Flexible Working: A Comprehensive Guide for Employers

Flexible working is fast becoming a standard feature of the UK workplace. Following a change in the law in 2024, all employees now have the right to request flexible working from day one of employment.

Notwithstanding the new legislation, traditional working models have evolved in recent years in light of the legally-mandated homeworking rules during the COVID lockdown and general advancements in technology that have facilitated greater flexibility and choice in working arrangements.

For employers, flexible working presents both challenges and opportunities that must be dealt with to comply with legal obligations and support positive workforce relations.

This article provides a comprehensive guide to flexible working from an employer’s perspective. We’ll explore the different types of flexible working, the benefits it brings, legal obligations for UK businesses, and how to successfully implement flexible policies within your organisation.

 

Section A: What is Flexible Working?

 

Flexible working refers to a broad range of employment practices that allow employees to have greater control over their working hours, location, and schedule. Unlike the traditional, fixed 9-to-5 office-based model, flexible working enables employees to balance their personal commitments and professional responsibilities more effectively.

For employers, offering flexible working arrangements is both a legal requirement and a key contributor to workforce wellbeing and relations.

Flexible working can be tailored to fit the needs of both the business and its employees, creating a more adaptive and agile workforce and leading to improved job satisfaction, reduced turnover, and enhanced productivity.

 

1. Types of Flexible Working

 

There are several types of flexible working arrangements that employers can offer, depending on the nature of the job, the company’s operational needs, and the preferences of their employees.

 

Flexible Working Type	Description	Best For	Challenges
Remote Working	Working from a location outside the office.	Employees needing location flexibility	Maintaining communication and engagement
Flexitime	Flexible start/end times with core hours.	Employees with variable daily schedules	Coordinating meetings and collaboration
Part-Time Working	Working fewer hours than full-time.	Employees balancing other commitments	Ensuring coverage and workload balance
Compressed Hours	Full-time hours over fewer days (e.g., 4-day week).	Employees seeking longer weekends	Managing employee fatigue
Job Sharing	Two employees sharing one full-time position.	Roles requiring multiple skill sets	Ensuring clear responsibility division

 

a. Remote Working (Work from Home)

Remote working allows employees to work from a location other than the office, most commonly from home.

With advances in digital technology, remote working has become increasingly popular, particularly since the COVID-19 pandemic. Employees can perform their duties from home, co-working spaces, or other locations, while staying connected to their teams through virtual communication tools. This arrangement reduces the need for commuting and allows for greater flexibility in managing work-life balance.

 

b. Part-Time Work

Part-time work involves employees working fewer hours than the traditional full-time workweek, which is typically 35-40 hours.

Part-time work is a flexible option for individuals who may have other commitments, such as family care or education, but still want to contribute to the workforce. Employers can benefit from a more diverse pool of talent and optimise staffing costs by filling roles that don’t require full-time hours.

 

c. Compressed Hours

Compressed hours allow employees to work the same number of full-time hours over fewer days, typically by extending the length of each workday.

Instead of working five 8-hour days, for example, an employee might work four 10-hour days. This arrangement gives employees a longer weekend or additional time off during the week without reducing their overall working hours or pay. Employers benefit by maintaining productivity while offering greater flexibility.

 

d. Flexitime (Flexible Hours)

Flexitime allows employees to choose when they start and finish their workday, as long as they complete the required hours.

Flexitime typically involves a core period during which all employees must be present (e.g., 10 a.m. to 3 p.m.), but employees have the freedom to adjust their start and end times around that core period. This allows employees to manage personal commitments, such as school runs or appointments, without needing to take time off. For employers, flexitime can increase employee satisfaction and reduce absenteeism.

 

e. Job Sharing

Job sharing involves two or more employees sharing the responsibilities of a single full-time role.

In this arrangement, employees split their workweek and responsibilities, ensuring that the position is covered throughout the week. Job sharing allows employees to work part-time while ensuring the full demands of the role are met. Employers benefit from having the combined expertise of two employees in one role, along with greater coverage in case of absences.

 

f. Staggered Hours

Staggered hours involve employees having different start, break, and finish times from their colleagues.

This arrangement helps employees manage their personal schedules while ensuring that the business is staffed throughout the day. It can be particularly useful for businesses that operate extended or non-standard hours.

 

g. Annualised Hours

Annualised hours refer to employees working a set number of hours over the course of a year, rather than a weekly schedule. This arrangement allows employees to work more during peak periods and less during quieter times, making it ideal for seasonal industries. It helps businesses adjust to fluctuations in demand while offering employees flexibility in managing their working year.

 

2. Benefits of Flexible Working for Employers

 

Flexible working is not just a benefit for employees; it also offers numerous advantages for employers. From boosting productivity to enhancing employee wellbeing, businesses that adopt flexible working practices can experience tangible improvements across various aspects of their operations.

 

Step	Action	Legal Requirement
1. Receive Request	Acknowledge receipt of the employee’s flexible working request.	Must acknowledge the request in writing.
2. Schedule Discussion	Set up a meeting to discuss the request in more detail.	Must handle the request in a “reasonable manner.”
3. Consider Impact	Review business implications (productivity, costs, etc.).	Must consider how the request affects the business.
4. Respond	Communicate the decision in writing within 3 months.	Must respond within 3 months of the request.
5. Offer Appeal	(Optional) Allow the employee to appeal the decision.	Not legally required, but encouraged.

