Across the globe, everyone from everyday workers to corporate giants seem to be feeling the financial pinch. In fact, most signs are pointing to a global economic recession, with 91% of chief financial officers (CFOs) believing an economic crisis is inevitable and more than a third (36%) predicting a recession this year.
Because of this, businesses are scrambling to make as many cost-savvy decisions as they can before a recession hits. But it’s looking like the biggest cost-saving tactics do not lie in budget cuts or layoffs, but our old friend: remote working.
Remote working is no longer a new phenomenon. Most of us adapted to a remote or hybrid work model during and after the pandemic, yet it’s still rarely the first thing we think of when we think of saving costs or boosting a business's bottom line.
But it should be.
In times of economic and financial difficulty, remote working really is win-win. Not only can it save you a ton of budget, but research has shown us again and again that hybrid or remote work has a great impact on employee well-being. Remote work has enabled both employees and company leaders to regain a better work-life balance, better manage their mental health, and waste fewer “empty hours” on things like commuting and in-person meetings.
Crucially, remote work also opens up the scope for outsourcing, meaning you can employ the best person for the job - no matter where they are in the world - and pay them far better when you’re not also managing things like office costs which, in some cases, can be up to 20% of your overall revenue.
Everyone knows that people make a workplace. Happy employees produce better work which will, in turn, boost your revenue. It goes without saying, then, that opting for layoffs or pay freezes as a way to cut costs rather than using a remote work policy, might not make for a very happy workforce.
What’s more, you don’t have to figure out the shift to remote working and outsourcing alone. These days, to ensure a business is making the most of the opportunities and expertise out there, many are turning to specialists to get the right support - whether that’s logistical, legal or administrative - when making the switch.
So, if you’re worried about the impact of the upcoming recession on your business, perhaps it’s time to reevaluate and opt for a remote work and outsourcing model for 2023 and beyond.
At Remotify, we specialise in helping both employees and businesses transition to remote work and outsourcing, taking all the complicated legwork and HR admin off your hands while keeping day-to-day management over your team. Want to find out how we do it? Get in touch with a member of our friendly team today!