THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 1

The Effect of Remote Work on Employee Retention

Shane Walker
4/30/2023
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Executive Summary
This report examines potential advantages of telecommuting for employee retention and

productivity as well as providing recommendations for creating telecommuting policies in

organizations. The report begins by discussing employee retention challenges, and how remote

work might provide a potential solution. Next, it delved into its advantages - increased job

satisfaction, lower stress levels, and a better work-life balance are some of these benefits of

remote working arrangements. The report offers recommendations for creating and

implementing an effective telecommuting policy, including providing training and support,

monitoring and evaluating it as well as addressing potential challenges. Additionally, this report

presents a meta-analysis of psychological mediators and individual consequences of

telecommuting. Finally, the report highlights its key takeaways while emphasizing the necessity

of adopting telecommuting policies to increase employee retention and productivity. Overall, this

report offers valuable insights and recommendations for organizations looking to implement

remote work policies. The following recommendations were made based on the findings of this

study:

 Conduct needs assessment

 Develop telecommuting policy

 Provide training and support

 Implement telecommuting policy

 Monitor and evaluate policy

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Table of Contents
Introduction……………………………………………………………………………………...
Definition of Topic ………………………………………………………………….…...5
Background of the Problem ………………………………………………………….…..5
Statement of the Problem ………………………………………………………….….....5
Statement of the Purpose ………………………………………………………….…......6
Information Review ……………………………………………………………………………..
Resource 1 …………………………………………………………………….………....6
Resource 2 …………………………………………………………………….…………8
Resource 3 …………………………………………………………………….………,,10
Resource 4 ………………………………………………………………….………..…12
Resource 5 ………………………………………………………………….…………..14
Resource 6 ………………………………………………………………….…………..17
Resource 7 ……………………………………………………………….……………..20
Resource 8 ……………………………………………………………….……………..22
Resource 9 …………………………………………………………….………………..23
Resource 10 ..………………………………………………………….………………..25
Summary of Key Findings ………………………………………….………………….27
Proposed Methods ………………………………………………………………………………
Restatement of Problem and Purpose ……………………………………………….….28
Questions …………………………………………………………………………….....29
Hypothesis ……………………………………………………………………………...29
Limitations ………………………………………………………………………….…..29
Findings & Discussions………………………………………………………………………….
Findings………………………………………….………………………………..…….29
Discussions……………………….……………………………………………………..29
Recommendations……………………………………………………………………………….
Plan of Action……………………………………………….…………………………..31
Implementation Budget………………………………….……………………………...33
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 4
References ……………………………………………………………………………………..35
Appendix ………..……………………………………………………………………………..37
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 5
Introduction
Definition of Topic - Remote work, also referred to as telecommuting or teleworking, is a

workplace arrangement in which employees work from outside traditional office settings -

usually from home or another remote location. This trend has grown increasingly popular over

recent years, particularly during the COVID-19 pandemic. According to Gates, Jones, and

Crossley (2021), at least part of all workers who telecommute at least part of the time increased

from 24% in 2019 to 51% in 2020; however, its effects on employee retention remain debated

within the literature.

Background of the Problem - Employee retention is a critical issue for organizations, as it

directly impacts their success and financial performance. High employee turnover can have

costly effects both directly (such as recruitment expenses) and indirectly (decreased productivity

and decreased morale among current employees). Therefore, organizations need to understand

what factors contribute to employee retention rates. Flexible work arrangements - including

remote working - have been proposed as one potential solution (Osterman & Mercurio, 2020).

Statement of the Problem - Remote work has both positive and negative effects on employee

retention. On one hand, it can improve work-life balance and job satisfaction, potentially leading

to increased employee loyalty (Allen, Golden & Shockley, 2015). Conversely, remote work may

cause feelings of isolation, decreased communication, diminished performance - leading to

decreased employee loyalty (Turel, Serenko & Bontis, 2021). Furthermore, some studies indicate

these effects may vary depending on industry and task type (Goudreau, 2019).

Furthermore, the COVID-19 pandemic has hastened remote work adoption, making it

even more essential for organizations to understand its potential effects on employee retention.
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Therefore, research must be conducted into how remote work affects employee retention within

specific organizations or industries.

Statement of the Purpose - This research seeks to uncover the effects of remote work on

employee retention within our organization/industry. Specifically, it will: (1) identify factors that

drive these effects; (2) measure how much remote work affects employee retention within our

industry/organization; (3) provide recommendations for improving retention rates within this

context of remote work. By understanding these effects, organizations can make informed

decisions about adopting remote practices and implementing strategies designed to boost

employee retention rates.

Information Review
Does Satisfaction With Family-Friendly Programs Reduce Turnover? A Panel Study

Conducted in U.S. Federal Agencies

 This study seeks to investigate the relationship between satisfaction with family-friendly

programs and employee turnover in US Federal Agencies.

 This study utilized a quantitative methodology that utilized secondary data from two

sources: the Federal Employee Viewpoint Survey (FEVS) and FedScope (FS). The U.S.

Office of Personnel Management administers the Financial Employee Verification

Survey annually for permanent employees working in federal agencies, and FS is an

interactive online tool which allows individuals to gain insight into aggregate data across

these organizations, provide feedback and access FEVS results. This study investigated

the relationship between family-friendly programs and voluntary turnover rates in federal

agencies. Turnover rates served as the dependent variable, while family-friendly

programs served as an independent variable. Over four years from 2011 to 2014, data was

collected and analyzed on supervisory status, gender, minority status, length of stay at the
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 7
agency, empowerment levels, pay satisfaction and leave intentions. Data analysis

included factor analysis, regression analysis and ANOVA throughout this process.