 

a. Increased Productivity

Several studies have shown that flexible working can lead to higher levels of productivity. When employees are given the autonomy to manage their own schedules and work environments, they often feel more in control, motivated, and focused. Research by Stanford University found that remote workers were 13% more productive than their in-office counterparts, largely due to fewer distractions and less time spent commuting.

Additionally, a UK survey conducted by FlexJobs reported that 65% of employees believe they are more productive when working remotely, thanks to fewer interruptions and a quieter work environment.

For employers, this translates into better performance and output, as employees can work when they are most productive. With the ability to tailor their schedules to personal and work needs, employees are likely to deliver higher quality work while also maintaining job satisfaction.

 

b. Talent Attraction and Retention

In today’s competitive job market, offering flexible working arrangements is a powerful tool for attracting and retaining top talent. Many candidates now prioritise work-life balance and flexibility over traditional benefits, such as salary or job titles. A survey by PwC found that 83% of employees would be more likely to accept a job offer if it included flexible working options.

For employers, providing flexible work arrangements can also significantly reduce turnover. According to research by the Society for Human Resource Management (SHRM), companies that offer flexible working options see lower rates of employee burnout and higher levels of job satisfaction, leading to reduced recruitment and training costs. Flexible working makes it easier to retain skilled employees who might otherwise leave for more accommodating work environments.

 

c. Cost Efficiency

One of the most immediate financial benefits of flexible working for employers is the reduction in operational costs. With more employees working remotely or part-time, businesses can save on expenses such as office space, utilities, and other overheads. According to a study by Global Workplace Analytics, employers can save an average of £7,000 per year for each employee who works remotely half of the time. These savings stem from reduced office space requirements, lower utility bills, and decreased maintenance costs.

Additionally, flexible working reduces absenteeism, which can be costly for businesses. Employees with flexible schedules are less likely to take sick days or personal days, as they can adjust their work hours around personal commitments, making operations more efficient and cost-effective.

 

d. Improved Employee Wellbeing

Flexible working has a direct positive impact on employee mental health and overall wellbeing, which in turn benefits employers. Allowing employees to work at their own pace and in their preferred environments reduces stress and helps them achieve a better work-life balance. A study by Mental Health Foundation UK found that flexible working can lower stress levels, with 65% of employees reporting reduced stress when given the option to work flexibly.

This reduction in stress and improved mental health translates into fewer absences, as employees are less likely to take time off due to burnout or illness. Furthermore, employees who are healthier and more satisfied with their work-life balance are more engaged and loyal to their employer, reducing absenteeism and increasing retention rates. For businesses, a workforce that is both healthy and motivated leads to enhanced performance and lower costs associated with health issues or turnover.

 

Section B: Legal Requirements for Flexible Working in the UK

 

Flexible working is not only a growing trend but also a legal entitlement in the UK under certain conditions. UK legislation sets out a clear framework that governs how employers should make, assess, and respond to these requests.

Employers, therefore, need to be aware of their legal obligations when it comes to handling requests for flexible working arrangements from their employees.

 

1. The Statutory Right to Request Flexible Working

 

Under the provisions of the Employment Relations (Flexible Working) Act 2023, all employees in the UK now have a statutory right to request flexible working from the first day of their employment.

Employees can make two formal requests for flexible working in any 12-month period. These requests can relate to changes in working hours, working times, or the location where work is performed (e.g., requesting to work from home). The request must be in writing and should explain the changes being requested, how the employee believes the change will impact the business, and how they propose to handle any potential challenges that may arise from their request.

It’s important to note that while employees have the right to request flexible working, employers are not obligated to approve every request. However, they must handle these requests in a reasonable manner, following ACAS guidelines in the Code of Practice on requests for flexible working.

 

2. How to Handle Flexible Working Requests

 

Employers have a legal obligation to consider flexible working requests in a “reasonable manner,” as outlined in the Acas Code of Practice on Requests For Flexible Working. The employer must follow a clear and structured process when assessing a request.

 

Benefit	Challenge
Increased productivity	Performance tracking can be more difficult
Improved employee retention	Maintaining team cohesion
Broader talent pool	Communication difficulties with remote teams
Reduced absenteeism	Security concerns when working remotely
Improved work-life balance for employees	Managing flexible working requests fairly

 

Step 1. Acknowledge the Request

Upon receiving a written request, the employer should acknowledge it and ensure that a formal review process is initiated. The request must be considered, and a decision must be made within a reasonable time frame, typically within three months of receiving it.

 

Step 2. Assess the Request

Employers must consider the request on its merits, taking into account the potential benefits for both the employee and the business. They should evaluate how the proposed changes might affect the team’s operations, workloads, client demands, and overall productivity.

Employers must ensure when considering requests not to unlawfully discriminate against the individual where the provisions of the Equality Act apply.

