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Does flexible working reduce or increase productivity?
If I let my team work flexibly, will it increase or decrease productivity?
We hear this question a lot. And it’s a fair one, especially for small business owners who need to maintain strong performance while supporting a modern workforce.
So, what does the research and real-world experience show?
Flexible working tends to boost productivity when implemented thoughtfully.
Here’s why:
Employers report productivity gains
- Many companies have seen increased efficiency and output with flexible or hybrid work models
- Only a small percentage report a decline, typically due to poor planning or unclear expectations
- Managers often find that focused time outside the office leads to higher quality work
Employees are more motivated and engaged
- Flexibility helps employees to feel trusted and respected, which directly impacts motivation
- Studies consistently show that flexibility ranks higher than salary for many workers
- Engaged employees take more ownership, collaborate better and are more likely to stay
It improves hiring and retention
- Offering remote or flexible roles can expand your talent pool by up to 30%
- It is especially valued by working parents, caregivers and experienced professionals seeking a better work-life balance
- Flexible work options reduce turnover and help to retain top performers
It supports overall business performance
There can be wider business benefits, including:
- Reduced absenteeism
- Lower overheads in some cases
- Higher job satisfaction leads to fewer people-related issues
- A flexible culture builds trust, loyalty and stronger teams
What should your takeaway be?
Flexible working, when managed well and aligned with business needs, can be a powerful lever to improve productivity.
If you’ve been unsure whether to offer more flexibility, the evidence shows it can be a win-win for both employers and employees.
Need help with creating a flexible working strategy that fits your business?
Get in touch for a confidential chat today.
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