HUMAN RESOURCE MANAGEMENT

JOB DESIGN: Flexible Work Schedules

SUBMITTED TO: Ms. N. Malati (Faculty, DIAS)

SUBMITTED BY: Kratika (060) MBA, II-A

FLEXIBLE WORK SCHEDULES

Flextime: A Definition
Flextime is a short name for Flexible work schedules. Flextime allows an employee to select the hours he or she will work. There are usually specified limits set by the employer. Employees on a flexible schedule may work a condensed work week or may work a regular work week. Those working a condensed week may work four ten hour days, rather than five eight hour days. Those who work a five day week may work hours other than the typical "nine to five."

Why should a business consider offering flexible work arrangements?

Many benefits have been reported by various studies. Common findings include: 1. Increased ability to attract, retain and motivate high-performing and experienced employees. 2. Reduced absenteeism. 3. Helps employees manage their responsibilities outside of work. 4. Increased job satisfaction, energy, creativity, and ability to handle stress.

What should be considered when designing a flexible work policy?

No matter which program or how many options are available, the duties, expectations, and deadlines should be clearly outlined by the supervisor and agreed upon by both the supervisor and the employee. Supportive organizational culture, clear communication, teamwork and reciprocal support between management and employees will help ensure the success of these initiatives. Other issues that should be considered include: 1. Initial start-up costs and additional administrative duties/time. 2. How to schedule meetings and training courses so most employees can attend. 3. Workload management. 4. Meeting customer demands. 5. Impact the employee's absence will have on the group or the organization. 6. Impact on terms and conditions of employment (e.g., leave benefits may be pro-rated).

Types of flexible work arrangements

Whether formally written into company policy or an informal agreement between the employee and employer, common arrangements include: 1. Flex time Flex time is an arrangement where employees work a full day but they can vary their working hours. These arrangements are usually established with specific guidelines so that a "core" working day exists. Flex time is usually arranged in advance with the

employee and employer or supervisor and a set range of start and finish times are established. The total hours of work are not usually affected by this arrangement. For example, the employee may choose to start between 7:30 and 9:30 AM, and finish between 3:30 and 5:30 PM. This arrangement establishes that core hours are between 9:30 AM and 3:30 PM when all employees will be at work. Lunch periods are usually mandatory and for a set length (30 to 90 minutes). Employees should maintain their start/finish times so that a routine is established and co-workers can become accustomed to each others' schedules. 2. Reduced hours/Part-time Employees may choose to work fewer than the standard but; these arrangements may be on a temporary or permanent basis depending on individual circumstances. It may also be considered in some cases for employees with health problems or disabilities. However, employee benefits and qualification for government programs (such as employment insurance or pension plans) may be affected, and should be examined thoroughly before commencing.

3. Compressed work week Compressed work week occurs when an employee works for longer periods of time per day or shift in exchange for a day off. Employees may start earlier or finish later that the normal work day. Compressed work weeks are often initiated by the employee, but sometimes the employer may initiate the option to improve operational efficiency, to maximize production (reduced daily start up costs) or to establish longer business hours which can enhance customer service. Common arrangements for a 40 hours work week are working 10 hours per day, 4 days a week; working an extra hour a day with 1 day off every 2 weeks; or working an extra half hour a day and having one day every 3 or 4 weeks off.

4. Telework/Telecommuting Telework or telecommuting occurs when people to do at least some of their regular work from home instead of going into the office. Details such as hours of work, and how communications between the teleworker, co-workers and customers need to be outlined. For more information, please see the OSH Answers document on Telework/Telecommuting. 5. Job sharing Job sharing occurs when two or more people share one or more positions or set of duties. It should be clear before starting how these arrangements affect pay, benefits, and holidays. It is very important that those in a job sharing arrangement work effectively as a team, and communicate well. Job sharing may be an option when few part-time positions are available within the company. 6. Banking of Hours/ Annualized hours This arrangement allows employees to choose, within negotiated boundaries, their days and hours of work to the maximum for a set period of time. This period of time may be weekly, monthly or yearly. Such arrangements are often a combination of flex time and compressed work week and can help reduce the amount of overtime hours required. These arrangements may be suited to fields where there is variation in demands such as peak hours or seasonal peaks. 7. Gradual Retirement Gradual retirement allows employees to reduce their working hours or reduce their workload over a period of time rather than switching from full time employment to retirement abruptly. This phased period can be used to train the replacement employee, help others adjust to restructuring within the company, or to adjust for the redistribution of tasks among the remaining employees.

