Telecommuting to stave off layoffs?

Companies are trying all sorts of cost-cutting measure to weather the lousy economy. More than half of the HR pros who took part in a new survey by Challenger, Gray & Christmas say they’ve had to reduce headcount. In addition, some companies are using other means to trim expenses, including telecommuting. My colleague Denise Dubie reports that 6% of the companies surveyed have cut their office space expenses through increased telecommuting. Other cost-cutting tactics include cutting travel expenses (cited by 66.7% of those surveyed by Challenger, Gray & Christmas), freezing hiring (57.8%), cancelling holiday parties (32%), reducing year-end bonuses (26.7%) and cutting workers’ hours (24.4%). The 6% of companies that are using increased telecommuting to reduce expenses clearly are the minority. Often there’s no immediate real-estate payoff when employees are allowed to telework — obviously corporate leasing arrangements can’t be re-jiggered overnight to allow for fewer onsite employees. But for those companies thinking long-term, adding to the telecommuting ranks can yield significant savings in real estate costs in the years ahead. Plus, allowing employees to telework can increase their job satisfaction, which is key during times when raises and bonuses are tough to come by.