AT&T Employees Telecommute

Telecommute is the practice of working at a location other than the normal workplace and communicating with your fellow workers through the phone, typically with a computer and modem. More companies are are adding the benefit of telecommuting to the list of perks to keep employee turnover rates low. For companies, having Virtual Employees are an absolute benefit of keeping business operating costs low. It has proven itself over time to keep employee moral high as there is increased productivity. Working from home also cuts down on traffic congestion and released vehicle emission, which also results in fewer commuter accidents. The International Telework Association and Council (ITAC) survey shows that average of 35,000 AT&T employees telecommute while 56% of managers telecommute once a month, 27% one day a weel and 11% telecommute 100% of the average work year. AT&T has developed Alternative Officing, a comprehensive program that currently allows 30,000 employees nationally to telecommute on a regular basis from home.

AT&T conducted a five year study of 600 telecommuters and concluded the following:

• The most substantial savings were in reduced real estate costs. By allowing employees to telecommute, AT&T was able to close an entire office complex. Annual Real Estate Savings: $6,333,124.
• In addition to hard cost savings, there were substantial productivity gains. AT&T, based on employee interviews, estimates a conservative gain of two and a half hours per employee per week in time worked. Annual gain due to increased productivity: $5,112,841.
• Also, employees state almost without exception that they were able to be more productive during the hours they worked, due primarily to fewer interruptions. Annual gain due to increased efficiency: $3,127,617.
• There were, of course, start-up costs associated with setting up employees to work at home.Office alterations averaged $3,000 per employee and computer/phone installations averaged $4,000 per employee. These costs were depreciated over five years and $1,250 per employee per year was added for phone, fax, copy and postage bills. Annual costs: $3,205,507. AT&T Cost Savings & Productivity Gains Real Estate Savings $6,333,124 Productivity Gains Hour $5,112,841 Productivity Gains Efficiency $3,127,617 Total $14,573,582 Less Costs (3,205,507) Net Annual Gain $11,368,075

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