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Improve Financial Performance

Research shows that companies can reap significant financial gains by developing employee-friendly work customization practices and policies.

  • A study of 5500 employees in 100 organizations found a direct correlation between worker satisfaction and a firm profitability.

  • One study found companies with highly committed employees had a 112% return to shareholders over three years (while companies with average commitment had only 90 percent, and companies with low commitment only 76 percent).

Cut Costs

Employee friendly, work-life accommodating businesses can cut costs by reducing turnover and recruitment costs, absenteeism costs, real estate costs, and healthcare costs. For example, it costs about 150 percent of a salaried employee’s yearly pay, and 50-75 percent of an hourly worker’s yearly pay, to replace him or her. Absenteeism can cost large employers over one million dollars each year. Often stress is the cause of tardiness, absenteeism, and turnover as well as workplace accidents—with these three together costing U.S. industry over $300 billion per year in lost productivity, healthcare costs, and recruitment and retraining costs.

Engage, Motivate, and Unleash Employee Performance

People with custom work arrangements are more satisfied, engaged, and committed to their employers. They work hard and feel they have a stake in the organization. When people are satisfied with their jobs, they are more motivated and productive. Research studies document how employee-friendly, customized work options promote job satisfaction and commitment, employee engagement, creativity, and motivation, and in turn lead to better performance outcomes such as quality, productivity, innovation and market share.

Retain Committed Workers and Build Loyalty

When people can meet the demands of work and life, when they feel they have a fit between on-the-job responsibilities and off-the-job commitments, they are more satisfied with the job, have higher morale, lower stress, and more commitment to the organization. They are less likely to quit their jobs and look for greener pastures elsewhere. According to the recent Met-Life Survey, achieving this fit or balance between work and life demands is second only to on-the-job relationships in determining if a person stays with an employer.

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