In cases where an employee makes a request for flexible working as a reasonable adjustment for a disability, the employer must consider this in line with their obligations under the Equality Act.

 

Step 3. Employee Consultation

Employers should not refuse a flexible working request without first consulting the employee.

Unless the employer fully agrees to the employee’s written request, they must discuss the request with the employee before making a decision at a consultation meeting. A consultation meeting ensures that all relevant information is considered before reaching a decision. It can also help clarify whether the request is related to a reasonable adjustment for a disability.

The meeting should be arranged without unnecessary delay. Both the employer and employee should have adequate time to prepare, while keeping in mind the two-month statutory timeframe for deciding on requests, including any appeal.

The employer should provide advance notice of the time and location for the meeting. The meeting should be held privately, either in person, via online video conferencing, or, if necessary, over the phone.

The meeting should allow for a reasonable discussion of the request. It is often useful to explore the potential benefits or challenges of approving or denying the request, as well as any practical considerations for implementing it.

If the request cannot be accepted in full, the employer and employee should explore whether any of the benefits of the original request can still be met. This may involve discussing modifications to the request or alternative flexible working options. A trial period could also be considered to assess the viability of the arrangement.

The person leading the meeting should have the authority to make decisions regarding the request.

A written record of the meeting should be kept, accurately reflecting the discussion.

 

Step 4. Grounds for Refusal

Employers can refuse a request for flexible working, but only on specific grounds stated in the Employment Rights Act, which are as follows:

 

a. The burden of additional costs

b. An inability to reorganise work amongst existing staff

c. An inability to recruit additional staff

d. A detrimental impact on quality

e. A detrimental impact on performance

f. A detrimental effect on ability to meet customer demand

g. Insufficient work available for the periods the employee proposes to work

h. Planned structural changes to the employer’s business

 

Ground for Refusal	Description
Burden of additional costs	Flexible working would cause significant financial strain.
Inability to reorganise work	Unable to redistribute the employee’s work to other staff members.
Negative impact on quality	The request would likely reduce the quality of products or services.
Negative impact on performance	It would have a detrimental effect on employee or team performance.
Insufficient work during requested hours	There may not be enough work to do during the hours requested.
Planned structural changes	Upcoming changes in the business structure would conflict with the request.

 

Step 5: Provide a Written Decision

Once a decision has been made, the employer must inform the employee in writing. The employer also complies with the statutory two-month period for making decisions, including any appeal.

 

a. Request Approved

If the request is approved, the employer and employee should discuss the specifics, including any changes to the employment contract that need to be formalised.

The employer should offer the employee the chance to have a follow-up discussion to clarify any further information, such as setting review dates to assess how the arrangement is working.

A written record of any follow-up discussion should be kept, though the employer and employee can mutually agree to forgo this step if unnecessary.

 

b. Request Denied

If the request is denied, the reasons for the decision must be clearly outlined, and the employee should be informed of their right to appeal.

While there is no legal requirement for an appeal against a flexible working decision, it is considered good practice to allow one. The written decision should inform the employee of their right to appeal, including the process and timeframe for submitting an appeal if they choose to do so.

 

Step 6: Right to Appeal

If an employee wishes to appeal a decision about their flexible working request, they should explain their reasons in writing. This may include new information or concerns about how the request was handled. The employer should arrange an appeal meeting without delay, following the same process outlined for the initial request.

The appeal should be dealt with impartially by someone with authority who was not previously involved in the case.

Once a decision is made, it must be promptly communicated to the employee in writing. A written record of the appeal meeting should be maintained.

 

Section C: How to Implement a Flexible Working Policy

 

Employers must ensure that they approach flexible working requests in a way that is fair and in line with statutory requirements. Failure to do so can lead to disputes, and in some cases, employees may take their claim to an employment tribunal if they believe their request was mishandled or unfairly rejected.

Employers are advised to have a flexible working policy in place to ensure their legal obligations are met and to foster trust and goodwill among the workforce.

A well-structured, flexible working policy provides clarity for both employees and employers, ensuring that requests are handled consistently and fairly. It helps businesses maintain productivity while offering the flexibility that modern employees increasingly demand.

The policy should cover the key areas of legal compliance, communication, and performance management. Once developed, the policy should be implemented effectively to ensure impact.

 

Step 1. Assess Business Needs

 

Before implementing a flexible working policy, it is essential to evaluate the needs of the business and determine which roles and functions can be adapted to flexible arrangements. Flexibility may not be practical for every role, particularly those that require a physical presence or operate within time-sensitive environments.

 

a. Identify Flexible Roles

Begin by assessing which roles can be performed remotely or with adjusted hours without negatively impacting operations. Positions that are largely desk-based, focused on individual tasks, or do not require constant supervision are often well-suited to flexible arrangements. However, roles in customer-facing positions or those requiring access to specific equipment might need to be considered more carefully.

 

b. Consider the Type of Flexibility

Different types of flexible working (e.g., remote work, flexitime, compressed hours) may be more suitable for certain roles. For example, administrative roles may thrive with remote work, while manufacturing roles may benefit more from staggered shifts. Consider the practical implications of each type of flexibility on business operations and customer service.

