Google AI


Modern Australian

Working from home is producing economic benefits return-to-office rules would quash

  • Written by: Leonora Risse, Associate Professor in Economics, University of Canberra
Working from home is producing economic benefits return-to-office rules would quash

More of us have been in paid work this past year than ever before. A big part of that is because more of us have been able to work from home than ever before.

The proportion of Australians in paid work climbed above 64% in May last year, and has stayed there since. At the same time, unemployment has hovered around a half-century low of 4%.

In April last year, female unemployment fell to what is almost certainly an all-time low of 3.3%.

It’s working from home – actually, working from anywhere – that has been the game-changer, as the most enduring change to the way we work to have come out of the pandemic.

The jump in working from home

Before the pandemic, in 2019, the share of the workforce who usually work at least partly from home was 25%. Three years on in 2022, it was 36%.

These numbers from the latest Household, Income and Labour Dynamics in Australia (HILDA) Survey show there’s also been a shift in who’s working from home.

Before the pandemic, a greater share of men than women worked from home. Now it’s a greater share of women.

Among both women and men, the biggest jump has been among parents with young children.

The proportion of mothers with children under five working at least partly from home has leapt from 31% to 43%.

The working-from-home rate for fathers with children under five has jumped from 29% to 39%.

Read more: Fancy an e-change? How people are escaping city congestion and living costs by working remotely

Which workers, which jobs?

Before the pandemic, managers and professionals were the workers most likely to work from home. They still are, with up to 60% dialling in from the home office for at least part of their work week.

But it’s clerical and administrative workers – occupations that are about three-quarters female – who had the biggest jump in working from home. Their pre-pandemic rate of 18% has soared to 42%.

In terms of industries, finance and insurance led the pack before the pandemic and still do, with rates doubling to 85%.

Working from home is now also the norm in information media and telecommunications (74%) and public administration and safety (72%).

In the traditionally male industry of construction, women’s working-from-home rates have soared from 34% to 45%.

It’s well above the men’s rate of 24%, which is largely unchanged.

While this reflects the different types of jobs that men and women do in construction, it also suggests working from home is a way to boost women’s involvement, even in this industry.

More workers, better-matched

The benefit of working from home for the economy has been fewer obstacles getting in the way of matching jobseekers to employers. Distance and location are no longer the deal-breakers they were.

Better job-matching means less unemployment, and the heightened prospect of finding a good job match encourages jobseekers who in earlier times might have given up.

In finance and insurance – the industry with the biggest and fastest-growing rate of working from home – the proportion of jobs that were vacant fell from 2.5% before the pandemic to just 1.7% by the end of 2023.

Return-to-office mandates would set us back

Making workers return to the office for jobs that can be effectively done from home would unravel the economic benefits that have been achieved.

Fewer people, especially women and parents with young children, would put themselves forward for work. The pool of skills that employers are looking for would shrink. And job-matching in the labour market becomes less efficient.

The result would be more Australians unemployed, and more Australians dropping out of the paid workforce, than if we had continued to embrace working from home.

Read more: Can employers stop you working from home? Here's what the law says

Working from home still comes with challenges. Workers who are less visible in the office are more likely to be overlooked.

But it has a wider economic benefit we have a chance to hold on to.

The extraordinary transformation of our labour market means it shouldn’t be seen as a “favour” to workers, but as a favour to us all.

Authors: Leonora Risse, Associate Professor in Economics, University of Canberra

Read more https://theconversation.com/working-from-home-is-producing-economic-benefits-return-to-office-rules-would-quash-223091

Pool and Deck Design: How to Plan the Perfect Outdoor Living Space for Your Sydney Home

For many Australians, the backyard is where life happens. Summer barbecues, weekend swims and long evenings outdoors are all part of the lifestyle, ...

Is Solar Pool Heating Worth It? What Sydney Homeowners Should Know

There's nothing quite like a backyard pool on a hot Sydney day. But once autumn rolls in, many pools sit unused for months because the water is simp...

Planning a Luxury House Move: A Week-by-Week Timeline for Prestige Sydney Homes

Selling or buying a prestige home is a major milestone. Whether it's a waterfront residence in Birchgrove, a grand Federation home in Haberfield or ...

Downsizing or Upgrading Your Caravan? Here's How to Sell It Without the Hassle

Selling a caravan can feel like a major task, especially when you are unsure about its value, paperwork, or how to find a buyer. Whether you are dow...

The Best Overseas Adventure Holidays for Australians Who Love the Outdoors

Australia offers no shortage of incredible outdoor experiences, but sometimes the best way to satisfy your sense of adventure is to head overseas. A...

Cape Town Wine Shuttle: Winelands Tasting & Tours

Embark on an unforgettable journey through the picturesque Cape Winelands, where world-class wines and breathtaking scenery await. Our Cape Town Win...

Metal Fabrication: Choosing Metal Fabrication Melbourne Services for Custom Projects

What Modern Metal Fabrication Involves From individual components to complete structures, metal fabrication brings together processes such as desig...

Why Giant Rats Tail Grass Keeps Coming Back After Spraying

Giant Rats Tail Grass (GRT) is one of the most frustrating pasture weeds for farmers and lifestyle property owners. You spray an infested area, see th...

When Custom Cardboard Boxes Make Sense for Your Business

Custom cardboard boxes can be useful when a standard carton does not fit a product, packing method or presentation requirement particularly well. A ...

Bottle Label Printing: Key Factors for a Professional Finish

Why the Printing Method Matters When businesses need packaging or printed containers developed for a particular application, the right supplier can m...

Virtual Livestock Fencing and GPS Tracking: Improving Visibility Across Cattle Properties

What Virtual Livestock Fencing Means for Modern Cattle Management Managing cattle across extensive properties requires more than knowing where anim...

Sydney Pawnbrokers Explained: How Hocking Your Car Actually Works

Sometimes you need cash, and you need it soon. If you own a car, you may already have a way to get it. That's what people mean when they say they've...

Moving Interstate from the Gold Coast to Brisbane (or Back)? What Removalists Wish You Knew First

Have you talked to anyone who’s done the move? They say the same thing: the drive up the M1 is the easy part. It's everything around it that catches...

Why the Spring School Holidays Are a Great Time to Visit Coffs Harbour

The spring school holidays are a good time to spend a few days on the Coffs Coast. The weather is starting to warm up, there is plenty to do outdoor...

What to Do When an Older Car Is No Longer Worth Keeping in Melbourne

Ever looked at another repair quote and wondered whether your old car is still worth the trouble? It is a common turning point for Melbourne motoris...

Your Baby's First Year: A Local Guide to Feeding, Sleep, and When to Get Extra Support

Ask ten parents in a Brisbane mothers' group how their baby is feeding or sleeping, and expect ten different answers.  Someone's baby sleeps throug...

Kitchen and Laundry Makeover Ideas That Don't Require a Full Renovation

Full kitchen renos are expensive — and most people don't actually need one.  They need the kitchen to stop looking like it's stuck in 2009, or they...

How Technology Is Reshaping the Modern Australian Commercial Kitchen

The commercial kitchen has always been shaped by technology. Refrigeration changed how ingredients could be stored, modern ventilation transformed k...