Top 10 Benefits of Hiring Remote Workers for Businesses

Hiring workers traditionally costs a lot, takes time, and isn’t exactly flexible. This rigidity and overhead costs delay the execution of projects and stretch budgets, which isn’t exactly ideal in this fast-paced environment. An ideal solution to this is hiring remote workers. Why hire remote workers? Some of the key benefits of hiring remote workers are that it allows businesses to tap into a global talent pool, scale operations, avoid overhead costs by not having to hire them full-time, and fill short-term gaps. While there are various benefits of hiring remote workers for employers, employees also benefit greatly from this work arrangement. Some of the obvious reasons include reduced commute and better work-life balance.

Why Are Businesses Hiring Remote Workers Today?

The advantages of hiring remote employees are many, and businesses have realized these, leading them to hire more and more remote workers.

• Reduced overhead costs associated with office space maintenance, transportation, and other perks.

• Allows employers to hire from across the globe and tap into a skilled global pool of talent, as there are no geographical barriers.
• A better work-life balance for employees leads to higher employee satisfaction and reduced turnover rates.
• The hybrid model allows employees to be more focused and productive as they have control over the environment they are working in.

What Are the Key Benefits of Hiring Remote Workers?

Here are some of the key benefits of hiring virtual employees:

1. Higher productivity of Remote teams

For years, or to be honest, even today, most companies believe that working remotely lessens the productivity of workers, and while this may hit right to most of you, as somewhere, we are all stuck in the old school of thought, recent studies have shown otherwise. A remote trends study by Upwork found that 61% of remote workers claimed that their productivity was much higher since they started remote work as opposed to when they worked in the office.

Even the hiring managers agreed. Despite the chaotic shift to remote work, things actually seemed to be working out for the better eventually.

And it isn’t only this one study that said so, as it was consistent with two other findings that reported higher work productivity.

Reasons that contributed to this higher work productivity by remote workers were found to be

• Zero commute

Since the commute has been cut down to zero, workers have a better opportunity to facilitate a healthy work-life balance, as they can allow themselves time to catch up with their families, get some exercise done, resulting in less stress and more productivity.

• Design a comfortable, yet productive work environment

Remote work gives workers the opportunity to workers to design a work schedule that best suits their time. For example,

• They can take breaks at a time they deem fit, as opposed to the ones that must be taken while working in the office at particular times only.
• Flexibility to move around more, allowing a bit of exercise and movement that helps with brain stimulation, resulting in better focus at work.
• A comfortable physical environment that is pleasant on the eyes and mind.

2. Higher satisfaction levels reported by employees

Naturally, when an individual is given the flexibility to work in an environment they are comfortable with, satisfaction levels are a lot higher, as they are finally able to balance life and work. The reasons for these elevated levels of satisfaction, as per a study, varied from-

• Being present for their family a lot more
• Lesser work-life conflict
• Low levels of stress
• Feeling of being more trusted and appreciated

All of this resulted in significant improvement in some of the key business metrics:

• Higher retention rates
• More customer loyalty rates
• More profits
• Higher employee engagement

3. A cost-effective solution for businesses

Put simply, and clearly, remote teams mean, you technically do not provide them with any infrastructure required, which is cost-effective for businesses. Some of the big guns of the industry, such as IBM and Sun Microsystems, saved around $50 million and $68 million in real estate infrastructure.

However, even on a small scale, as a startup or small-scale industry, you will be saving costs. Here’s how.

What are some of the key savings that come to mind when you think of cost savings

• Rent and other utilities
• Constant upkeep of an office space
• Tax saves on spaces

On a larger scale, some of the other ways you can benefit are

• Hire workers from outside of the state, where there is immense talent potential, but they are paid a lot less. Not only does this turn out to be cost-effective, but also a major source of talent
• To hire a remote worker is to engage them when required, and not own the burden of paying them for full-time work.
• Can operate in an event of disaster
• Avoid relocation costs

4. Have your pick of employees from a world pool of talent

One of the biggest advantages of hiring a remote workforce is that you are not bound to a certain geographic region. You have the freedom to pick and choose your employees from across the nation. And this is a boon, especially in today’s tight labour market, where finding talent is a tedious feat.

When you hire a remote worker, you get to work with people from diverse backgrounds with unique experiences and talent that can be an excellent value add to your team and organization. Additionally, studies have shown the enormous benefits of DEI commitments.

5. Higher employee engagement

This one comes as a surprise. One might think that working in the office results in higher employee engagement, but, on the contrary, the impact of remote work on businesses is positive. Remote teams seem to be more engaged as they are less stressed, have a better work-life balance. The enhanced emotional and mental health results in more innovative, enthusiastic, and energetic behaviour.