This study utilized both survey and online tools as its data collection methods.

The FEVS survey asked employees about their experiences working for federal agencies,

while FS provided online access to aggregate data collected within these organizations.

Each agency was assessed on quit rates, transfer rates, as well as satisfaction scores for

family-friendly programs using the FEVS. Subsequently, factor analysis was performed

on each item to extract one factor that best measured them together as one scale. Data

was then analyzed using regression analysis and ANOVA to test hypotheses. A few

control variables were included to see if they affected the relationships predicted. Overall,

this quantitative method utilized secondary data to investigate the connection between

family-friendly programs and voluntary turnover rates in federal agencies. This study

revealed that employee satisfaction with family-friendly programs is significantly linked

to employee turnover in US Federal Agencies. Employees who reported higher levels of

fulfillment from these initiatives were less likely to leave their job than those with lower

levels of fulfillment. Job satisfaction appears to mediate this relationship, suggesting

workers who feel satisfied in their overall job may also feel satisfied within it, thus

decreasing their likelihood of quitting early.

 This study's findings are applicable to Southwest Power Pool (SPP), a regional

transmission organization responsible for managing electric grid and wholesale power

market operations in Central America. As with any organization, turnover can have

significant effects on performance, efficiency, and financial stability; hence they can use

these insights to evaluate their family-friendly programs and figure out how to enhance

them in order to reduce turnover rates and boost employee satisfaction levels.
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SPP may wish to implement additional family-friendly initiatives to promote

employee satisfaction and retention, such as flexible work arrangements, parental leave

or childcare assistance. Studies have demonstrated the success of such programs at

keeping valuable employees contented and decreasing turnover rates. By doing so, the

SPP can save expenses associated with recruiting new personnel while maintaining

existing staff knowledge base and expertise. Ultimately, these findings help SPP remain

competitive in the labor market while offering reliable electricity at a reasonable cost for

its customers.

Flexible Work Arrangements and Employee Retention: A Longitudinal Analysis of the

Federal Workforces

 "Flexible Work Arrangements and Employee Retention: A Longitudinal Analysis of the

Federal Workforces" explores how flexible work arrangements (FWAs) affect employee

retention within the United States Federal Government.

 This study employed a quantitative research method. The participants were sub agencies

within executive branch departments of the federal government. Data sources included

U.S. OPM congressional reports on telework implementation and Central Personnel Data

Files (CPDF). The OPM congressional reports provided detailed information regarding

telework programs within Executive Branch agencies, such as employee numbers and

eligibility at each sub agency level; while CPDF collected employee separations

categorized by reasons like voluntary turnover. After pooling data from three years and

143 sub agencies from 15 executive branch departments over three years, 428

observations were observed.

This study utilized standardized government-wide data collection systems to

guarantee the reliability of telework participation estimates. Telework coordinators were

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assigned to enter agency information electronically into Data Call. Voluntary employee

turnover was calculated by dividing the number of departing employees by the total

number in each agency; and teleworkers' proportion was calculated by dividing their

number by total employees within an agency. Other control variables used for this

research included salary, organizational size, occupational categories, length of service

gender and work schedule - all obtained from CPDF data sources.

This study employed a quantitative research method and collected data from two

sources: U.S. OPM congressional reports on telework implementation and Central

Personnel Data Files. Participants were sub agencies within executive branch

departments of the federal government; data collection methods utilized standardized

government-wide systems. Furthermore, control variables obtained from CPDF were

utilized alongside calculated variables like proportion of teleworkers and voluntary

employee turnover rates.

 This study sought to investigate the effect of telework on employee turnover in American

federal agencies. This analysis utilized voluntary turnover of employees as a proxy for

employee retention, in order to avoid being limited by perceptual estimates of turnover

and obtain reliable results from its analysis. This study revealed that agencies with higher

rates of telework participation experienced lower rates of voluntary turnover among

employees, which is consistent with social exchange theory, the COR model, and

relational cohesion theory. The study highlighted the significance of managerial support

for telework, organizational culture and trust between employees and management to

ensure successful adoption of telework in public organizational settings. Its findings have

practical applications for managers; potential negative effects such as social isolation or

decreased sense of belonging should be acknowledged and appropriately addressed.

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 This study is of critical significance to the Southwest Power Pool (SPP), a regional

transmission organization responsible for providing reliable and affordable electricity

service to 14 states throughout Central America. The study suggests telework could be an

effective strategy to reduce costly employee turnover, which is a major issue for many

organizations, including SPP. SPP can give employees more flexibility, reduce stress

levels and promote work-life balance - factors which have been linked to lower employee

turnover rates. Telework can save SPP money on overhead expenses and reduce its

environmental footprint by cutting back on commuting time and related costs. However,

the study emphasizes the significance of managerial support and changes to

organizational culture for successful implementation of telework. SPP must provide the

necessary infrastructure, support and training to guarantee teleworkers remain engaged,

productive and connected to the organization. Overall, this study offers useful insights

into potential benefits of telework for decreasing employee turnover at SPP which could

improve workforce management strategies and ultimately enhance operational efficiency

and performance.