 

c. Business Continuity

It is also important to assess how flexible working will affect overall business continuity. Consider how to maintain productivity, meet deadlines, and ensure that key tasks are completed on time. For example, if many employees opt for remote work, a plan must be in place for reliable communication and task management.

 

Step 2. Set Clear Guidelines

 

An effective, flexible working policy requires well-defined rules and expectations. Employees need to understand what is expected of them when they work flexibly, and managers must have clear criteria for measuring performance and productivity. Clear guidelines ensure consistency and prevent misunderstandings.

 

a. Define Eligibility Criteria

Clearly outline which roles are eligible for flexible working and under what conditions. This could include stipulations based on the employee’s position, length of service, or job performance. Define any limitations, such as how often flexible arrangements can be requested and how changes will be reviewed over time.

 

b. Working Hours and Availability

Establish clear expectations regarding working hours, particularly for roles involving client interaction or collaboration with colleagues. Even if employees work flexibly, there may be core hours during which they need to be available. For example, you might require employees to be reachable between 10 a.m. and 3 p.m., even if they set their own schedules around those hours.

 

c. Set Performance Metrics

With flexible working, traditional methods of supervision (such as physical presence) may not apply. Consider implementing performance metrics that focus on outcomes rather than hours spent. This could include setting specific targets, deadlines, or key performance indicators (KPIs) to measure progress and ensure that productivity remains high.

 

d. Formalise Agreements

Document the flexible working arrangements for each employee and ensure that any changes to their working hours or conditions are reflected in their contracts. This helps manage expectations and provides a clear reference for both employees and managers.

 

Step 3. Manage Remote Teams Effectively

 

Managing remote teams presents unique challenges, particularly around communication, collaboration, and ensuring productivity. With the right strategies, however, businesses can successfully manage remote employees and ensure seamless operations.

 

a. Communication Tools and Practices

Effective communication is key to managing remote teams. Employers should invest in reliable communication tools, such as video conferencing platforms (e.g., Zoom, Microsoft Teams) and instant messaging systems (e.g., Slack). It’s important to establish regular check-ins, such as weekly team meetings or daily stand-ups, to maintain strong communication and keep employees engaged.

 

b. Encourage Collaboration

Working remotely can sometimes lead to isolation or disconnect between employees. To avoid this, provide tools and systems that facilitate collaboration, such as shared cloud platforms (e.g., Google Drive, Microsoft SharePoint) for joint projects. Encourage the use of collaborative documents and set clear channels for teamwork, whether through virtual brainstorming sessions or regular team updates.

 

c. Set Clear Productivity Expectations

It’s important to communicate clear expectations for remote employees to ensure productivity is maintained. Set goals that focus on output rather than hours spent at the desk. For example, use task management tools like Asana, Trello, or Monday.com to track the progress of specific tasks, assign responsibility, and monitor deadlines. Regularly review these metrics to provide feedback and address any issues proactively.

 

d. Offer Support and Training

Remote working requires different skills than traditional office-based work, particularly when it comes to time management, communication, and self-discipline. Offer training and support for employees to help them adjust to remote working practices. Additionally, managers may need guidance on how to lead remote teams effectively, ensuring they have the tools and knowledge to manage performance, maintain morale, and foster collaboration.

 

Section D: Challenges of Flexible Working

 

While flexible working offers numerous benefits, it also presents challenges that employers need to address in order to ensure smooth operations and maintain productivity. These challenges often revolve around communication, productivity tracking, and finding a balance between employee flexibility and business requirements.

 

Tool Category	Recommended Tools	Purpose
Communication	Microsoft Teams, Slack, Zoom	Real-time communication and video conferencing
Project Management	Trello, Asana, Monday.com	Task tracking and project management
Time Tracking	Toggl, Harvest, Clockify	Tracking hours worked and productivity
Document Collaboration	Google Workspace, Microsoft 365, SharePoint	Collaborative editing and document sharing
Security Tools	VPNs (e.g., NordVPN, ExpressVPN), MFA Tools	Secure remote access and multi-factor authentication

1. Communication Issues

 

One of the most common challenges of flexible working is maintaining effective communication. When employees are working remotely or on varying schedules, it can be difficult to ensure that everyone is aligned, informed, and collaborating efficiently. Miscommunication or delays in information sharing can lead to misunderstandings and reduced productivity.

 

a. Use the Right Tools

Implement digital communication tools such as Slack, Microsoft Teams, or Zoom to facilitate real-time communication between team members. These platforms allow for quick messaging, video calls, and group collaboration, ensuring that employees can easily stay connected, no matter where they are working.

 

b. Establish Clear Communication Protocols

Set expectations for communication, such as how quickly employees should respond to emails or messages and which platforms should be used for different types of communication. For instance, urgent queries can be handled through instant messaging, while more detailed discussions may require scheduled video calls.

 

c. Regular Team Meetings

Schedule regular check-ins or team meetings to keep everyone on the same page. Weekly virtual meetings can help teams stay updated on project progress, address any concerns, and maintain a sense of connection. Daily stand-ups or quick huddles can also be beneficial for keeping shorter-term goals on track.