Another important thing to consider is the element of trust. Employees like to feel trusted, and when organizations instil this in them, they feel empowered and appreciated, which automatically results in higher engagement. However, according to a Gallup study, it was found that employees who worked remotely three to four times a week were highly engaged and productive.

6. Increased team flexibility

Being agile and swift is one of the most important traits for a business to succeed. With the rapid advancement of technology, it’s integral for teams to keep up with the latest technology trends to meet customer demands effectively. Of course, while this can be done with your in-house team as well, there is a distinct advantage with remote teams.

One of the strategic benefits of remote hiring is having individuals or freelancers who are experts and who can work at your disposal as and when you require them to. Additionally, freelance teams have individuals with distinct, unique talent whom you can pick and choose from, as well as scale up or down as per your business needs.

One example where this agility of teams worked was during the pandemic, when Amway produced a global video series across five countries, in less time than using their traditional approach, and saved $100,000 to boot.

7. High worker retention rates

Since the pandemic, it’s been quite difficult to get workers to come back to work full-time in the office, as the pandemic forced people to stay indoors and work remotely for way longer than expected. But surprisingly, this move didn’t harm the productivity rather enhanced it. However, a few companies, once the pandemic was over, tried to enforce a full-time work from office model once again, and this hasn’t gone well.

A high percentage of employees said they would rather look for another job than return to the office full-time. About 24% of employees even agreed to receive less pay if allowed to work remotely.

With these stats, it was quite evident that if companies didn’t opt to hire remote workers, not only would they be missing out on talent but would also hurt their employee retention rates.

8. Better environmental Impact

One of the key benefits of hiring remote workers is that it helps in protecting the environment. Employees these days look to work with companies that are responsible towards the environment. And remote workers happen to contribute positively to the environment without even trying too hard. Here’s how-

• Every 1% reduction in vehicles reduces road congestion by 3x.
• Nearly three billion gallons of gas are wasted in traffic jams, which accounts for 26 million extra tons of greenhouse gases.
• Working remotely just part-time would save more than 1,600 lives, prevent almost 99,000 injuries, and save over $12 billion a year in direct and indirect costs associated with traffic accidents.

9. Better business continuity

By hiring remote workers, you can make sure that your operations run 24/7, especially if you have them working in different time zones. This is crucial for some industries.  Remote work arrangements can easily ensure the continuity of business operations, without interruption, even during emergencies, such as natural disasters or pandemics, for obvious reasons. Remote workers can work from the convenience of their home and make sure all business operations run smoothly.

A distributed workforce mitigates risks associated with regional disruptions.

10. Compliance and Diversity

Remote work facilitates hiring a diverse workforce, promoting inclusivity and equality. Companies can more easily comply with regional employment laws and regulations by hiring remote workers in various locations. Many businesses are taking the borderless talent pool a step further by hiring freelance team members in specific time zones to create a production cycle that follows the sun.

What are the Best Practices for Managing Remote Employees?

1. Set the Right Expectations

It is important to set clear expectations for remote workers. Any expectations that are relevant to the remote employee’s role must be communicated properly and in advance.

• Note the acceptable range of working hours and response times
• Times as to when to check in or project updates

2. Foster a check-in culture

Often, remote teams may struggle to be motivated. During such times, it’s best to foster a check-in culture. What we mean by this is,

• schedules short check-ins.
• Have chat rooms where team members can socialize with each other
• encourage team members to check in with each other as well.

3. Focus on results and not just activities

Yes, do make sure that your remote workers are putting in the time they are supposed but keep in mind that it’s better to focus on results than just their activities.

• Make sure their project deliverables are such that they are broken down into smaller parts.
• This makes it easier for the employees to deliver
• makes it easier for employers to monitor.

4. Set aside meeting-free times

If your remote teams are getting tired of being on Zoom or Teams all the time, make sure to

• Set aside a certain amount of time in a day where they don’t have to be present on Zoom
• Can focus on their work without interruptions.

5. Address performance issues proactively

If your team members have missed out on delivering their work on time or other deliverables,

• Make sure to address these issues proactively, rather than waiting for a cyclical review cycle
• Do allow your employees some space to explain themselves if they have had to encounter something unexpected.

6. Build interpersonal connections with remote employees

It’s important to have a connection with your remote employees as well. Have one-on-one meetings with them to check in both personally and professionally.

• Listen to what they have to say or if they have any issues regarding work or anything that is stressing them out, and address it immediately
• Have remote social events like birthday celebrations, virtual happy hours, book clubs, etc, to encourage interpersonal communication.

7. Communicate with your remote employees

Thanks to digital advancement, some tools can help you communicate with your remote teams effectively. Before you communicate, make sure you define what you want to communicate and through what tools.