How Effective Is Telecommuting? Assessing the Status of Our Scientific Findings

 The article reviews existing research on telecommuting, a work mode that has become

increasingly popular due to advancements in technology. The authors aim to identify

what is currently known about telecommuting and its implications for employees,

organizations, and society, and to highlight areas where more research is needed.

 This excerpt utilizes a literature review, an informal qualitative research method. While

participants aren't identified specifically, researchers are reviewing existing literature

regarding telecommuting's definition and conceptualizations. Data collection techniques

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involve reviewing various published articles, books, and reports related to telecommuting

- including those which provide different interpretations of the term.

This excerpt presents a definition of telecommuting that synthesizes several

conceptualizations from the literature and clarifies key points and distinctions from other

definitions. They note that past definitions have lacked precision and ranged widely,

leading to varied conclusions drawn in research studies.

This literature review method was employed for summarizing and synthesizing

previous research on telecommuting. However, it's essential to remember that literature

reviews may contain selection bias as researchers may choose only certain studies or

sources of information to review. Nonetheless, literature reviews remain an invaluable

resource in identifying gaps in existing knowledge as well as developing new research

questions.

 This article summarizes research findings that examine the connection between

telecommuting and work-related outcomes, such as job satisfaction, organizational

commitment and identification, stress, performance, wages/career potential, withdrawal

behaviors and firm-level metrics. Studies demonstrate a positive correlation between

telecommuting and job satisfaction, though this relationship is nonlinear; higher levels of

telecommuting lead to lower levels of satisfaction. Telecommuting has also been found to

be positively associated with organizational commitment and identity, though the effect is

small. Studies have identified various factors related to job satisfaction, commitment, and

identification that may contribute to this relationship. Teleworkers often value high-

quality relationships with coworkers and supervisors, social support received,

communication satisfaction and competence. Furthermore, the nature of virtual work

THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 12
plays an important role in teleworkers' organizational identification; however,

telecommuting may not be suitable for all job contexts.

 This research is particularly pertinent to Southwest Power Pool (SPP), an organization

which has implemented telecommuting arrangements for its employees. Research

suggests that telecommuting arrangements may have a positive effect on job satisfaction,

though this relationship is curvilinear with peak satisfaction levels around 15.1 hours per

week. SPP must take this into account when crafting their telecommuting policies and

deciding the frequency of allowed telecommuting for employees. Research also indicates

that telecommuting, close and quality relationships with coworkers and supervisors, as

well as the amount of social support received, are significant predictors of organizational

commitment and identity. Therefore, SPP should provide resources and support for

telecommuters to foster positive relationships with their colleagues and guarantee their

loyalty to the organization. Finally, the research underscores the significance of

communication and technology in virtual work, suggesting that SPP should provide its

telecommuters with necessary technological resources as well as promote frequent

communication to create a sense of social presence and deepen feelings of connectedness

to the organization.

Impact of telework on exhaustion and job engagement: a job demands and job

Resources model

 This article investigates the effect of telework on job engagement and exhaustion.

Utilizing the Job Demands and Resources (JD-R) model, this research investigates

relationships between telework, job demands, resources available to employees,

employee job engagement levels and exhaustion rates.

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 This research utilized a quantitative approach to investigate the effects of telecommuting

on job engagement and exhaustion. Participants were employees from a supply chain

management company in the Midwest United States who had telecommuted for at least

one year. This study used a survey to collect data from 417 respondents, 296 male and

121 female; with an average age range of 26-35 years. Respondents were full-time

employees who worked Monday through Friday from 8 am to 5 pm, typically 40 hours

per week with occasional extra hours leading up to deadlines. Most telecommuted

between 8 and 40 hours each week; most did so no more than four days per week. The

study measured constructs using a 6-point scale ranging from 1 (strongly disagree) to 6

(strongly agree), except for time pressure which used an item scale.

This study measured six constructs, such as time pressure, role ambiguity, role

conflict, autonomy, feedback and social support; it also measured job engagement and

exhaustion. Confirmatory factor analysis was used to assess the properties of the scales

before they were used to estimate a structural model for testing hypotheses. All estimates

of average variance extracted were higher than 0.50 with t-values for all items exceeding

2.0. Convergent validity of these scales was further supported by their convergent

validity; all estimates had average variance greater than 0.50 and all items had t-values

greater than 2.0.

 This study sought to determine if telework has an effect on exhaustion and job

engagement, and if so, whether this impact can be attributed to changes in job demands

and resources. Results revealed that telework had a partial, though still significant, effect

on job engagement and exhaustion due to job demands (time pressure, role ambiguity,

conflict), as well as job resources (job autonomy, feedback, and support). Telework was

found to reduce time pressure experienced by employees, reduce role conflict and
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 14
increase role ambiguity. Unfortunately, telework had an adverse effect on job

engagement due to reduced feedback and support provided to workers. This study

suggests organizations can maximize the advantages of telework by minimizing its

drawbacks, employing clear job design, effective communication to avoid job ambiguity,

and more engaging communication media for structured social interaction among

employees.

 This study's results are of particular relevance to the Southwest Power Pool in several

ways. First, it illustrates how telework can have an effect on job demands and resources,

leading to changes in employee engagement levels as well as exhaustion levels.

