Here’s Our Guide to 7 Types of Flexible Work Arrangements (+ Pros, Cons & Use Cases)
Flexible work arrangements are one of the top reasons employees love their jobs. And conversely, a lack of flexibility is a big reason why 42% of employees quit.
These figures indicate a major trend—flex work is no longer a perk, it’s something employees are actively seeking out. And it’s great to see more companies jumping on this trend and adapting. Our 2024 State of Hiring report found that flexible work is the number one strategy businesses are planning to use to attract and retain top talent while staying competitive.
Want to stay on top of this emerging trend? In this Willo article, we explain what flexible work arrangements are and why they’re so important, and introduce you to a few flexible work arrangements you might want to implement.
For those looking to dive deeper into implementing these strategies, check out the Embracing Flexibility report.
What Is a Flexible Work Arrangement?
A flexible work arrangement is a kind of work schedule that breaks from the traditional 9-to-5, Monday-to-Friday model. It gives employees some degree of freedom over when, where, and how they work.
In more practical terms, it can mean employees have the option to:
- Work remotely or on a hybrid schedule
- Choose their own work hours
- Take breaks or personal time during the day as needed
- Share duties and responsibilities with peers
…and countless other combinations and variations. The uniting factors? More freedom for your employees, trust that they'll get the job done, and a focus on results and outcomes rather than hours as measures of effort, talent, and dedication.
Why Flexible Work Arrangements?
Improved work-life balance
The majority (61%) of employees wouldn’t consider a job they perceive as having a poor work-life balance, and 48% would leave their current job if their work-life balance started to suffer. A flexible work arrangement is one of the quickest ways to give employees the balance they want.
For example, 53% of employees say remote work improves their work-life balance. And while you may not be open to fully remote positions, there are tons of other flexible options that will improve work-life balance for your employees.
Increased productivity
Lots of studies are starting to show that flexibility can actually be a route to increased productivity.
One major factor at play here is trust. Slack recently surveyed more than 10,000 workers on a number of workplace-related issues. What they found was that employees who felt trusted were 2X more productive than those who didn’t.
And while flexible work isn’t the only way to demonstrate trust in your employees, it is a very effective way. One study found that after a year of flexible work, 62% of employees feel more trusted by their employers.
Attract and retain top talent
Earlier, we mentioned that 61% of employees wouldn’t consider a job that didn’t offer flexible work options. This means that if you aren’t offering (and advertising) flexibility, you’re missing out on top talent.
Source: Willo 2024 State of Hiring
This is something that lots of recruiters are recognizing. In our 2024 Hiring Trends Report, offering more flexibility was the most common change recruiters were implementing to adapt to current market conditions and trends.
7 Popular Flexible Work Arrangements
1. Remote Work
Remote work is an arrangement that lets employees perform their job duties from any location other than a shared office.
Source: Buffer State Of Remote Work 2023
According to Buffer's State of Remote Work report, 98% of employees would like to work remotely (at least partially) for the rest of their careers.
Different companies have different rules regarding things like:
- Countries and time zones: Do employees need to be located in the same country or time zone? Are any countries or time zones off-limits?
- Working hours: Are employees expected to work certain hours or in certain time zones? Are there any restrictions on when they can work?
Remote work has become even easier to implement these days thanks to tech advances. It’s now easier for employees to stay connected, get aligned on tasks, and access the resources they need from anywhere.
For example, with Willo, you can run a fully remote recruiting team. Candidates submit async interviews for review, and your team collaborates with scorecards, sharing tools, comments, and more.
Pros
- Eliminates commuting, saving both time and money.
- Provides employees with greater autonomy over work environments.
- Improves work-life balance.
Cons
- Can lead to feelings of isolation due to the lack of face-to-face interaction.
- May blur the line between work and personal life, making it harder to "switch off."
- International currency differences can create discrepancies in pay and benefits.
Best for
- Employees who prefer working independently.
- Companies looking to limit office space costs.
- Jobs that don’t require in-person meetings.
2. Flextime
Flextime is a work arrangement that lets employees pick their start and end times within a given range as long as they meet their required hours.
For example, if an employee needs to work eight hours a day, they could opt for a 7 AM to 3 PM shift instead of the usual 9 AM to 5 PM shift. They could also break the 8 hours into smaller chunks, such as working from 10 AM to 1 PM and then again from 5 PM to 8 PM.
You can add some additional flexibility by giving employees weekly or monthly quotas. This allows them to work more or less on certain days, depending on their needs.
Pros
- Employees can work during their peak productivity hours.
- Flexibility in hours can reduce the need for unscheduled leave.
- Employers retain control over the overall work schedule.
Cons
- Scheduling meetings and collaborative work can get tricky.
- May reduce face-to-face interaction among team members.
Best for
- Teams that don’t need constant real-time collaboration.
- Companies looking to boost employee satisfaction and productivity.
- Teams where results matter more than specific hours (e.g., marketing teams).
