Telework Savings In The Real World

Telecommuting programs provide enormous savings to the companies that implement them. Let’s take a look at how they get those cost savings.

Supplying one person with a cubicle to work in, a telephone, and an Internet connection costs an average of $10,000 per year.

Start by pulling out a calculator. If you commute just 40 minutes to and from work every day you are losing 8 working weeks a year. Telecommuting makes you more productive and saves money in real estate.

Now let’s take a look at how much money real companies are saving with telework programs and by encouraging their employees to work from anywhere.


“According to Cisco’s Internet Business Services Group, the company’s global strategic consulting arm, the company has generated an estimated annual savings of $277 million in productivity by allowing employees to telecommute and telework.”
Cisco Study Finds Telecommuting Significantly Increases Employee Productivity, Work-Life Flexibility and Job Satisfaction – Cisco


“There’s no shortage of reasons for AT&T to continue its celebrated telework program, which has helped the company slash its annual real estate costs by $30 million and rake in $150 million in extra hours of productive work from teleworkers.”
Inside AT&T’s telework program – Network World


IBM is saving more than $100 million annually in its North America sales and distribution unit alone.
Alternative Workplace: Changing Where and How People Work – Harvard Business Review

“IBM Canada had teleworker productivity improvements of up to 50%.”
Telework Facts – The Telework Coalition

Sun Microsystems

“Sun is saving about $70 million a year in real estate costs through its Open Work programs.”
Flex Your Force: Building the Virtual Office – Sun Microsystems

American Express

“Telecommuters at American Express, are reckoned to generate over 40 percent more business than their office-bound colleagues.”
Home Warriors – The Economist

British Telecom

“British Telecom’s 9,000 teleworkers are apparently 30 percent more productive than their office counterparts.”
Home Warriors – The Economist


Compaq teleworkers are from 15-45% more productive.
Telework Facts – The Telework Coalition

Pacific Bell

Pacific Bell reports that telecommuters exhibit 25 percent less absenteeism than do employees who work in their Central Business District offices.”
Transportation Implications of Telecommuting – US Department of Transportation