Some Australian employees are choosing flexibility over salary as evidenced by their willingness to take pay cuts to continue working remotely, according to a recent survey by Capterra.
Capterra’s 2024 Cost of Work survey consulted with 248 employees across Australia out of 2,716 participants from 11 countries internationally in March.
The findings show that 46 percent of Australians work fully on-site at their company offices, while 41 percent follow hybrid arrangements, and only 10 percent work entirely remotely.
It also found that 34 percent of Australians working remotely preferred a salary cut for the sake of receiving remote work benefits. That was slightly lower than the global average of 36 percent.
Employees view this as a worthy trade-off, with work-life balance and geographical flexibility being significant factors that affect their willingness to accept reduced pay.
Notably, only 12 percent of Australians live within 5 kilometres of their workplace, much lower than the global average of 21 percent. Almost half of Australians workers also said petrol was their greatest commuting cost.
On the other hand, others prefer working on-site more often when presented with the idea of pay cuts.
Most companies now include the mandatory return to on-site work operations for employees full-time or at least a few days weekly.
However, some employees are reluctant to return to their offices after primarily working remotely or with hybrid arrangements during the pandemic.
Those who either have fully remote or follow hybrid working arrangements shared that their workspaces at home completely meet their needs and requirements to accomplish their daily tasks.
Furthermore, remote employees said that they can customise their work area to better adhere to their workflows, ensure a more comfortable environment, and likely increase their level of productivity.
Capterra provided tips and key points for companies to consider when coming up with a strategy to incentivise employees to return to on-site office operations.
This includes investing in creating a modern and comfortable workplace, involving employees in the decision-making processes regarding remote work, and offering benefits that address on-site work challenges.
When it comes to benefits, the top choices include free or subsidised food, flexible work schedules, and commuter benefits.
Last November, a University of South Australia research has found that 45 percent of workers would be willing to accept a pay cut in exchange for remote work flexibility.
The researchers surveyed more than 1,100 Australian workers in 2020-21 and found that an average worker would be willing to give up 4 percent to 8 percent of their annual salary, equivalent to about $3,000 to $6,000, in exchange for performing their duties from home.
At the same time, more than 55 percent said they would be unwilling to give up a portion of their salary to work from home. Additionally, they either did not see any benefits to productivity and wellbeing or had various concerns about remote working.
