What could flexible working look like for your business under Labour?

It’s been known for a while now that Labour plans to expand flexible working rights under their ‘Plan to Make Work Pay’. But the BBC recently reported full-time employees could soon have the right to request a 4-day working week.

Although the shape these expanded flexible working rights will take isn’t set in stone, the proposed compressed-hours 4-day work week will give workers the right to request to work the same hours over 4 days instead of 5.

This is one of many potential flexible working practices that could become more popular under Labour. Meaning business owners understandably have some questions about what the future of flexible working could look like…

So, what kind of flexible working patterns are there, which are the most popular, and what else do you need to consider in preparation for an influx of requests?

What kind of flexible working patterns are there?

Flexible working can take many forms, and each comes with its own unique benefits for both employers and employees. Here are some of the most common types:

• Flexitime: Employees choose their start and end times within agreed limits, often working core hours like 10am to 4pm
• Remote working: Employees work from a location other than the office, most commonly from home
• Hybrid working: A mix of remote and in-office work, giving employees the freedom to split their time between home and the workplace
• Job sharing: Two people share the responsibilities of one full-time position, splitting hours, duties, and pay
• Compressed hour 4-day week: Employers work their full-time hours over fewer days, such as four 10-hour days instead of five 8-hour days. This is what Labour are proposing
• Traditional 4-day week: Employees work fewer hours over four days, with no loss of pay, seeking to boost productivity and wellbeing

Which flexible working pattern is the most popular?

Research from CIPD shows flexible working has skyrocketed in recent years. 66% of employees say they have flexible working arrangements in their current role, up from 51% last year.

Among the various flexible working patterns, hybrid working is currently the most popular. CIPD’s report shows 83% of organisations have hybrid working in place, and almost 40% of organisations say hybrid working has increased productivity.

Flexitime is also highly favoured, and the report shows 46% of organisations offer flexibility in start and finish times. 71% of employees surveyed say that flexibility is important to them.

While compressed hours are popular, with 76% in a survey by recruitment firm Robert Walters saying it would improve work-life balance if made an option, there is also concerns about shift intensity. Both Morrisons and ASDA had to drop this form of working after a trial, after many had to work unsociable hours and for long periods, which was deemed by decision-makers as unsustainable.

Of the 61 organisations that trialled the four-day working week, (fewer hours, with no loss of pay), 51% have permanently adopted the change, and 89% are still operating the policy a year on.

Finally, job sharing has seen a decline in popularity in recent years. According to Statista, the number of employees on job-sharing contracts in the UK has decreased from around185,000 to 98,000 in the last 10 years.

Assessing flexible working: Is it right for you and which pattern suits your business best?

Deciding which flexible working pattern is best for your business (should you choose to adopt it!) will depend on a few different factors:

• Nature of Work: Can tasks be done remotely or do they require physical presence?
• Employee Preferences: What are your employees’ preferred working styles?
• Operational Requirements: Does the pattern align with your business operations and productivity goals?
• Technology and Tools: Do you have the necessary tools and technology to support flexible working?
• Legal Compliance: Are the arrangements compliant with local labour laws?
• Cost Implications: What are the potential costs and savings?
• Team Collaboration: How will it affect team communication and collaboration?
• Employee Wellbeing: What impact will it have on employee health and work-life balance?
• Scalability: Can the pattern scale with your business growth?
• Performance Monitoring: Do you have effective methods to monitor and evaluate performance?

Why might you consider adopting flexible working?

Research from Indeed indicates flexible working can improve employee retention, diversity, productivity, and employee engagement.

Navigating flexible working can be challenging as preferences vary among employees. It’s recommended to conduct employee surveys and thorough research before making any decisions. For instance, a study from McKinsey found 52% of employees prefer hybrid working models, something to consider when looking at flexible working for your business.

As flexible working requests continue to rise, business owners need to be prepared to respond to the Government’s changes. However, before considering flexible working, your business will need to consider its unique needs and preferences to determine which arrangement will be most effective.

Need expert support handling flexible work requests?

Regardless of your stance on flexible working, it’s likely flexible working requests are going to increase. Handle them with ease with expert support from BrightHR: Download your FREE flexible working policy to navigate them with confidence.

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