Southwest Power Pool must consider how best to manage teleworking employees and

provide them with the resources for success. Furthermore, this study emphasizes the

significance of communication in mitigating some of the negative effects associated with

telework. At Southwest Power Pool, effective communication and collaboration among

different departments and teams are of the utmost importance. Furthermore, research

suggests telework may have an adverse effect on various job stressors such as role

ambiguity and conflict. Southwest Power Pool can benefit by understanding how

telework affects different job stressors by designing effective job roles and

communication practices for teleworking employees, in order to maximize its advantages

while minimizing any negative repercussions.

Managing Flexible Work Arrangements in Government: Testing the Effects of Institutional

and Managerial Support

 This research seeks to investigate the relationship between telework and employee

turnover intention, as well as its moderating effects from institutional and managerial
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 15
support. Specifically, it will evaluate whether teleworking can reduce employee turnover

intentions and how management support can further maximize its benefits.

 This study used a quantitative methodology to investigate the relationship between

telework status and turnover intention among federal employees in the United States.

Data was drawn from two sources: the 2013 congressional report from U.S. Office of

Personnel Management and FEVS conducted that same year. A sample size of 376,577

out of 781,047 employees across 81 federal agencies resulted in a response rate of 48.2%.

The dependent variable was turnover intention, measured through a survey question

asking respondents if they were considering leaving their organization within the next

year. This analysis focused on telework status, which was determined based on responses

to a survey item asking respondents about their work situation. Two other variables,

institutional support and managerial support, also served as independent variables within

the model.

 Data was analyzed using logistic regression analysis to explore the relationship between

telework status and turnover intention. Results revealed that non-teleworkers due to

barriers had significantly higher turnover intentions than both teleworkers and non-

teleworkers by choice; institutional support and managerial support had a significant

negative relationship with turnover intention as well. Therefore, this research concludes

that teleworking can reduce turnover intentions among federal employees, particularly

those unable to telework due to obstacles; institutional and managerial support for

teleworking is crucial in this regard.

In conclusion, this research employed a comprehensive quantitative approach to

investigate the relationship between telework status and turnover intention among federal

employees in the United States. Data was sourced from two sources - the U.S. OPM 2013
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 16
congressional report and FEVS - and analyzed using logistic regression analysis. This

study revealed that no teleworkers due to barriers had significantly higher turnover

intentions than teleworkers and non-teleworkers by choice, and institutional and

managerial support for telework had a significant negative correlation with turnover

intention. These results provide insight into the potential advantages of teleworking as

well as underline how important institutional and managerial support for such programs

are in reducing employee turnover intentions.

 This study suggests that teleworkers may not necessarily be happier and more committed

employees than non-teleworkers, which runs counter to previous research. Employees

who opted out of teleworking demonstrated greater loyalty towards their organization and

expressed lower intentions to leave. Non-teleworkers by barrier demonstrated the highest

turnover intention. Prior research may have been biased by not distinguishing non-

teleworkers into those who chose not to telework and those unable to do so; this could

explain why previous findings varied. Teleworkers tend to demonstrate higher turnover

intentions due to the difficulties they may experience with flexible work arrangements,

such as social isolation and diminished career advancement opportunities. However,

institutional and managerial support for telework could maximize its advantages and

reduce its costs, as teleworkers in agencies with higher participation rates were less likely

to express an intention to leave their employer. Managerial encouragement also

negatively modifies the relationship between telework and turnover intention.

 The study "Managing Flexible Work Arrangements in Government: Examining the

Effects of Institutional and Managerial Support" is not directly applicable to Southwest

Power Pool (SPP), as it focuses on public sector organizations with flexible work

arrangements. However, studies have indicated that teleworkers may not always be
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 17
happier or more committed than non-teleworkers. Employees who chose not to telework

exhibited greater loyalty to their organization and lower turnover intention than

teleworkers did. Research on this topic has yielded mixed results due to differences in

how turnover intention was assessed between non-teleworkers and teleworkers. This

study suggests teleworkers may face additional obstacles like social isolation, which

could prevent them from fully taking advantage of the advantages of teleworking.

Institutional and managerial support for telework can greatly enhance its advantages

while decreasing its costs. Agencies that promote participation are more likely to provide

resources and develop effective managerial skills and strategies for dealing with

teleworkers, while those who experience greater support from supervisors are less likely

to leave their organization. This study underscores the critical role institutional and

managerial backing play in successful adoption of telework.

Remote Work Decreases Psychological and Physical Stress Responses, but Full-Remote

Work Increases Presenteeism

 The topic of research is to investigate the effects of remote work on stress reactions and

presenteeism before and after the COVID-19 pandemic, as well as determine how job

stressors and work environments should be adjusted. This study seeks to provide insights

into both benefits and drawbacks associated with remote work, as well as identify factors

that impact mental health and well-being for workers.

 This research is a quantitative investigation that utilizes validated scales to examine job

environment, psychological and physical stress responses, social support networks, sleep

status, and presenteeism. This study collected participants from 40 companies, totaling

6,855 workers who agreed to the academic use of their data in 2019, before the COVID-

19 pandemic started. Of these individuals, 3,123 responded validly to a second

THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 18
questionnaire conducted in 2020 and their data was analyzed. Participants were recruited

through Tokyo Medical University's annual mental health checkup program and the study

adhered to all ethical standards established in the Helsinki Declaration, being approved

by its Medical Ethics Review Board. Study participants were all employees from Japan's

tertiary industries, such as information technology, finance, broadcasting, music,

consulting, public office, chemical industry, healthcare, fashion

design/printing/movies/trading restaurants travel agencies patent agencies and temp

agencies.

