One Third of Australians Working Remotely Open to Salary Reduction for Improved Work-Life Balance
The survey results show that nearly half of Australian employees are willing to take a salary cut in exchange for the option to work remotely, bringing Australia close to the global average of 36 percent who prefer this trade-off.
According to a survey conducted by Capterra, some Australian workers prioritize flexibility over salary, as evidenced by their willingness to accept pay reductions to continue working from home.
Out of 2,716 participants from 11 countries internationally consulted in March, 248 employees from Australia were included in Capterra’s 2024 Cost of Work survey.
The findings revealed that 46 percent of Australians work exclusively in company offices, 41 percent have hybrid work arrangements, and only 10 percent work fully remotely.
About 34 percent of Australian remote workers are open to a salary decrease in exchange for remote work benefits, slightly below the global average of 36 percent.
Employees consider the trade-off worthwhile, citing work-life balance and geographical flexibility as key factors influencing their decision to accept reduced pay.
Significantly, only 12 percent of Australian workers live within 5 kilometers of their workplace, much lower than the global average of 21 percent, with many citing petrol costs as their biggest commuting expense.
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Conversely, some employees prefer the traditional on-site work model and are willing to accept pay reductions for that privilege.
Many companies now require a return to full-time or part-time on-site operations for their employees.
Nevertheless, some employees are hesitant to return to the office after experiencing remote work or hybrid arrangements during the pandemic.
Those working remotely or in hybrid setups find their home workspaces sufficient for productivity and comfort in completing their daily tasks.
Remote workers emphasize the ability to customize their work environment for enhanced workflow, comfort, and productivity.
Capterra recommends strategies for companies to encourage employees to return to on-site offices, including creating modern and comfortable workplaces, involving employees in remote work decisions, and providing benefits to address on-site work challenges.
Popular benefits for employees include free or subsidized food, flexible work schedules, and commuter benefits.
In a separate study by the University of South Australia, 45 percent of workers were open to accepting a pay cut for remote work flexibility.
The research, based on over 1,100 Australian workers surveyed from 2020 to 2021, revealed that the average worker would sacrifice 4-8 percent of their annual salary (approximately $3,000-$6,000) in exchange for remote work.
However, over 55 percent of participants were unwilling to trade part of their salary for remote work, citing concerns about productivity, wellbeing, and the lack of perceived benefits from working remotely.