 

d. Encourage Open Dialogue

Foster a culture where employees feel comfortable raising concerns, asking questions, and offering feedback, even when working remotely. Managers should regularly check in with employees to ensure they are not feeling isolated or disconnected from the team.

 

2. Monitoring Productivity

 

Tracking productivity in a flexible working environment can be challenging, especially when employees are working outside the traditional office setting. Employers may worry about how to ensure that work is being completed efficiently without the ability to physically monitor employees. However, flexible working success depends on shifting the focus from hours worked to outcomes delivered.

 

a. Set Clear Performance Metrics

Define specific, measurable goals for employees to work towards, whether they are in the office or working remotely. These goals should be outcome-based rather than focused on the number of hours worked. Use key performance indicators (KPIs) to track progress and ensure that expectations are being met.

 

b. Use Task Management Tools

Implement project management tools like Trello, Asana, or Monday.com to assign tasks, set deadlines, and track the progress of projects in real-time. These platforms allow managers to monitor individual contributions and ensure accountability while giving employees a clear view of their tasks and deadlines.

 

c. Regular Progress Reviews

Schedule regular one-on-one check-ins with employees to review their progress and provide feedback. These meetings should focus on results, challenges, and support needed rather than micromanaging day-to-day activities.

 

d. Offer Flexibility in Return for Accountability

Trust plays a major role in flexible working environments. By giving employees more autonomy in how they manage their time, employers can encourage them to take ownership of their work. As long as the agreed-upon goals and deadlines are met, the flexibility granted becomes a win-win for both employer and employee.

 

3. Balancing Flexibility with Business Needs

 

While flexible working can greatly benefit employees, businesses must also ensure that these arrangements align with operational goals and customer demands. Balancing the needs of flexible employees with the overall requirements of the business can be complex, particularly in industries that require a certain level of in-person presence or fixed working hours.

 

a. Assess Operational Requirements

Before implementing flexible working arrangements, evaluate which roles and tasks require strict adherence to business hours or physical presence. For example, customer service teams may need to maintain set hours to respond to client inquiries, while project-based roles may allow for more flexibility.

 

b. Offer Different Levels of Flexibility

Flexibility doesn’t need to be one-size-fits-all. Tailor flexible working arrangements to fit different roles within the business. For example, offer remote working to teams where it’s practical, but consider staggered shifts or flexitime for departments that require a more constant presence.

 

c. Prioritise Business Needs in Decision Making

When considering flexible working requests, always weigh the needs of the business alongside the benefits to the employee. If a request might negatively impact operations, such as by leaving key roles understaffed during critical periods, it may need to be adjusted or declined based on solid business reasoning.

 

d. Maintain a Core Team When Needed

For businesses that require certain hours or functions to be maintained, consider hybrid models where a core team is always present in the office while others rotate between remote work and in-office days. This ensures that essential functions are covered while still providing flexibility to employees.

 

e. Trial and Review Flexible Arrangements

Flexibility is not a static concept. Introduce flexible working arrangements on a trial basis and regularly review how they are impacting both employee satisfaction and business performance. Adjust policies as needed based on feedback and operational outcomes to ensure that flexibility remains viable for the long term.

 

Section E: Flexible Working Case Studies

 

Flexible working has transformed the way many UK businesses operate, allowing them to adapt to modern work expectations while maintaining or even boosting productivity. Numerous companies across different sectors have successfully embraced flexible working models, leading to increased employee satisfaction, reduced turnover, and significant cost savings.

These success stories highlight how flexible working can be tailored to fit diverse industries and business needs.

 

1. BT

BT has been a pioneer in flexible working, offering remote work options for its employees for more than two decades. BT has enabled over 70% of its workforce to work from home, allowing employees to manage their work-life balance while maintaining high productivity levels.

A study commissioned by BT found that remote workers were 20% more productive than their office-based counterparts. By reducing office space and associated costs, BT has saved millions of pounds in real estate expenses. Flexible working has also led to high employee satisfaction levels, with staff reporting improved wellbeing and work-life balance, which has in turn reduced turnover rates.

BT’s early adoption of flexible working has helped position the company as a leader in innovative working practices, demonstrating that even large, traditional companies can benefit from these models.

 

2. Unilever UK

Unilever UK implemented a comprehensive, flexible working policy that offers employees the freedom to choose where and when they work based on the belief that outcomes matter more than hours spent in the office. Their policy includes remote working, compressed hours, and flexitime.

Unilever’s employees reported feeling more trusted and empowered, which has contributed to increased engagement and motivation. The company has noted a measurable increase in productivity, particularly among remote workers who benefit from fewer workplace distractions and reduced commute times.

Flexible working has made Unilever an attractive employer for a diverse range of talent, including working parents and individuals with long commutes, helping to create a more inclusive workplace.

Unilever’s focus on output rather than rigid working hours has enabled it to foster a culture of trust and accountability, which has driven both business success and employee satisfaction.

 

3. PwC

PwC, one of the UK’s leading professional services firms, embraced flexible working even before the COVID-19 pandemic. Recognising the changing expectations of its workforce, PwC introduced policies that allow employees to work remotely, have flexible start and finish times, and participate in a hybrid work model, splitting time between home and the office.