This study utilized three validated scales, the Brief Job Stress Questionnaire

(BJSQ), Pittsburgh Sleep Quality Index (PSQI) and Work Limitations Questionnaire

(WLQ), to assess job stressors and responses, sleep disruption/scheduling issues and

presenteeism respectively. The BJSQ is a 57-item self-reported Likert scale questionnaire

that assesses job stressors, psychological and physical stress responses manifesting as

psychosomatic symptoms, as well as social support systems. The PSQI is a self-reported

questionnaire consisting of 18 standardized questions on sleep status for the past month,

composed by seven components. By comparison, the WLQ is short form with just four

questions and uses its %productivity loss score as an index of presenteeism. Through

statistical analysis conducted in 2020, researchers compared demographic characteristics,

working conditions and outcome variables between those engaged in remote work and

those who did not.

Participants provided informed consent online and data was anonymized, in

compliance with ethical guidelines. The study sought to understand the effects of remote

work on workers' job stress, psychological and physical stress responses, social support

networks, sleep status, and presenteeism.

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 This study sought to uncover the effects of remote work on workers' mental health and

productivity, as well as whether job stressors, social support networks, and sleep status

were mediating factors. This study revealed that remote work significantly decreased

psychological and physical stress responses, though its effects on presenteeism were

limited; full-remote work had an adverse effect on presenteeism. This study suggests that

in order to boost employee productivity and reduce stress reactions, workplace

environments, social support networks, and sleep hygiene practices must be enhanced.

This study concluded that remote work could be an effective tool to achieve public health

objectives of social inclusion and improving workers' mental health. However, its

observational design and regional/occupational focus limited it; further investigations are

necessary to uncover the exact effects of remote work on workers' mental health and

productivity, as well as take into account other factors affecting stress reactions and

presenteeism rates.

 This study has demonstrated that remote work reduces psychological and physical stress

responses, but has limited effects on presenteeism. This study emphasizes the

significance of controlling confounding factors like job stressors, social support networks

and sleep status when researching remote work's effects on workers' mental health and

productivity. These findings suggest Southwest Power Pool (SPP) can promote workers'

mental health and productivity by creating more supportive job environments,

maintaining social support networks, and emphasizing sleep hygiene. Remote work has

the potential to provide a beneficial solution in meeting public health demands for social

distancing and improving workers' mental health. While study results can help SPP

decide whether or not to continue remote work, further investigation is necessary to

uncover its exact effects on worker mental health and presenteeism rates.
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 20
Remote working: a double-edged sword for workers' personal and professional well-being

 This study seeks to investigate the effects of work centrality, defined as employees'

beliefs about its significance in their personal identity, on work-family interface and

psychological well-being. Furthermore, it examines whether there may be differences in

effects between onsite and remote workers during COVID-19 pandemic.

 This study utilized a quantitative research method. Participants were recruited through an

online survey on Prolific Academic's crowdsourcing platform. In this study, 432

participants were included - 54.6% females - with an average age of 40.06 years and

tenure in their current position of 6.27 years. Most participants held permanent (93.5%)

full-time jobs (89.4%) and worked mainly within the private sector (60.6%). Participants

represented a range of industries from nonmarket services (50.0%) and market services

(35.2%) to industry (10.0%), construction (2.1%), agriculture (0.7%) or other (22.1%).

Data was collected using validated scales, including work centrality, work-family conflict

(WFC), work-family enrichment (WFE), family-work conflict (FWC), family-work

enrichment (FWE), work engagement and family satisfaction. Mplus 8.5 data analysis

software was employed for data analysis which involved estimating a confirmatory factor

analytic (CFA) model encompassing all multi-item constructs considered in this study.

The second step of data analysis involved a predictive structural equation model

(SEM). Work centrality was identified as having an indirect and direct effect on WFC,

WFE, FWC, FWE and work engagement/family satisfaction through mediator variables

like WFC WFE FWC FWE; further testing revealed latent interactions involving work

type (onsite vs remote).

 This article investigates the connections between work centrality, work-family interface

and employee wellbeing for both remote and onsite workers. A study conducted on 595
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 21
employee’s revealed strong positive associations between work centrality and

engagement, as well as negative ones between it and family satisfaction. Work-family

interface was found to mediate the effects of work-family conflict, enrichment activities

and satisfaction across both groups. Furthermore, it was discovered that work centrality

had more of a direct and indirect effect on employee wellbeing among onsite workers

than remote ones. These findings suggest remote working may actually hinder work-

centered employees from fully engaging in their role due to its absence of physical

connection and protective boundaries.

 First and foremost, the study emphasizes the significance of work-life balance and its

detrimental effects on personal and professional wellbeing at Southwest Power Pool

(SPP). Therefore, SPP can encourage employees to prioritize their personal lives while

managing work-related stress effectively. Secondly, the study suggests that remote

working may not be ideal for work-focused employees who place great value on their job

and may find it challenging to remain engaged when working remotely. Therefore, SPP

can explore alternative work arrangements or support measures to guarantee that

employees who prioritize work-centered tasks remain engaged and connected to their

jobs. Thirdly, the study emphasizes the significance of creating a supportive work

environment that nurtures employees' work-centered identity and provides clear physical

connections and protective boundaries. By focusing on employee engagement, job

satisfaction, and overall well-being at work, SPP can guarantee their workers enjoy an

environment conducive to these positive traits.

THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 22
Telecommuting and Work in the COVID-19 Pandemic. Are Workers Returning to the

Workplace or Staying in Their Home Offices?

 This article investigates the impact of telecommuting on employment during the COVID-

19 pandemic. To determine if telecommuting remains protective for employment months

later and how its nature has changed depending on which jobs workers had before the

pandemic began, this investigation seeks to gain insights.

 This study utilizes quantitative research methods to examine how telecommuting has

changed during the pandemic. By surveying workers who hadn't lost their jobs since

February, researchers can gain a better understanding of how telecommuting has affected

existing jobs. Surveys were conducted in May, June, and September 2020 with 762

responses weighted with sampling weights.

This study investigates trends in telecommuting. It assesses two factors: whether

people opt to telecommute and how often they do if they can. It contrasts those who have

access to telecommuting options with those without. Furthermore, it looks at how

telecommuting has changed according to occupation (with at most 25 respondents);

occupational classifications were taken directly from the U.S. Bureau of Labor Statistics.

 The COVID-19 pandemic brought about drastic changes to the way people work, with

many workers transitioning to telecommuting as they attempted to adhere to social

distancing protocols. Telecommuting enabled many employees to remain employed and

businesses to continue operating despite the difficulties caused by the pandemic.

However, as the pandemic continues, some workers who previously worked from home

are returning to their workplaces while those able to continue telecommuting do so. The

various effects of telecommuting across different occupations suggest that some long-

term effects may remain even after the pandemic ends. Some previously non-
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 23
telecommuting fields, like healthcare and sales, have begun incorporating telecommuting

into their work processes. This could indicate ongoing changes that encourage

telecommuting, potentially leading to more opportunities in the future. As work continues

to transform, it is essential to monitor these shifts and their potential effects on

employment opportunities in the coming years.

 One important lesson from the pandemic is how telecommuting has transformed the job

market. Being able to quickly transition employees into remote work positions saved

many positions, especially at SPP which has many employees in technical and

administrative roles that can be performed remotely. This article emphasizes the potential

for some workers to continue telecommuting even after the pandemic. This shift towards

remote work could have consequences for SPP's workforce and office spaces, as if a

significant number of employees do so, then the company must adjust its office needs and

policies accordingly. Furthermore, as telecommuting becomes more common among

other occupations, SPP must consider how best it can adapt in order to remain

competitive within the labor market. Overall, these findings indicate that the pandemic

has brought about rapid changes to the workplace, and SPP must be prepared for the long

run. They may need to implement policies and technologies that enable telecommuting or

flexible work arrangements as well as adjust their physical office spaces and workforce

planning strategies accordingly.

Telework: The Advantages and Challenges of Working Here, There, Anywhere, and

Anytime

 This research examines the challenges and growth of telecommuting and other forms of

teleworking. It draws from prior studies and interviews with supervisors, telecommuters
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 24
and non-teleworkers at two high technology companies. Furthermore, it highlights both

its advantages and drawbacks for each type of teleworking arrangement.

 This article investigates the challenges and management strategies related to teleworking.

It draws on qualitative research methods such as interviews with telecommuter managers,

following California Telework Program guidelines. Participants included managers and

employees from a range of industries including engineering and technology. In-depth

interviews were used to collect data which was then transcribed and analyzed to identify

themes and patterns.

The article's first section addresses remote management, such as managing

employees or hotels from afar. The second section delves into virtual teams and their

challenges in collaboration and communication. Examples and anecdotes are used

throughout to illustrate points made. Managers who worked remotely were interviewed

for data collection purposes to provide advice for preparing for telecommuting including

infrastructure information, availability, communication channels, guidelines - plus

meeting scheduling tips! Other data collection methods employed included non-

teleworker buy in, performance measurement metrics and trips back to the office for

evaluation purposes.

 Teleworking holds great promise in the future, as technological advances in

telecommunications, multimedia technology and other related areas promise to make

communication between remote sites and the main office simpler and more efficient.

Teleworking is becoming more attractive as the US economy expands in service

industries. It allows workers to work remotely from their homes, even if they live in

major cities. Some small businesses may even become entirely virtual. Universities are

already witnessing a decrease in their on-campus presence as professors opt to work

THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 25
remotely. Teleworking could open new markets for innovative businesses. Furthermore,

telecom working may lead to decreased US immigration and less top degree-granting

institutions like US engineering or business schools.

 This text's key findings highlight the anticipated rise in teleworking as technology

advances and economic activity continues to expand across service industries such as

Southwest Power Pool (SPP). Teleworking has the potential to revolutionize how homes

and offices are designed, with SPP potentially going entirely virtual - with the exception

of real time power grid operators at SPP. Not only that, but teleworking could also reduce

congestion in cities by eliminating large office parks. Teleworking could potentially

result in an uptick of population in previously remote areas, potentially having negative

consequences for rural environments and local economies. Longer term, it is possible that

teleworking will cause lessening immigration to the U.S. and diminish U.S. engineering

and business schools as premier degree-granting institutions.

The future of remote work

 The topic of this Research is exploring the implications of telecommuting for the future

of work, its advantages, drawbacks and best practices. Psychologists are studying how

remote work affects productivity, creativity and morale as well as how to maximize

effectiveness among geographically distributed teams that rely heavily on virtual

communication tools.

