Flexible Working To Contribute US$10TR To Global Economy By 2030
Flexible working will save businesses money, reduce costs and boost productivity, causing a ripple effect across entire economies
Hong Kong could see an economic boost of as much as US$58.8 billion (approx. HK$ 459 billion) annually and a gross value added (GVA) increase of 88.6%
A rise in flexible working also benefits individuals, set to save people 3.53 billion hours of commuting time by 2030
October 19 2018, Hong Kong – A predicted boom in flexible working could contribute US$10.04 trillion to the global economy by 2030, according to the first comprehensive socio-economic study of changing workplace practices. The analysis, commissioned by Regus and conducted by independent economists, studied 16 key countries to delve into the state of flexible working both now and through 2030.
The study suggested that the demand for flexible workspace will continue to increase mainly because of technology disruption. People are no longer required to work in a fixed location as long as they can communicate and connect with each other. Moreover, it is also becoming more common for companies to have multi-business project teams which mean more flexibilities are required to respond to a more dynamic and fast-moving competitive environment. Flexible working is undoubtedly the best solution for them.
Regus found that between 8% and 13% of all employment will be associated with flexible workspaces in most developed economies by 2030, including Hong Kong. Greater levels of flexible working will save businesses money, reduce operating costs and boost productivity – ultimately causing a ripple effect across the economy from core businesses through to supply chains.
The specific benefits include higher business and personal productivity, lower overheads for office space for companies using flexible workspace, and millions of hours saved commuting. All of these factors contribute to flexible working’s gross value add to the economy.
China and India are predicted to see the greatest gross value added (GVA) increase from flexible and remote working, potentially seeing an increase of GVA of 193% and 141% in their respective economies. This equates to US$1.4 trillion (approx. HK$10.9 trillion)for China and as much as US$375.8 billion (approx. HK$2.93 trillion)for India each year. While Hong Kong’s GVA related to flexible working is predicted to see an 88.6% increase at US$58.8 billion (HK$459 billion) by 2030.
The study found that flexible working doesn’t just benefit economies – it also helps individuals. Remote workers are almost twice as likely to say they love their job as those in the same industry working in a traditional workspace.
A huge factor in this may be the time individuals save due to remote and flexible working. According to an accelerated growth model, which lays out a scenario for the uptake of flexible working at a higher-than-current rate, cutting out the commute by working remotely could save 3.53 billion hours globally by 2030. That is equivalent to the time spent at work every year by 2.01 million people.
People in China, the US, India, and Japan will see the greatest hours saved in the commute under the accelerated growth scenario. By 2030, China could save more than 1.37 billion hours per annum while Hong Kong could save 5 million hours per annum by cutting out the commute with flexible working.
“Flexible working offers significant contributions to society, from giving people more of their personal time back, to boosting the economy via job creation and improved productivity. These projections show flexible working is a strong economic force that businesses and people should embrace in the years to come,” said Nancy Yip, Area Director of IWG Hong Kong.
“It is exciting to see an increasing number of businesses in Hong Kong offering greater flexibility to employees at the workplace. We believe flexible working is certainly a win-win solution for both employees and employers, and it is a cornerstone for the city to further enhance its productivity in a long run.”
REGUS UPDATES MEMBERSHIP SCHEME
Responding to the different working needs of businesses and individuals around the world, Regus has announced a new membership scheme that offers three options: lounge, co-working, and office space. Whether it’s access to a lounge to check on emails or an individual office for a private meeting, Regus members have the flexibility to choose the option that suits their needs.
The new membership scheme makes it easier for anybody to enjoy the benefits of flexible working. All members also enjoy unrivaled access to around 3,500 locations in over 1,100 towns and cities in 120 countries around the world, all for a starting price of just HK$1,680 per month.
ABOUT REGUS Regus is the leading global workspace provider. We have built an unparalleled network of office, co-working and meeting spaces for companies to use in every city in the world. It’s a global infrastructure built for businesses to support every opportunity.
Our network of workspaces enables businesses to operate anywhere, without the need for set-up costs or capital investment. It provides our customers with immediate cost benefits and the opportunity to fully outsource their office portfolio. Designed to enhance productivity and connect 2.5 million like-minded professionals, it’s an instant global community and a place to belong.