PwC has successfully used flexible working as a recruitment tool, particularly among millennials and Gen Z candidates, who place a high value on work-life balance and autonomy.

Flexible working has reduced staff turnover, particularly among working parents and carers, who appreciate the ability to balance personal responsibilities with their professional lives.

By using a hybrid working model, PwC has found that employees are more collaborative during in-office days, using face-to-face time for creative work and brainstorming, while performing more focused, individual tasks remotely.

PwC’s approach demonstrates how flexible working can be strategically used to attract and retain talent in a highly competitive industry while maintaining high levels of client service and collaboration.

 

4. HSBC UK

HSBC has adopted a flexible working strategy that allows its employees to work from home, adopt hybrid schedules, or engage in job sharing. The bank introduced this model to adapt to the demands of a modern workforce and to support a healthier work-life balance for its employees.

HSBC announced plans to reduce its office space globally by 40%, thanks to the success of its flexible working initiatives, generating significant cost savings in real estate and overheads.

Flexible working has greatly contributed to improved employee wellbeing, with a noticeable reduction in stress levels and absenteeism.

Despite concerns that flexible working could disrupt operations, HSBC found that employee productivity actually increased, with remote workers reporting that they could concentrate better on their tasks without the distractions of a busy office environment.

HSBC’s flexible working policy has enabled the bank to adapt to the needs of a modern workforce while improving operational efficiency and cutting costs.

 

5. Nationwide Building Society

Nationwide Building Society introduced a flexible working policy that allows 13,000 employees to choose where they work. This shift has empowered employees to create a better work-life balance and reduced the need for large office spaces.

Nationwide reported a marked increase in employee engagement levels following the rollout of flexible working options. Employees expressed higher job satisfaction and loyalty to the company.

By enabling flexible working, Nationwide was able to quickly adapt to external changes (e.g., the COVID-19 pandemic), ensuring uninterrupted services for customers while maintaining high employee morale.

Nationwide has reduced its carbon footprint by encouraging remote work, which has led to fewer employees commuting and lower energy consumption in its offices.

Nationwide’s approach highlights how flexible working can be used as part of a broader strategy to increase employee engagement, ensure business continuity, and contribute to sustainability goals.

 

Section F: Flexible Working Trends & Predictions

 

Looking ahead, the future of flexible working will continue to evolve, with hybrid work models, a focus on employee wellbeing, and changing workplace dynamics at the forefront. UK employers will need to adapt to these trends to remain legally compliant and attractive in the talent market.

 

1. Hybrid Work Models: The New Normal

 

One of the most prominent trends in the future of flexible working is the adoption of hybrid work models. A hybrid approach allows employees to split their time between working from home and the office, offering the best of both worlds. This model is expected to become the default for many UK businesses, as it balances flexibility with the need for in-person collaboration.

Key trends include:

 

a. Increased Hybrid Adoption: According to research by McKinsey, nearly 90% of UK companies expect to adopt a hybrid working model post-pandemic. Employers are finding that hybrid work promotes productivity and employee satisfaction while reducing the need for large office spaces.

 

b. Customised Hybrid Models: Rather than a one-size-fits-all approach, businesses will likely tailor hybrid working policies to fit specific teams or job functions. For example, creative and collaborative roles may require more time in the office, while roles that involve focused individual tasks may remain largely remote.

 

c. Office as a Collaboration Hub: The role of the office is expected to shift. Instead of being a place for daily work, offices will become hubs for collaboration, meetings, and social interactions. This change will redefine office design and function, with spaces optimised for teamwork and innovation.

 

2. Employee Wellbeing and Mental Health Focus

 

The rise of flexible working has highlighted the importance of employee wellbeing, and this trend is likely to continue into the future. Employers are increasingly recognising that supporting mental health and creating a healthy work-life balance are essential for retaining talent and maintaining productivity.

Key trends include:

 

a. Increased Focus on Wellbeing: As flexible working becomes more widespread, employers will need to provide ongoing support for employees to ensure that remote work does not lead to isolation or burnout. This may include offering mental health resources, promoting work-life balance, and encouraging regular breaks.

 

b. Flexible Benefits Packages: In addition to offering flexible working, businesses may begin to provide more personalised benefits packages that cater to employee wellbeing. For example, companies might offer gym memberships, mental health days, or wellbeing stipends for employees to spend on their personal health and happiness.

 

c. Remote Wellbeing Support: As more employees work remotely or in hybrid settings, employers will need to invest in virtual wellbeing programmes, such as remote counselling services, wellness apps, and virtual fitness classes, to ensure that all employees—regardless of location—have access to the same level of support.

 

3. Technology and Automation in Flexible Working

 

The future of flexible working will be heavily influenced by advances in technology and automation. Digital tools are making it easier than ever for employees to collaborate remotely, manage tasks, and stay connected. As technology evolves, businesses will need to continue investing in digital infrastructure to support flexible working.

