Understanding the importance of atypical working

In a recent report undertaken for the East Midlands Development Agency (emda), Experian’s Economics team investigated the importance, impact and extent of atypical working practices across the region, the findings of which will inform the development agency’s strategy to encourage atypical working.

In simple terms, atypical working can be defined as working away from a central office for all or part of the working week. However, we categorised this further with definitions from the Labour Force Survey (LFS) that consider factors such as using home as a base, and the extent to which technology has enabled this. For the individuals and employers who have embraced flexible working, we pinpointed significant financial, business and lifestyle benefits. We also modelled the contribution atypical workers make to regional GVA by using wages data, and data from the LFS.

Our estimates suggest that flexible working is now offered by around a quarter of small employers (less than 50 employees), a half of medium sized employers (50-250 employees) and the majority of large employers (250+ employees). Case studies of such organisations show benefits ranging from reduced need for office space, lower absenteeism, higher productivity and improved retention and recruitment of staff. And for the individuals concerned, flexible working offers tangible improvements in their work-life balance, through the reduced need to commute and the ability to better fit personal commitments around work.

On a large scale, there are obvious benefits for society and the economy, in terms of reduced congestion and higher productivity. However, it seems unlikely that a large-scale introduction of atypical working practices is on the horizon. Firstly, despite the ability of technology to now help manage employees, there remains a degree of resistance from many managers to let their staff work flexibly. And for individuals, evidence shows that it will only ever suit a particular type of employee, with the requisite skills and strengths needed to work remotely.

For more information please contact Melanie Lansbury on 0207 746 8295 or email melanie.lansbury@uk.experian.com.

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