How to successfully implement a flexible working policy in your business

Flexible working arrangements have become increasingly important. Whether for better work-life balance, increased productivity, or simply adapting to new trends in the workforce, businesses are embracing flexible work policies.

Flexible working is now an essential part of modern workplace culture, driven by advancements in technology, evolving employee expectations and shifts caused by the COVID-19 pandemic. Companies that embrace flexible work policies benefit from increased employee satisfaction, higher productivity, and better talent retention.

As a new and popular addition to regular office life, it could prove to be beneficial to you and your company depending on your needs, but there are some considerations to keep in mind.

What are the laws around flexible working?

In recent years, there has been confusion around flexible work policies and rights as there are three different pieces of law that cover them. There is the Employments Rights Act 1996, the Flexible Working Regulations 2014 that was amended in 2023 to the Flexible Working Amendment Regulations.

These regulations, alongside the Equality Act 2010, include guidelines within which employees can request flexible working:

• Eligibility: Employees must have worked for their employer for at least 26 weeks before making a request.
• Employer obligations: Employers must consider requests in a reasonable manner and respond within three months.
• Valid reasons for refusal: Employers can deny requests based on business needs, including costs, productivity concerns, or negative impacts on customer service.

These rules were put in place to safeguard workers from being punished or let go for submitting requests, as well as to help parents and carers who must adjust their work schedules. All things considered, the purpose of these rules and regulations was to shield workers and employees from discrimination.

Any employee has the legal right to request flexible work arrangements from the first day of work if it is reasonable for them to do so according to the Employment Rights Bill 2024. Having a clear policy ensures compliance and helps create a fair system for handling flexible work requests.

What are the different types of flexible working?

There are different flexible work policies that can be put into place depending on the needs of your employees and your business.

Time-based flexibility is one of the most popular policy options as this includes part-time work, flexitime or compressed hours. Agreements made to either have employees work fewer hours than a full-time contract, letting employees dictate when they start and finish work or condensing the work week into less days all allow for increased flexibility and ensures employees can balance their responsibilities.

Location-based flexibility is another important consideration with remote working, hybrid working or job sharing. With this policy, employees work from home or another location outside of the office, mix remote and in-office work or share their full-time role with another employee.

Other flexible arrangements can include shift work or annualised hours. These options involve employees working outside of traditional office hours or scheduling their monthly or annual hours for a specific period of time.

There are other types of flexible work policies, such as asynchronous work schedules that are becoming increasingly popular in the tech sector, for example. Every type of flexible work has advantages and disadvantages, and management and employees can decide which is best for each individual by weighing the benefits and drawbacks of each alternative.

How can an effective flexible working policy be implemented?

There are three tips that are the most necessary to consider when implementing a flexible working policy:

1. Review your current policy

With some input from HR, it is highly beneficial to begin by auditing your current policy if you have one in place. This way, by making things clear, such as what’s working and what isn’t, specific aspects of the policy can be updated including anything that needs changing. By listening to your employees and gathering their experiences, your flexible working policy can be amended to take into account what they would like to see in the revised policy for a better work environment.

2. Clarity around the policy

Setting clear expectations is the most important aspect of creating or implementing any policies in your company. You should define which roles are eligible for flexible working as well as have a clear process for submitting requests. Having clear communication with your staff is essential; being clear about the type of flexibility you are willing to offer is also key to keep control. Lastly, the policy should be written cohesively and documented in a place which is easily accessible to all.

3. Upskill your managers

With changes to team dynamics, your managers should know how to properly and efficiently manage their team members with the right tools when requests come through. When managers are required to manage remote teams, they must ensure the negative impact on productivity is as minimal as possible. The focus with flexible working should fall upon results and performance, not so much the hours worked.

What are the benefits of flexible working?

For employers and employees alike, there are several benefits to implementing flexible working policies.

For employers, some of the benefits include:

• Higher levels of productivity: Studies show that flexible working arrangements can lead to higher employee efficiency and better outcomes.
• Attraction and retention of talent: Companies offering flexible work arrangements may have a competitive edge in attracting top talent as there are options to combat long commutes and conflicting commitments.
• Cost savings: With more employees working remotely, businesses can save on office space and utilities.

For employees, some of the benefits include:

• Improved work-life balance: Flexible working allows employees to better manage their personal and professional lives.
• Higher job satisfaction: Employees who have control over their work schedules tend to be more satisfied with their jobs.
• Reduced commuting stress: Remote or hybrid working reduces the time and stress associated with daily commutes, even contributing to better mental health.