• Make sure to let your virtual employees know what kind of conversations are appropriate for instant messaging, email, or video calls
• Document the process for managing and communicating workflows to avoid overcommitting.
• Encourage the team to communicate openly about their commitments. This gives you the opportunity to detect conflicts before they get overwhelming.
• Agile project management software can facilitate the generation, assignment, and communication of tasks to all team members while allowing you a shared visualization of the workflow.

8. Celebrate Achievements at and Outside of Work

Your remote employees bring a unique perspective of life outside of work, in addition to giving their best at work. Respect their out-of-office achievements as much as their achievements at work.

9. Encourage Professional and Personal Development

Though recruited initially for the niche skills they possess, remote employees need to advance professionally, too. Make sure that you encourage them to participate in learning and development initiatives and focus on personal development and mental health, and well-being.

What Types of Roles Are Best Suited for Remote Hiring?

Some of the roles that are best suited for remote hiring are-

• Remote Sales representatives
• Technical support engineer
• Graphic designer
• Web designer
• Online tutor
• Digital marketer
• Software engineer
• Project manager
• Technical writer
• User experience designer
• Cybersecurity Analyst
• Data Scientist

What Challenges Should Companies Consider When Hiring Remote Workers?

While there a myriad benefits of hiring remote workers, there are quite a few challenges associated with them too.

1. Going through countless applications

Hiring managers usually have to go through thousands of resumes and shortlist the most suitable ones. This is tedious, especially when choosing candidates to work for remote positions. Properly written job requirements with clear expectations can eliminate the profiles that do not qualify for remote positions.

2. Time-zone differences

Finding candidates from different time zones can make it difficult to schedule and conduct interviews. Hiring managers can optimize time zone overlaps to evaluate in real time, as well as use automatic scheduling tools to match the interviewer’s time zone.

3. Vetting and skillset evaluation

Accurate skill assessments and evaluations are challenging to conduct in remote settings. 33.1 percent of hiring managers expressed that they struggle to find the best candidates in a remote environment.

4. Difficulties in onboarding

The first few days are always overwhelming for a new employee, and they may not perform as well as expected.  Research states that employees that are newly hired employees are only about 25% productive. To help with this, hiring managers must plan and conduct introductory sessions with the new joiners.

5. Contractual legalities

Employers must have legal contracts for remote employees as well. However, all remote employers must thoroughly examine the labor laws of individual countries to achieve compliance. This can be a bit challenging unless they hire compliance experts who can help them get through it easily.

6. Salary disbursements

Transferring salaries to remote employees can be a complicated offshore challenge. Tax laws of countries, international money transfers, accurate salary calculations, and invoicing can cause serious hiring and compliance issues.

How Can Companies Successfully Hire and Manage Remote Workers?

Organizations must understand that the remote and hybrid models are here to stay and are not just convenient for employees but can also help organizations achieve the highest goals of productivity. In order to hire, manage, meaning retain remote workers, organizations must find ways to incorporate policies that work. A key rule to ensure this is communication. Using the right tools and communicating with your remote employees daily can go a long way in ensuring their work is on track, they are feeling satisfied and are being productive.

Are you looking for a Recruitment Partner?

If you are looking for a recruitment partner to help you address your remote hiring challenges, then we can help. Alp Consulting is one of the world’s leaders in remote staffing. We can meet the needs of startups as well as Fortune 500 companies. With more than a decade of remote staffing solutions experience, we are here to help you build that dream remote team. Talk to us today!

FAQs- Frequently Asked Questions

1. What are the main benefits of hiring remote workers?

Some of the key benefits of hiring remote workers are access to a global talent pool, cost savings, higher productivity, better employee satisfaction and retention, and business continuity.

2. Why do companies prefer hiring remote employees?

Companies prefer hiring remote employees as they can tap into a wide talent pool,  save costs on infrastructure. This arrangement not only helps organizations enhance productivity but also provides employees with a good work-life balance.

3. Is hiring remote workers cost-effective?

Hiring remote workers is cost-effective as it allows companies to hire from places with lower labour costs, as well as save costs on infrastructure.

4. What roles can be hired remotely?

You can hire remotely for roles in Tech (Software Dev, IT), Marketing (Social Media, SEO), Sales, Customer Service, Design (Graphic, UX), Finance (Accounting, Analyst), HR, Project Management, Writing/Content, and specialized fields like Data Science, Legal, and Healthcare (Telehealth).

5. How does remote hiring impact productivity?

Remote workers are a lot more satisfied with their work-life balance as they find a better work-life balance. This motivates them to work better, resulting in better productivity.

6. What are the compliance considerations when hiring remote workers?

Compliance considerations when hiring remote workers involve navigating complex rules for payroll/taxes, ensuring proper employee classification, adhering to local labour laws in each jurisdiction, securing data privacy, creating strong contracts, and managing workplace safety/well-being.

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