Employers Lax in Managing Flexible Work Programs

April 30, 2008 (PLANSPONSOR.com) - Employers are embracing flexible work arrangements as a way to meet the needs of a diverse workforce, but most have not structured their programs to maximize the benefits, Hewitt Associates found.

Eighty-eight percent of U.S. employers provide some sort of flexible work arrangement to their employers, up from 77% in 1998, according to a Hewitt announcement. Of the companies who offer flexible work arrangements, almost all (98%) said the benefits of workforce programs match or outweigh the costs associated with implementing them.

Two-thirds of survey respondents that offer flexible work arrangements said the programs increased employee engagement, and 64% said they improved employee retention. Another 49% cited enhanced recruitment results.

However, Hewitt found very few employers have formal policies and consistent procedures in place to manage their workforce programs. Just more than one quarter (27%) indicated they have companywide, formal written policies, only one-third have a formal employee application process.

According to the survey, 39% of companies have policies or guidelines that vary by location, business unit, department, or job class, and 31% offer flexibility at the discretion of individual managers. Programs offered also vary by type of arrangement: the majority of companies offer programs on an ad hoc basis, with job sharing (46%), telecommuting (39%), and flextime (31%) being the most prevalent. Part-time work is the most likely program to be offered on a company-wide basis (36%).