What are the drawbacks of flexible working?

Although there are drawbacks to flexible working, there are potential solutions to the ones identified in this article. Despite possible challenges, below we have provided some reassurance that they can be mitigated or managed in a positive way.

Employee isolation

One potential problem that can present itself with remote working is a sense of disconnect between the team and the employees working remotely; there is potential for disengagement. A few possible solutions to this, however, could be to encourage regular virtual check-ins, implement social events and introduce better communication tools to maintain healthy levels of conversation and foster team bonding simultaneously.

Managing remote teams effectively

Supervision from a distance can be challenging when monitoring performance, ensuring accountability and verifying that the right amount of work is being completed to the expected standard. To improve this, there is the option to introduce tools to track progress and provide feedback to check that work and results are still being produced.

Technology and security issues

With flexible working often comes reliance on technology, which could expose businesses to cybersecurity risks. Therefore, if flexible work is agreed, employees should have the appropriate security systems and cybersecurity training to access secure networks and systems set up by the IT department.

Negative impact on company culture

Collaboration and innovation might be affected with a shift into flexible working, which over time may erode the traditional office culture. In such an event, cultivating a strong remote culture should be intentional through regular communication, value-based leadership and team-building initiatives.

What else should be considered when implementing a flexible working policy?

When implementing a flexible working policy, there may be some issues that arise that will need to be considered. An example of this includes conflicting requests, where multiple employees request similar flexible working arrangements which can cause organisational challenges.

Another issue that may arise is trial periods, whereby employees request a change but you as the employer feel like flexible working might not work for them. To combat this, it’s important to set transparent decision-making processes to ensure there is no discrimination or bias, as well as good communication and awareness between employers and employees to ensure this system works for everyone.

Measuring success of flexible working policies can look different from business to business to make sure that it is an effective option that benefits everyone. These policies may take some time to settle into, but by keeping things organised, it can work.

Discussing KPIs such as employee satisfaction, productivity measures and turnover rates can be forms of tracking the success of flexible working arrangements, for example. Moreover, seeing employee feedback about their experiences and gathering this data is valuable to help tailor and tweak the policy further. This document can change and evolve as your company grows.

Is a flexible work policy worth implementing?

Employers and employees alike can be set to gain from flexible working arrangements, but their effective adoption necessitates well-defined regulations, capable leadership, and constant adjustment. Businesses need to stay ahead of the curve as the working culture changes by remaining adaptable and cultivating a diverse, productive workforce.

The changes in the digital landscape and effects of Covid-19 will continue to push for the evolution of the work environment. The rise of asynchronous work will continue, as well as employees looking to make the most of global work opportunities with more companies embracing flexible work. Lastly, a major contributing factor is the impact of AI and automation; streamlining tasks and improving efficiency could be hugely impacted by the developments in AI that are reshaping the workplace.

The most successful implementations incorporate good practices, in which some things should be prioritised:

• Communication is key: open dialogue about flexible working arrangements and expectations should be made clear and known
• Monitoring and adapting: regularly assess the effectiveness of flexible work arrangements and be open to modifying policies based on feedback
• Promote and highlight work-life balance: encourage employees to take full advantage of the arrangements to prevent burnout with the appropriate boundaries
• Commit to leadership: fostering inclusivity in policies and supporting your employees with additional support programs must be considered for there to be diverse workforce and to cater to everyone’s needs

These policies should be carefully crafted to ensure the needs of the business and of the employees are met for a cohesive working environment to increase satisfaction, boost productivity and help stay competitive.

How can Penshaw View help?

At Penshaw View, we offer comprehensive HR support services, including how to successfully integrate flexible work policies. We offer:

• Policy development and implementation: support in reviewing and updating contracts of employment and policies ensuring they align with flexible working arrangements.
• Manager training: training programs such as the IOSH: Leading Safely course are designed to equip managers with the necessary skills to oversee flexible working practices effectively.
• Employee support programs: training programs such as Effective Remote Working Training to help employees adapt to remote work environments while staying productive and engaged.
• Consultancy services: offering guidance across all areas of HR and health and safety to create a supportive environment for flexible working.

Create and execute flexible working rules that support a healthy and effective work environment with our HR support services and health and safety courses. Contact our team today to discover how we can support you.