 This article draws upon both qualitative and quantitative methods, such as surveys,

interviews, and case studies. Participants included employees, managers, employers who

have had experience with remote work as well as experts in work and organizational

psychology. Data collection techniques included online surveys, structured interviews,

and analysis of existing research on remote work.

THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 26
This article provides a comprehensive assessment of the current understanding on remote

work, drawing from multiple sources to illuminate its advantages and drawbacks. While

research indicates that remote work can be highly advantageous for employees and

employers due to increased flexibility, autonomy, and work-life balance advantages;

there are also some challenges associated with it such as communication issues,

collaboration difficulties, and social isolation.

 This article's key findings demonstrate that remote work is becoming an increasingly

important and popular form of employment, particularly as technological advances make

it simpler and more efficient to do so. While remote workers enjoy several advantages

such as increased autonomy, flexibility, work-life balance, and potential cost savings for

employers - they also face challenges like communication, collaboration, and social

isolation. To address these obstacles employers, need to take proactive steps such as

providing clear communication channels, opportunities for social interaction and

appropriate technological resources.

 Southwest Power Pool (SPP), a regional transmission organization responsible for

managing electric power grid and wholesale power market operations across 14 central

US states, could benefit from remote work policies that attract top talent, boost

productivity levels, and reduce costs. Furthermore, remote working would enable SPP

members to respond faster and flexibly to operational difficulties or market demands by

providing flexibility in responding.

However, SPP should consider the challenges inherent to remote work such as

communication and collaboration among teams that are geographically dispersed. To

overcome these obstacles, SPP may need to invest in appropriate technological resources

and offer training and support so remote workers possess the necessary skillsets and tools
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 27
for success in a virtual work environment. SPP may need to offer remote workers

opportunities for social connection and support, which could help alleviate feelings of

isolation and boost job satisfaction. Overall, the findings in this article suggest that

remote work offers many advantages to organizations like SPP; however, proper planning

and backing are necessary for it to succeed.

Summary of Key Findings -The effects of remote work on employee retention are complex and

depend on several factors, including the task being completed, communication and support

systems in place, as well as individual needs and preferences. Studies have noted that employees

with flexible work arrangements that enable them to balance professional and personal

responsibilities may experience higher job satisfaction levels and reduced turnover rates when

given this option. On the other hand, remote working may cause feelings of isolation from

colleagues which could negatively influence retention rates in some instances.

Recent studies have highlighted the mixed effects of remote work on employee

wellbeing. While it offers greater flexibility and reduces commute stress, it may also lead to

feelings of exhaustion or decreased job engagement when employees lack adequate support and

resources. Furthermore, the COVID-19 pandemic has further accelerated adoption of remote

work practices, prompting many organizations to reevaluate their policies and procedures

regarding this type of employment arrangement.

Overall, the findings show that remote work can have significant impacts on employee

retention, well-being and job performance. Organizations must carefully weigh the advantages

and potential risks when creating policies and practices for this setting. Moreover, more research

is necessary to fully comprehend how remote work affects employee outcomes as well as

identify strategies for supporting remote workers and promoting retention within such an

environment.
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 28
Methods
Restatement of Problem and Purpose - This study sought to understand the potential positive

and negative consequences of remote work on employee retention. While remote work can offer

workers a better work-life balance and job satisfaction, it also may cause feelings of isolation,

decreased communication, and diminished performance - potentially leading to decreased

employee loyalty. The COVID-19 pandemic has hastened the adoption of remote work, making

it even more critical for organizations to understand its effects on employee retention. This

research seeks to uncover the factors responsible for these effects and measure how remote work

affects employee retention within specific organizations or industries. Ultimately, it offers

recommendations for improving retention rates within remote work settings, enabling

organizations to make informed decisions about adopting remote practices and strategies that

promote employee loyalty.

Questions

Research Question - What are the effects of remote work on employee retention at

Regional Transmission Organizations?

What factors contribute to its success of employee retention at Regional Transmission

Organizations in this regard?

Hypothesis - Null Hypothesis: There is no significant relationship between remote work

and employee retention at Regional Transmission Organizations.

Alternative Hypothesis: Remote work has a significant impact on employee retention at

Regional Transmission Organizations.

Limitations - This research is limited by the potential self-report bias in survey responses

and its generalizability to other industries and organizations. Furthermore, it may not
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 29
have considered all external variables that could impact employee retention, such as

changes in the job market or economic conditions.

Findings and Discussion

Findings - This paper, "The Effect of Remote Work on Employee Retention," offers an in-depth

review of ten articles which examine the effect of telecommuting on employee retention rates in

US. Their results showed that telecommuting can positively impact job satisfaction, productivity,

well-being and job retention rates for telecommuters; common themes across these articles

included work/life balance concerns; autonomy over work; reduced stress levels among

telecommuting employees etc.

One of the primary findings from reviewed articles was that telecommuting can improve

employee job satisfaction and decrease turnover intentions, likely due to its flexibility and

autonomy enabling employees to better balance work life with personal life. Telecommuting also

had positive impacts on productivity and performance, specifically tasks requiring concentration,

creativity, or problem solving; suggesting it can serve as an effective strategy for increasing

organizational productivity and profitability.