8. Leaves and Sabbaticals Leaves and sabbaticals are authorized periods of time away from work without loss of employment rights. Paid or unpaid leaves are usually granted for family, health care, education or leisure reasons. Sabbaticals are usually paid (or partially funded) and occur on a regular basis in addition to vacation time. In some cases, self-funded leaves are also possible where a portion of the employee's salary is withheld and returned to the employee 'as pay' during the time away from work.

Advantages of Flexible Work Schedules for Employees

With flexible work schedules, employees experience these benefits: 1. Flexibility to meet family needs, personal obligations, and life responsibilities conveniently. 2. Reduced consumption of employee commuting time and fuel costs. 3. Avoids traffic and the stresses of commuting during rush hours. 4. Increased feeling of personal control over schedule and work environment. 5. Reduces employee burnout due to overload. 6. Allows people to work when they accomplish most, feel freshest, and enjoy working. ( e.g. morning person vs. night person). 7. Depending on the flexible work schedule chosen, may decrease external childcare hours and costs.

Advantages of Flexible Work Schedules for Employers

With flexible work schedules, employers experience these benefits: 1. Increased employee morale, engagement, and commitment to the organization. 2. Reduced absenteeism and tardiness. 3. Increased ability to recruit outstanding employees. 4. Reduced turnover of valued staff. 5. Allows people to work when they accomplish most, feel freshest, and enjoy working. ( e.g. morning person vs. night person). 6. Extended hours of operation for departments such as customer service. 7. Develops image as an employer of choice with family friendly flexible work schedules.

Challenges of Flexible Work Schedules for Employers 1. An ongoing schedule of ten-hour or nine-hour days, while it may be the norm for some professionals already, can be physically and mentally draining.

2. Not only is the workweek squeezed into a shorter time frame, but all the after-work activities must also be wedged into the remaining hours of each work day.

3. Child or elder care coverage to match your compressed work schedule may also be a challenge.

Selecting the Right Work Schedule for Your Business

To decide which of the above work schedules is right for your company ask yourself the following questions: 1. When do my customers expect service? 2. How many employees do I need to be working? When? And for how long? 3. Do my employees need to work on-site? Or can they work off-site? 4. Does it matter when my employees are in the office?

EXAMPLES OF COMPANIES FOLLOWING FLEXTIME

1. Transamerica Financial Corporation (CTS) Transamerica Financial Corporation, located in downtown Los Angeles, has had a flextime program since 1974. It employees 4,000 employees, of which 3,700 are salaried employees eligible for the program. Over 90% of those eligible for flextime make use of it. Employees are allowed to start at any time between 7:00 and 9:00 a.m., and depart between 3:15 and 5:45 p.m. Lunch lasts from a half-hour to an hour. 2. Southern California Association of Governments (SCAG) The Southern California Association of Governments (SCAG) has had flextime and a compressed workweek program since 1980. SCAG has 125 employees, of whom 100 are professionals and 25 are support personnel. All employees are eligible for compressed workweeks, and 95% take advantage of the option. Employees work 9-hour days and get every other Friday off. They schedule which Fridays they have off with their supervisors, who maintain coverage in the various departments. 3. Sun Microsystems, Inc. 40 percent of Sun employees participate in the company's "Open Work" program, in which they have the freedom to work flexible hours and off-site. 4. KPMG LLP Wankoff estimates that 70 percent of KPMG employees work flexible hours. Other components of KPMG's "culture of flexibility" include compressed work weeks and "jump-start" Fridays during the summer (when employees are encouraged to leave at 3 p.m.). 5. Best Buy Co., Inc. 6. PNC Financial Services Group, Inc. 7. PricewaterhouseCoopers

REFERENCES:

1. Human Resource Management, L.M. Prasad 2. Human Resource Management, T.N. Chhabra 3. www.humanresurces.com 4. www.carrerplanning.com 5. www.ccohs/flexible.com 6. www.workoplions.com 7. www.vtpi.org 8. www.careerbuilder.com