Key trends include:

 

a. Enhanced Collaboration Tools: The ongoing development of collaboration platforms like Microsoft Teams, Slack, and Zoom will allow employees to communicate more effectively across locations. Expect more features designed to enhance team interaction, from virtual whiteboards to AI-driven meeting assistants.

 

b. Automation for Remote Workflows: Automation will play a greater role in streamlining workflows for remote and hybrid employees. For example, tools that automate administrative tasks, project management, and reporting can increase productivity and reduce the burden on employees working remotely.

 

c. AI and Data-Driven Decision Making: Artificial intelligence (AI) will help businesses monitor productivity, optimise team performance, and identify patterns in remote work. AI-driven data analytics can be used to assess how well flexible working arrangements are performing and make informed adjustments.

 

4. Changing Workplace Dynamics and Culture

 

As flexible working becomes more common, workplace culture and team dynamics will continue to shift. Employers will need to foster a strong company culture that transcends physical office spaces and unites employees regardless of where they work.

Key trends include:

 

a. Strengthening Remote Culture: Building a strong company culture in a flexible working environment will require intentional efforts. Employers will need to focus on inclusivity, regular communication, and team bonding activities that can take place both virtually and in-person. Virtual team-building events, online recognition platforms, and digital social spaces may become more common.

 

b. Leadership Adaptation: Leadership styles will need to evolve to meet the challenges of managing distributed teams. Leaders will need to embrace transparency, trust, and clear communication to foster a sense of belonging and purpose among flexible workers. Training in managing remote teams and emotional intelligence will be crucial for future leaders.

 

c. Equality and Inclusivity: Flexible working can promote greater inclusivity by offering more opportunities for employees with disabilities, parents, and those with other personal commitments. However, employers will need to ensure that remote workers are not disadvantaged in terms of career progression or access to opportunities compared to in-office staff.

 

5. Flexibility as a Competitive Advantage

 

Flexible working is quickly becoming a key differentiator in the job market. Employers who offer robust, flexible working policies will likely have an edge in attracting and retaining top talent. This trend will drive businesses to further innovate in their approach to flexible working to stay competitive.

Key trends include:

 

a. Talent Attraction and Retention: A CIPD study found that 87% of employees view flexible working as important when considering a new job. To attract top talent, UK businesses will increasingly offer flexible working options as part of their employee value proposition.

 

b. Global Talent Pools: Flexible working removes geographical barriers, allowing companies to tap into a global talent pool. UK employers may find that they can hire remote workers from anywhere in the world, providing access to a wider range of skills and expertise.

 

Section G: Summary

 

Flexible working refers to a variety of arrangements that allow employees greater control over when, where, and how they work. These options include remote working, part-time hours, flexitime, compressed hours, and job sharing.

For UK employers, offering flexible working can bring numerous benefits, such as increased productivity, improved employee morale, and the ability to attract a diverse talent pool. However, it also presents several risks and considerations that need to be addressed.

Employers must ensure that flexible working arrangements are suitable for their business operations. Some roles may not lend themselves easily to remote or flexible hours, especially those requiring in-person presence or strict deadlines. Communication and team collaboration can be more difficult when employees work from different locations, so employers need to invest in appropriate tools and set clear communication protocols.

There are also legal obligations to consider. Under UK law, employees now have the right to request flexible working from their first day of employment. Employers must handle these requests in a reasonable manner, and in line with statutory requirements, ensuring that decisions are made within a reasonable timeframe.

Balancing business needs with employee preferences, ensuring fairness across the workforce, and maintaining productivity are key factors for employers when implementing flexible working policies.

 

Section H: Need Assistance?

 

For specialist advice on how to deal with flexible working requests, and how to develop and implement an effective flexible working policy that supports both legal compliance and positive workforce relations, contact our experts.

 

Section I: Flexible Working FAQs

 

What is flexible working?
Flexible working refers to a variety of working arrangements that allow employees to have more control over when, where, and how they work. This includes options like remote working, part-time schedules, flexitime, compressed hours, and job sharing. The aim is to provide employees with greater flexibility while maintaining or enhancing productivity.

 

Do employees have a legal right to request flexible working in the UK?
Yes, under UK law, all employees have the statutory right to request flexible working for their first day of employment. Employees can make two formal requests per year, and employers must consider these requests in a “reasonable manner.”

 

Can employers refuse a flexible working request?
Employers can refuse a flexible working request, but they must first consult with the employee and provide valid business reasons for the refusal.

 

How can employers ensure productivity when offering flexible working?
To ensure productivity, employers should focus on outcome-based performance metrics, set clear goals, and use tools like task management platforms (e.g., Trello, Asana) to monitor progress. Regular check-ins, setting expectations for communication, and using collaboration tools can help manage workflows and keep remote employees engaged.

 

What types of flexible working arrangements are most popular in the UK?
The most common types of flexible working in the UK include remote working (working from home), flexitime (choosing when to start and end the workday), compressed hours (working full-time hours over fewer days), and job sharing (two employees sharing the responsibilities of one full-time role). Hybrid work models, combining office and remote work, are also increasingly popular.

 

What are the key benefits of flexible working for employers?
Employers can benefit from increased productivity, improved employee wellbeing, lower office costs, and enhanced talent attraction and retention. Flexible working can also reduce absenteeism and increase employee engagement, resulting in a more motivated and efficient workforce.

