Recent Experience with Teleworking: Effects on Transport

Sirka Heinonen and Matthias Weber, VTT & IPTS


Issue: Teleworking has raised many expectations, ranging from energy savings and reduction of congestion to the diversification of employment in peripheral and rural areas. In fact, very little is known about its actual and potential risks and benefits. Recent findings about first experiences with teleworking can help us to get a better idea of its limitations and potential benefits.

Relevance: One of the main reasons for interest in teleworking is the beneficial impact it might have on transportation patterns. Drawing from this body of evidence appropriate measures to stimulate and guide the uptake of teleworking could be developed. TheBenefits and Drawbacks of Teleworking


Teleworking has been the subject of public debate for a few years now, but the high expectations have not yet been realized. Nevertheless, it is predicted to have a major impact on various fields of society, both directly and indirectly. These impacts are highly complex, difficult to disentangle and cover a wide range of areas. Given space limitations we will concentrate here on the impact of home teleworking on transport.

Home teleworking, which is important, but not the only form of teleworking, could be defined as the use of telecommunications to partially or completely replace daily commuting to and from work. The most important impacts of teleworking are hence expected on traffic, and this issue will be dealt with in more detail in this article. A number of other important social issues, however, also come into play. While teleworkers may be able to benefit from commuting cost and time savings, the changes which teleworking implies for their lifestyles may actually be far more important. Work and leisure time would not be clearly separated any more, representing the risk of permanent stress for the individual. However, teleworking may a be 'relaxing' experience if one does not need to adjust to a rigid working environment. On the other hand, isolation and a lack of social contacts are potentially negative side effects. In economic terms, the impacts of teleworking are not clear, either. While it may increase productivity of the individual worker and generate new job opportunities, the flexibility of hiring teleworkers anywhere in the world may also lead to a shift of employment to lower-wage countries.

Comparative Situation of Teleworking in Europe

In general, data on teleworking need to be treated with a great deal of care because the definitions used are often inconsistent and disguise rather than clarify the real situation. According to an estimate there are currently 1.25 million teleworkers in Europe. However, in another estimate the corresponding figure was three times higher (Handy & Mokhtarian 1996). Variations in the estimates on current levels of teleworking are explained on the one hand by the difficulties and differences in defining teleworking, and on the other hand, by the use of small and non-representative samples. For example, in France the official number of teleworkers for the year 1993 was as low as 16 000 due to a very strict definition of teleworking. For the year 1994 another estimate listed 215 000 French teleworkers. The United Kingdom has 600 000 teleworkers, which is the highest number in absolute figures in Europe. (Korte & Wynne 1996).

Owing to its high standards and penetration in telecommunications, Finland has one of the most 'teleworkingintensive' labour markets in Europe. At the moment, there are 150,000 Finnish teleworkers, a little over 8 % of all Finnish employees. . The 325,000 Swedish teleworkers, who work at home at least for one day a week, also represent some 8 % of the working population. Within a European context, these figures can be regarded as high. In Italy the teleworking population represents 0.2 % and in the United Kingdom and Ireland 1.21 % of the labour force.

However, the data about employment moves from non-teleworking to teleworking is subject to major uncertainties. The rising number of self-employed and part-time teleworkers makes interpreting the data difficult, especially because they do not necessarily figure in the teleworking statistics..

Further differences among European countries can be observed with regard to the awareness of teleworking among individuals. Knowledge about teleworking is a sine qua non condition for individuals to form opinions on this mode of employment. According to the EU's TELDET study, knowledge among the population about teleworking varies significantly in different European countries, ranging from 23% in Spain to 59% in France. (Korte & Wynne 1996). The findings of the Finnish Experience on Teleworking Project (FET) showed that three out of four Finnish wage-earners know about teleworking through information acquired from newspapers, radio, TV or various events.

Figure 1. Knowledge about teleworking among wage-earners in some European countries in 1994 (Luukinen 1995).


Interest in teleworking varied less across the countries. The results of the surveys within the EU TELDET project indicate that interest in teleworking from home as a permanent mode of working ranged from Germany's slightly less than 30% to Spain's 42% of the employed labour force. Correspondingly, 36% of German and 45% of Spanish employees show interest in teleworking at least one day a week. 54 % of Finnish interviewees in the FET project reported that they would consider working outside their normal workplace at least one day a week. The high interest figures need to be interpreted cautiously, because interest in teleworking does not mean that it would necessarily be adopted in practice.

The Potential Teleworking Population

These figures provide a first impression of the future potential of teleworking, but the rate of growth of teleworking is far from clear, mainly as a result of the difficulty of establishing even how many workers currently telecommute, but the results of the surveys of the TELDET project suggest that the development potential for teleworking in Europe is around one fifth of the labour force. This estimate indicates that the target of the European Commission to create 10 million teleworking jobs by the year 2000 is not unrealistic. A new type of analysis of the teleworking potential will be carried out in Finland in a forecasting project funded by the European Social Fund and the Finnish Ministry of Labour. This new method combines data on commuting behaviour and information on the jobs suited for teleworking. It reflects the fact that teleworking is an option only for certain parts of the population.

Basically, the future of telecommuting depends on whether employers provide the opportunity to telecommute and whether workers take advantage of this opportunity. Government policies can encourage both, and their perceived impact will help determine the support for teleworking by employees, employers and policy-makers. An important reason for the hesitant take-up of teleworking lies in the uncertainty of its impacts for the individual, for employers as well as for society as a whole.

