Is working from home better or worse than working in office?
Pro Research Analysisby 
Searched over 200M research papers
Is Working from Home Better or Worse than Working in the Office?
Performance and Productivity: Work from Home vs. Office
Increased Productivity in Work from Home Settings
Several studies have shown that working from home (WFH) can lead to increased productivity. For instance, an experiment at Ctrip, a Chinese travel agency, revealed a 13% performance increase among employees working from home. This boost was attributed to fewer breaks, fewer sick days, and a quieter working environment, which allowed employees to make more calls per minute1 7. Similarly, a systematic review found that non-mandatory WFH arrangements generally led to higher productivity and performance6.
Mixed Results During the Pandemic
However, the impact of WFH during the COVID-19 pandemic has been mixed. While some employees reported increased efficiency, others experienced a decline in productivity due to distractions and lack of proper work equipment3 4. A review of literature during the pandemic showed that only 23% of studies reported positive effects on productivity, while 38% showed mixed results, and another 38% indicated negative effects6.
Employee Satisfaction and Well-being
Improved Job Satisfaction and Reduced Attrition
WFH has been associated with higher job satisfaction and lower attrition rates. The Ctrip experiment noted that employees working from home reported improved work satisfaction and a 50% reduction in attrition rates1 7. Another study found that hybrid WFH arrangements reduced attrition rates by 35% and improved self-reported work satisfaction scores5.
Well-being and Work-life Balance
The flexibility of WFH has also positively impacted employees' well-being and work-life balance. A survey of academics found that 70% believed they would be similarly or more efficient if they could spend more time working from home in the future. Additionally, 66% preferred to work more from home to improve their well-being3. However, the lack of social interaction and proper work equipment were noted as significant challenges4 8.
Challenges and Drawbacks
Communication and Collaboration Issues
One of the main drawbacks of WFH is the difficulty in maintaining effective communication and collaboration. Employees working from home reported feeling isolated and found it challenging to share thoughts and keep in touch with their teams3 4. A study involving European countries found that co-workers working from home negatively impacted individual and team performance, highlighting the importance of in-person interactions for effective teamwork10.
Promotion and Career Advancement
Another concern is the impact of WFH on career advancement. The Ctrip experiment showed that while WFH employees had higher performance, their promotion rates were lower compared to their in-office counterparts1 7. This suggests that visibility and networking opportunities in the office may play a crucial role in career progression.
The Future of Work: Hybrid Models
Hybrid Work as a Balanced Approach
Given the mixed results, many researchers advocate for a hybrid work model that combines the benefits of both WFH and office work. This approach allows employees to enjoy the flexibility and comfort of working from home while maintaining the social and collaborative advantages of the office2 5. Implementing hybrid work models requires careful planning, creativity, and trust from both employers and employees to maximize the benefits2.
Design and Policy Considerations
To support hybrid work, organizations need to invest in proper home office setups and ensure that employees have access to necessary equipment and resources. Additionally, policies should be aligned with business goals to foster a resilient and inclusive work environment4 6.
Conclusion
In summary, working from home offers several benefits, including increased productivity, improved job satisfaction, and better work-life balance. However, it also presents challenges such as communication issues, potential isolation, and impacts on career advancement. A hybrid work model that combines the advantages of both WFH and office work appears to be the optimal solution for the future, requiring thoughtful implementation and support from organizations.
Sources and full results
Most relevant research papers on this topic
Does Working from Home Work? Evidence from a Chinese Experiment
Working from home in China's Ctrip travel agency led to a 13% performance increase, improved work satisfaction, and a halved attrition rate, with the option being rolled out to the whole firm.
RCT
Highly CitedWorking from Home vs. In-office post-COVID-19
A hybrid approach combining remote and in-office work is the optimal future of work, benefiting both employees and employers, but requires time, creativity, trust, and mindset shifts.
Researchers working from home: Benefits and challenges
Working from home can improve efficiency and work-life balance for academics, with 70% believing they could be similarly or more efficient if allowed to spend more time at home.
Observational Study
Rigorous JournalHighly CitedWork from Home: Lessons Learned and Implications for Post-pandemic Workspaces
During COVID-19, more people worked from home, but experienced distractions and challenges in workspace design, supporting hybrid work options and design strategies for accommodating home offices in the future.
Observational StudyHow Hybrid Working From Home Works Out
Hybrid working from home reduced attrition rates by 35% and improved job satisfaction, leading to increased productivity and reduced work hours.
RCTHighly CitedWorking in the digital economy: A systematic review of the impact of work from home arrangements on personal and organizational performance and productivity
Non-mandatory work-from-home arrangements can positively impact productivity and performance, but mandatory arrangements or external factors can negatively impact these outcomes.
Systematic ReviewRigorous JournalReproduction of 'Does Working from Home Work? Evidence from a Chinese Experiment *'
Working from home in China's CTrip travel agency led to a 13% performance increase and improved work satisfaction, but promotion rates conditional on performance declined.
RCT
Large Human TrialHighly CitedWorking from Home, Telework, and Psychological Wellbeing? A Systematic Review
Telework generally positively impacts short-term staff wellbeing and creates flexible work design opportunities, but more research is needed to optimize wellbeing and productivity.
Systematic ReviewHaving to Work from Home: Basic Needs, Well-Being, and Motivation
During the COVID-19 pandemic, employees adapted well to working from home, with motivation and well-being indicators showing adequate levels and increasing trajectories.
Observational StudyRigorous JournalCo‐workers working from home and individual and team performance
Working from home negatively impacts individual and team performance, with more co-workers working from home leading to worse performance in both groups.
Observational StudyHighly CitedTry another search
How do we address the problem of induction and scientific inference?
What factors influence Employee Retention (ER)?
The ethics and implications of autonomous vehicles in transportation and urban planning.
What are the health impacts of blue light exposure from screens?
How human and technology influence each other in city life
What is the Comparative studies on democratic institutions?