 

How should businesses implement a flexible working policy?
Businesses should start by assessing which roles can be adapted to flexible working and then create clear guidelines for working hours, expectations, and eligibility. Regularly reviewing the policy, setting clear performance metrics, and investing in communication and collaboration tools are essential to managing flexible working successfully.

 

How can flexible working improve employee wellbeing?
Flexible working allows employees to achieve a better work-life balance, reducing stress and improving mental health. By offering flexibility in managing personal commitments, employees are likely to feel more satisfied, engaged, and loyal, which leads to reduced absenteeism and higher overall productivity.

 

What are the challenges of flexible working, and how can they be overcome?
Common challenges include communication issues, managing remote teams, and balancing flexibility with business needs. These can be overcome by using the right digital tools, setting clear expectations, and regularly monitoring performance. Employers should also ensure that flexible working policies are balanced with operational requirements and continuously adapted based on feedback.

 

What does the future of flexible working look like in the UK?
The future of flexible working will likely see more companies adopting hybrid work models, where employees split their time between the office and remote work. There will be an increased focus on employee wellbeing, enhanced use of technology, and a shift in workplace culture to support more inclusive and flexible work arrangements. Businesses that embrace flexible working will be better positioned to attract top talent and stay competitive.

 

Section J: Glossary

 

Term	Definition
Flexible Working	A range of work arrangements allowing employees to adjust their working hours, location, or pattern.
Remote Working	An arrangement where employees perform their duties outside the traditional office environment, often from home.
Flexitime	A system that allows employees to vary their start and end times as long as they complete a set number of hours per week.
Compressed Hours	Working the same number of hours in fewer days, such as a 4-day workweek with longer daily hours.
Job Sharing	An arrangement where two or more employees share the responsibilities of one full-time role.
Part-Time Working	A work arrangement where employees work fewer hours than a full-time schedule, often spread across fewer days.
Hybrid Working	A blend of office-based and remote work, where employees spend part of their time working from the office and part remotely.
Employee Retention	The ability of a company to keep its employees from leaving, often improved through flexible working options.
Absenteeism	The frequent or habitual absence of an employee from work, often reduced through flexible work arrangements.
Work-Life Balance	The equilibrium between personal life and work responsibilities, often enhanced through flexible working.
Performance Monitoring	The process of tracking an employee’s productivity, output, and performance, particularly in a flexible or remote working environment.
Virtual Private Network (VPN)	A secure network that allows remote employees to access company systems securely from different locations.
Multi-Factor Authentication (MFA)	An extra layer of security requiring two or more verification methods to gain access to a system, used to protect data in remote work setups.
Core Hours	Specific hours during the day when all employees must be available to work, often used in flexitime arrangements.
Statutory Grounds for Refusal	Legal reasons an employer can lawfully refuse a flexible working request, such as cost, impact on quality, or performance.
Key Performance Indicators (KPIs)	Measurable goals or metrics used to assess employee performance, especially in flexible working environments.
Agile Working	A flexible working method focusing on delivering results, where employees choose how, when, and where they work.
ACAS	Advisory, Conciliation and Arbitration Service; provides advice on employment law and best practices, including flexible working.
CIPD	Chartered Institute of Personnel and Development; an organization offering resources on HR and workplace management, including flexible working.
Employment Rights Act 1996	UK legislation governing employee rights, including the legal right to request flexible working after 26 weeks of continuous employment.

 

Section K: Additional Resources

 

Acas – Flexible Working
https://www.acas.org.uk/flexible-working
Acas provides guidance on flexible working, covering the legal rights of employees and how employers should manage flexible working requests fairly and effectively.

 

Gov.uk – Flexible Working Overview
https://www.gov.uk/flexible-working
The official UK government resource outlining employees’ statutory rights to request flexible working and employers’ responsibilities in handling such requests.

 

CIPD – Flexible Working Factsheet
https://www.cipd.co.uk/knowledge/fundamentals/relations/flexible-working
The CIPD provides an overview of flexible working, including practical advice for employers on implementation and the benefits for businesses and employees.

 

Mental Health Foundation – Flexible Working and Mental Health
https://www.mentalhealth.org.uk/publications/flexible-working-and-mental-health
This resource explores the positive impact of flexible working on employee mental health, offering tips for employers on supporting wellbeing.

 

Chartered Management Institute (CMI) – Managing Flexible Workers
https://www.managers.org.uk/knowledge-and-insights/resource/managing-flexible-working/
CMI’s guide offers strategies for managing flexible workers, focusing on communication, performance, and leadership in a flexible working environment.

 

Working Families – Flexible Working for Employers
https://www.workingfamilies.org.uk/employers/flexible-working/
Working Families provides resources for employers to create family-friendly workplaces through flexible working policies, with a focus on legal considerations and best practices.

 

TUC – Flexible Working Guide
https://www.tuc.org.uk/research-analysis/reports/flexible-working-guide-employers
A practical guide from the Trades Union Congress (TUC) offering advice for employers on how to support and manage flexible working requests effectively.