The shift towards working from home is likely to mean older employees continue working for longer and remain in better health with less sickness absence.
A report from the Office for National Statistics (ONS) suggested that where employees over 50-years-old had been able to work from home they had reported improved productivity, health and general wellbeing.
The ONS noted the proportion of older workers planning to work from home following the pandemic was higher than the proportion who worked from home before, suggesting any benefit may persist.
And it highlighted that previous research has shown that flexible working is a factor in enabling older workers to remain in the labour market for longer.
Last summer, older workers working entirely from home were more likely to say they were planning to retire later compared with those not working from home.
“It appears that working from home all or some of the time has benefits for both older workers themselves and their employers,” the ONS said.
“From a business perspective, most older workers say their productivity is increased (although the evidence is not clear), there is a decrease in absenteeism and by offering working from home as an option employers are more likely to attract and retain older workers.
“From the individual older worker’s perspective, their wellbeing and work-life balance improves, health issues appear to be better accommodated and there is some evidence that working from home facilitates older workers to remain in the labour market for longer,” it added.
Reduced sickness absence
The report noted that across all ages, those who mainly or recently worked from home had a lower sickness absence rate than those who never or only occasionally working from home.
It suggested this could be because those working from home have less exposure to illnesses and when unwell, they may be more likely to feel able to work than those who travel to a workplace.
“Sickness absence rates are higher among older workers aged 50 years and over than younger workers, an increase in working from home among older workers may help lower these rates.
Pre-pandemic in 2019, those older workers with a limiting long-term illness who were working from home were less likely to have been on long-term sickness absence in the last 12 months than those not working from home – 8% compared with 14%.
While three-quarters of older workers working from home all or some of the time said they were able to get the same or more done than pre-pandemic, around a quarter reported decreased productivity.
And while there was the expectation that home working would improve life for many older people, there was also the risk of further embedding inequalities for those unable to switch.
“Those who were less likely to have been able to switch share many of the characteristics of those exiting the labour market early; they are more likely to have poor health, to live in deprived areas, to have lower or no qualifications and to have lower wellbeing than those who did not,” the ONS said.
“Therefore, while increased working from home among older workers may benefit some, inequalities may become further entrenched.”