3. Compressed workweek
A compressed workweek allows employees to fit their full-time hours into fewer days than the traditional five-day workweek. For example, let's say your full time employees work 5 x 8-hour days per week.
With a compressed work week, they would instead work:
- 4 x 10-hour days
- 3 x 12-hour days
Most companies that implement this model opt for the four-day workweek, where employees have a three-day weekend. The three-day setup means very long hours, and you start to see diminishing returns on productivity after 10 hours.
Pros
- Employees get an extra day for personal activities.
- Fewer work days mean less commuting and travel expenses.
- A longer weekend can boost job satisfaction and morale.
Cons
- Extended work hours might lead to fatigue and decreased productivity over time.
- Client and customer-facing roles struggle to adapt to compressed schedules.
- There might be gaps in coverage if not everyone is on the same schedule.
Best for
- Project-based jobs or roles with fluctuating workloads.
- Entirely internal roles (i.e., roles that don’t interact with clients and customers that aren’t on compressed schedules).
- Employees who appreciate having extended weekends.
4. Job sharing
Job sharing is an arrangement where two employees team up to handle the duties of a single full-time position. Each person works part-time, but together, they are able to fulfill the responsibilities of a full-time role.
This setup is great for employees who want part-time hours or have other commitments but still want to stay in the workforce. Plus, the two employees can trade off hours and responsibilities to increase flexibility.
Pros
- Keeps talented employees who need reduced hours on board.
- Combines two different skill sets and perspectives in one role.
- Offers employees a better work-life balance by splitting tasks.
Cons
- Requires significant and ongoing communication between the sharers, which some employees may not want to do (or may not have the skills to do well).
- Could result in inconsistent work quality and performance.
- Might need more oversight to ensure smooth collaboration.
Best for
- Roles where tasks or days can be split easily, like customer service, administrative work, or projects with distinct phases.Companies looking to retain skilled part-time workers.
- Positions that benefit from a mix of skills and perspectives.
5. Part-time and fractional work
Part-time work is a classic flexible arrangement where employees work fewer hours than the usual full-time schedule. The flexibility comes with how you schedule those hours—employees may work every day for fewer hours or only a few days a week.
Pros
- Cuts down on labor costs without losing access to skilled workers.
- Allows employees to stay employed while juggling other commitments.
- Helps keep employees who can’t commit to full-time hours.
Cons
- Part-time employees might not be around for urgent tasks.
- Working fewer hours can make employees feel less connected to the company.
- Full-time staff might see part-timers as less committed, which could affect team dynamics.
Best for
- Employees who want to balance work with other responsibilities.
- Companies in retail, hospitality, or seasonal industries can benefit from part-time workers who can be scheduled during peak hours or busy seasons.
- Companies looking to manage labor costs while keeping skilled workers on board.
6. Shift work
Shift work is an arrangement that allows employees to clock in outside the usual 9-to-5 schedule—like evenings, overnights, or weekends. This setup is a staple in industries that need to keep the wheels turning 24/7, such as healthcare, manufacturing, and customer service.
Pros
- Keeps your business running smoothly around the clock.
- Gives employees the flexibility to choose shifts that fit their personal lives.
- Shift differentials can sweeten the deal for those non-traditional hours.
Cons
- Odd hours can mess with sleep, leading to fatigue, burnout, and other health issues.
- Sticking to these schedules long-term, especially night shifts, can be tough.
- Limited face-to-face interaction for employees on different shifts.
Best for
- Industries that operate 24/7.
- Roles where non-stop coverage is a must.
- Employees who prefer or need to work outside the typical 9-to-5.
7. Annualized hours
In an annualized hours arrangement, employees agree to work a certain number of hours over the entire year instead of sticking to a fixed weekly schedule.
This setup offers a lot of flexibility—employees can clock more hours during busy times and scale back when things are quieter. You could even mix in some flextime, allowing employees to take on extra responsibilities when it suits them best. As long as they hit the total hours agreed upon for the year, they’re good to go.
Pros
- Helps businesses match labor to peak demand periods.
- Employees can take extended breaks during slower times.
- Reduces the need for overtime or temp workers during busy seasons.
Cons
- Requires careful planning to keep workloads balanced.
- Can lead to intense work periods followed by lulls, which might impact morale.
Best for
- Businesses with seasonal or fluctuating workloads.
- Roles that can handle varying work intensities throughout the year.
Embracing Flexible Work Arrangements
Your employees—current and future—are all about flexibility. So, it makes sense to give them options. The good news? You have plenty of ways to do it. In this article, we’ve walked you through seven popular flex work arrangements, covering their pros, cons, and when they work best.
Remember, as you plan for flexible work, you also need to think about the necessary tech to make it all smoother. For example, if you’re thinking about a fully remote recruiting team, you’ll need digital recruitment tools like Willo to streamline every stage.
Ready to see Willo in action? Sign up for our free trial today. And don’t forget to check out our Embracing Flexibility report for more insights on how to make flexible work arrangements a success for your organization.