Low-paid Workers Overwhelmingly Benefit From Homeworking but Are More Likely To Face Higher Financial Costs

LONDON, Dec. 8, 2021 /PRNewswire/ --

A new report and polling by Demos on the experiences of low-paid homeworkers show that:

• Nearly all low-paid homeworkers (94%) would prefer to work from home at least some of the time in the future - the same proportion as all homeworkers (94%).
• 69% of low-paid homeworkers say that working from home is good for their work-life balance.
• However, low-paid workers report their costs increasing by £10 per month due to homeworking, while high-paid workers report savings of £63 per month.
• Nearly half (46%) of low-paid hybrid workers report spending more due to homeworking. On average low-paid hybrid workers report spending £39 more per month due to working from home some of the time, suggesting that this option could be the 'worst of both worlds' from a financial perspective.
• A quarter of all homeworkers (25%) and of low-paid homeworkers (28%) say that "feeling lonely" is a challenge for them when working from home.
• A fifth of all homeworkers (21%) and of low-paid homeworkers (23%) identify "lack of space" as a challenge when working from home.
• Low-paid workers are also less likely to be able to work from home: nearly nine in ten (87%) low-paid non-homeworkers say that it would be impossible for them to work from home in their current job.

A new report by Demos, commissioned and supported by housing association Stonewater, shows that low-paid workers' experiences of home working have generally been positive, but that there are some challenges that need to be overcome.

The report, published today (Wednesday 8 December 2021), highlights that the increase in homeworking after the pandemic is largely seen as a positive trend by workers, including low-paid workers, despite mixed messaging from the Government about its future.

With more than half (53%) of workers in the UK doing some work from home at the time of our polling in September, 74% of all homeworkers and 75% of low-paid homeworkers say that homeworking is good for their productivity, and 73% of all homeworkers and 69% of low-paid homeworkers say that working from home is good for their work-life balance.

Stonewater commissioned Demos' research to identify the barriers and challenges faced by low-paid workers in being able to work from home – including enabling more low-paid workers to experience the benefits of doing so. With the report's publication, they hope to see more being done to tackle the fact that benefits are not experienced equally – especially hybrid workers who may not see the same benefits as those who work from home all of the time. On average, low-paid homeworkers report their costs increasing by £10 per month (£122 per year) due to homeworking, while high-paid homeworkers report saving £63 per month (£758 per year). However, the situation appears to be worse for some hybrid workers (those who work from home only some of the time): 46% of low-paid hybrid workers are seeing their costs increase. On average, low-paid hybrid workers report spending £39 more per month (£468 per year) due to working from home.

With winter coming and energy bills rising, the fact that 60% of homeworkers say they are spending more on gas and electricity than they would have if they were working in an office suggests that without intervention from government and employers; many low-paid homeworkers will face increasing financial pressure in the coming months.

The report sets out several recommendations to government and employers to ensure that low-paid homeworkers do not incur additional costs – including that employers should support their employees with additional energy, internet or equipment costs incurred by having to work from home.

Nicholas Harris, Chief Executive Officer of Stonewater, said:

"We recognise that the way we work has shifted for many and it is unlikely that we will ever go back. As a housing association, we want to make sure that we are as responsive as we can be to the future needs of our customers, ensuring the homes we provide are places where customers can thrive."

"New ways of working present a significant opportunity with where you live becoming less of a factor about the type of work you can access. We are in a unique position to examine the impact of new ways of working, speaking directly to colleagues and customers up and down the country, who may be adjusting to significant changes in the way they work or possibly facing barriers in accessing new opportunities."

"While the shift to homeworking presents many possibilities, it also presents challenges, particularly for low-paid employees who might face increased costs and/or lack the provision, connectivity and space to work from home. It is also the case that many low-paid workers will not be able to work from home at the moment. We hope that the recommendations in this report will help to overcome these challenges, making sure everyone has the same opportunity to thrive as we adjust to a new normal."

"Demos' work will help Stonewater and other employers to support their workers, and we are delighted that this report sets a clear direction for the future of working, and how we can ensure that our customers and those on lower incomes have the opportunity to see the benefits of homeworking that many higher earners have."

Ben Glover, Deputy Research Director at Demos said:

"The Covid-19 pandemic has transformed the way that many of us work. Much of the focus has been on better-paid home workers, overlooking the experiences of low-paid homeworkers who may continue to work from home for the long-term."

"Low-paid homeworkers told us they overwhelmingly welcome the shift to remote work. But there are some specific challenges that need addressing: working from home is more likely to cost low-paid workers than others, for example."

"What's more, too few low-paid workers are able to work from home. That's why we are calling on the government to make employment contracts flexible by default - a first step to widening access to homeworking."

NOTES TO EDITORS:

The report, "Inside Jobs: The experience of low-paid homeworkers in Britain today", by Andrew Phillips (Demos), will be published at 06:00 on Wednesday 8 December 2021 via https://demos.co.uk/project/inside-jobs/.

It is being launched at an event on Wednesday 8 December 2021 at 3.00pm. Speakers include Tulip Siddiq MP (Sponsor of the Flexible Working Bill), Peter Cheese (CEO of the CIPD and Co-Chair of the Government's Flexible Working Taskforce) and James Prestwich (Director of External Affairs and Policy at the Chartered Institute of Housing). You can register via https://register.gotowebinar.com/#register/6264672427107361808.

Researchers conducted two polls in September 2021, the first a poll of homeworkers, and the second a poll of all workers. Both polls had a total of 2,000 respondents who were aged 18 or over in England, Scotland and Wales. The poll of all workers was weighted to be representative of the working population of Great Britain, and the poll of homeworkers was weighted to be representative of homeworkers in Great Britain.

About Stonewater:

Stonewater is a leading social housing provider, with a mission to deliver good quality, affordable homes to people who need them most. We manage around 34,500 homes in England for over 76,000 customers, including affordable properties for general rent, shared ownership and sale, alongside specialist accommodation such as retirement and supported living schemes for older and vulnerable people, domestic abuse refuges, a dedicated LGBTQ+ Safe Space, and young people's foyers.

For more information, visit our website at www.stonewater.org