The prevalent themes of the articles are: employee retention and productivity; reduced

distractions and interruptions; greater autonomy and control over work schedules; employee

retention and productivity. One common thread across reviewed articles was the importance of

reduced stress levels and enhanced work-life balance for employees who telecommute.

Telecommuting has shown significant benefits for employee well-being, including better sleep

quality and decreased stress levels; possibly due to reduced commute time and greater flexibility

that enables telecommuters to better balance both professional and personal obligations. Studies

reveal that telecommuting may be an effective strategy for increasing employee retention, well-

being as well as organizational productivity and profitability.

THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 30
Discussion - Based on the findings from ten reviewed articles, it has become apparent that

telecommuting can have a profoundly positive impact on employee retention, productivity and

wellbeing. Organizations and industries that implement telecommuting policies could use them

as an effective strategy to increase employee satisfaction while simultaneously decreasing

turnover rates; furthermore, telecommuting may increase organizational productivity by

encouraging employees to collaborate more efficiently between one another.

As noted above, the effectiveness of telecommuting policies depends on various factors

related to job characteristics and employee preferences and needs. While some employees may

prefer traditional office environments over remote working arrangements, organizations must

take care when developing telecommuting policies that take account of each employee's specific

requirements.

Organizations must incorporate effective communication and collaboration tools for

remote workers when considering telecommuting employees. Telecommuting provides greater

freedom, but can leave workers feeling alienated from colleagues and managers within an

organization; to combat this feeling of isolation from both colleagues and managers alike,

organizations should equip telecommuting employees with tools such as video conferencing

software or regular check-ins so they stay in contact.

Conclusions: In summary, the findings from reviewed articles demonstrate that

telecommuting can be an effective strategy for increasing employee retention, productivity and

wellbeing. Organizations should consider employee preferences when formulating policies

supporting telecommuting; equip remote workers with tools and resources needed for staying

connected with colleagues and managers; this way employees can take full advantage of

telecommuting while remaining satisfied and engaged throughout their experience.

THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 31

Percentage of Remote Workers

60

50

40

30

20

10

0
Percentage of Remote Workers

2017 2019 2020

Recommendations
Plan of Action - The plan of action will be as follows. The first month will consist of conducting

a needs analysis to assess if remote work can be feasible in our organization. Over the following

two and three months, we will create a telecommuting policy with clear guidelines and

expectations related to remote work. Four to five months later we will provide training to

employees about communicating and collaborating efficiently in an office-free work

environment, then over six to 12 months we will implement and assess its effectiveness -

continuously reviewing it to meet both employee and organizational needs while satisfying

expectations from both sides. Once implemented we will periodically evaluate its suitability by

revisiting it every six months to make sure it continues meeting both sides' requirements while

meeting expectations on both sides. The implementation will be as follows:

Implementation Plan:

I. Conduct a Needs Assessment

THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 32
 Survey employees to determine their interest in remote work and their preferences for

remote work arrangements.

 Assess the technological infrastructure of the organization to determine the feasibility of

remote work.

 Conduct a cost-benefit analysis to determine the potential benefits and risks of remote

work for the organization.

II. Develop a Telecommuting Policy

 Establish clear guidelines and expectations for remote work, including expectations for

communication, availability, and productivity.

 Define the types of remote work arrangements that will be allowed, such as full-time

remote work, part-time remote work, or flexible work arrangements.

 Determine the eligibility criteria for employees who wish to work remotely, such as job

function, performance, and tenure.

III. Provide Training and Support

 Train managers and employees on how to effectively communicate and collaborate in a

remote work environment, including the use of communication tools and project

management software.

 Provide employees with the necessary tools and resources to work remotely, such as

laptops, software, and communication tools.

 Establish a support system for employees who encounter technical or other issues while

working remotely, such as an IT help desk or a designated point of contact.

IV. Monitor and Evaluate the Policy

 Establish a system for monitoring and evaluating the effectiveness of the telecommuting

policy, such as regular surveys or performance evaluations.

THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 33
 Collect feedback from employees on their experience with remote work, including their

satisfaction with the policy and any challenges they have encountered.

 Use data and feedback to make adjustments to the policy as needed, such as revising

eligibility criteria or adjusting communication guidelines.

Month Activity

1 Conduct needs assessment

2-3 Develop telecommuting policy

4-5 Provide training and support

6-12 Implement telecommuting policy

12+ Monitor and evaluate policy

Implementation Budget - Implementation of remote work solutions is estimated to cost

$43,000. This budget covers the expenses associated with conducting a needs assessment survey

to evaluate remote work feasibility, creating a telecommuting policy outlining clear guidelines

and expectations, offering communication and collaboration training to both managers and

employees, upgrading hardware and software for remote work support, providing help desk

support when technical issues arise, as well as evaluating its effectiveness through program

evaluation and feedback. Investment in these solutions may seem costly, but investing in them

will ensure employees have access to the tools, resources and support needed for effective

remote working will ultimately benefit organizations through increased productivity, employee

satisfaction and retention.

Item Cost

Needs Assessment Survey Software $2,500

Telecommuting Policy Development $5,000

THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 34

Communication and Collaboration Training $7,500

Hardware and Software Upgrades $15,000

Help Desk Support $10,000

Program Evaluation and Feedback $3,000

Total $43,000
THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 35
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THE EFFECTS OF REMOTE WORK ON EMPLOYEE RETENTION 37
Appendix