prevent reflective glare that might damage the worker's vision. Any desktop or laptop computer that might be required should be configured with firewall and antivirus software. Where children might trip over trailing cables, cable-tidies such as ducts, cable-ties or anti-trip mats should be provided.

The Implications and Costs

The government's drive towards flexible working and child-friendly employment policies is a major incentive for companies to investigate teleworking. However, a recent CBI report states that 75% of its member firms spending increasing amount of time administering flexible working arrangements resulting in the loss of valuable management time in compliance activities. In our experience, businesses are increasingly concerned in balancing the flexibility needs of workers with providing high levels and continuity of service to customers. However, it is important that teleworkers are treated in the same way as their office worker colleagues and given equal access to support, technology and health and safety information.

Most teleworkers will require some kind of computing resources that will increase the per-capita cost of the IT infrastructure. For example, laptops can cost twice as much as an equivalent desktop computer and the running costs of personal ink jet printers can be 30 - 40 times the cost of networked office laser printers. Generally, the annual cost of equipping and supporting teleworkers can be up to 15% higher than their office-based colleagues. Companies may also have to reinforce their IT infrastructures and networks in terms of storage capacity, security and broadband Internet capacity. A key issue for many employers is the provision of hardware support for teleworkers. Where such engineering support is provided to teleworkers' homes, the per capita costs can be significantly higher than for office-based members of staff.

Information Security

The Data Protection and the Computer Misuse legislation impose obligations on companies to protect information. When companies introduce teleworking, the challenge to protect the security of information becomes more complex. Irrespective of where an employee might work, the company, not the teleworker, has a legal responsibility for the security of information held or processed on a teleworker's computer. It is quite likely that the teleworker's computer will be used for non-business purposes for example browsing the Internet, self-study research or children's games. It is then that the computer is at greatest risk from virus attack or remote hijacking. The home computer should, therefore, be configured with a corporate-strength firewall and a virus-protection system that can be updated every time the computer is connected to the Internet. The home computer should only be connected to the employer's systems using secure connection technology such as Virtual Private Network ("VPN") or thin-client (e.g. Citrix, Terminal Server or secure web server).

To avoid uncertainty, it is prudent to include guidance on home-working and the appropriate mandatory policies in the employee handbook. Many people may find it difficult to adapt to the loss of companionship and the cut-and-thrust of office politics and employers must not expect to achieve sweeping reductions in office accommodation and administration costs.

Teleworking may be the future for service-based working but there are costs to be faced and risks to be managed. Remember, the employer's responsibility is not limited to the office's front doorstep.

 

If you are interested in finding out more about how teleworking might benefit your organisation contact Sandy.Pratt@4-consulting.com

 

Sandy is a co-founder of 4-consulting, click here to view his profile.

 

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