Other obstacles to teleworking are based on prejudices such as problems expected to arise from the lack of supervision, or simply ignorance on the part of management. The price of information technology does not, however, seem to hinder teleworking in the same way as it did in the past.

New evidence of the Impact of Teleworking on Transportation Patterns

As indicated above, knowledge about the actual impact of teleworking is very limited. At least with regard to transportation patterns, the findings of a number of recent research studies provide new insights into the different mechanisms in play.

Optimistic views expect that teleworkers will help ease up traffic congestion, which in some major European cities has grown to uncontrollable and unhealthy proportions. By reducing commuting, teleworkers indirectly reduce the need to spend large sums of money on the construction and maintenance of roads and parking space, traffic control and car-related waste disposal. Telecommutingís most important single benefit is saving fuel, thus reducing many of the related pollution and waste problems. According to estimates by the US Environmental Protection Agency, approximately 10 million American workers drive an average of 75 miles round trip to work in cars that get an average of 25 miles per gallon. As teleworkers, they could save 30 million gallons of fuel every workday while keeping 600 millions of carbon dioxide (C02) out of the atmosphere (Anzovin 1994).

With these potential benefits in mind, transportation planners see telecommuting as a promising way to combat increasing congestion, increasing energy use, and declining air quality. Urban and inter-urban traffic congestion is now one of the major costs affecting business and public administrations in Europe. More than 50 billion ECU are lost every year through delays and accidents. Teleworking can substitute for at least some journeys (Teleworking 94).

Other researchers have argued that congestion will not worsen in the future anyway, given structural shifts in the demographics of automobile ownership and use. The growth rate of automobile use should equal the growth rate of population, since nearly every potential driver now has access to an automobile. (Handy & Mokhtarian 1996). If congestion does not thus increase dramatically in the future, or at least commuting times do not increase, then the role of congestion per se as a motivation for telecommuting may remain roughly at its current level of importance. However, government policies designed to reduce congestion and improve air quality may themselves stimulate teleworking. Information and communication technologies together with some other measures such as radical increases in vehicle prices or driving costs might mean that commuting traffic will be reduced through increasing teleworking. As an example, the decision to introduce road tolls in Stockholm from 1999 may become a factor which further stimulates teleworking.

However, these optimistic perspectives take into account only the positive impacts of teleworking on travel behaviour and ignore several negative and indirect/secondary effects which may counterbalance the positive ones.

From a more critical stance, the interactions between teleworking and physical transportation are regarded as less simple to disentangle. The widespread application of advanced information and telecommunication technology (ICT) for teleworking may generate new types of transportation as well as reduce the need for physical transport. Teleworking facilities provide increasing possibilities to make contacts beyond geographic boundaries between both organizations and individuals. Even though the majority of such new contacts can be maintained electronically, they may gradually result in face-to-face meetings over a long distance. While certain types of trips are being replaced, some new trips will be generated. There has been some scepticism about how large net savings from reducing travel by teleworking might be. Some forecasters argue that people often combine work trips with other trips and that leisure travel will be extended. This argument is in line with the long-term observation that the daily travel time budget has remained fairly constant over the past decades - in spite of substantial technological transformations. If these arguments hold, then the reduction would be minimal.

The situation becomes even more complicated when looking at a number of secondary effects. While personal vehicle use has the largest impact on emissions, the impact from the mode of travel is also worth a closer analysis. Car pools may dissolve if teleworkers drop out, and transit operators may lose revenue in the near term. However, in case of teleworking centres, trips made closer to home may shift to non-motorized modes such as cycling and walking. The Puget Sound Telecommuting Demonstration Project conducted in early 1990s by the Washington State Energy Office provides travel diary data on 104 teleworkers, both home-based and centre-based. Home-based teleworking was found to reduce travel and emissions by means primarily of the elimination of commuting. The reductions in vehicle kilometres and in the number of daily trips in the home-based group were 66.5 % and 31.9 %, respectively. In the centre-based group the vehicle kilometres were significantly reduced, while the number of trips and cold starts were not. (Henderson & Mokhtarian 1996, 44).

When a person turns to teleworking one day per week, the number of commuting trips to and from work will diminish by 20 %. Accordingly, this requires that a teleworking day is a full day and not two half days. Correspondingly, two teleworking days per week give a reduction of 40 % in the number of work trips. On the other hand, changing time budgets of teleworkers can also increase their leisure travel. One important issue for the future of teleworking and its possible impact on transportation arises therefore, and more specifically, from the frequency of telecommuting, that is, whether workers will do it occasionally, all the time, or something in between. (Handy & Mokhtarian 1996). A related aspect is the duration of teleworking for a given individual: is teleworking sustained over a period of several months or years; is it an on-and-off alternative? The distribution of teleworkers, by virtue of their telecommuting, will have important implications for the transportation and environmental impacts of telecommuting.

According to another critical view other travellers will take the road space vacated by teleworkers. Family members who normally resort to the bike, the bus etc. may start to use the car instead of the home working member of the family.

In the long term, the temporal and geographical flexibility of teleworkers may also change the housing pattern. If you are not so tied physically to the workplace as earlier, it is easier to move to a more attractive living environment, for example to less polluted rural areas. Consequently, long-distance commuting only a few days per week becomes more common, resulting in fewer but longer trips.

Teleworking 'Best Practice' in Europe

The Consensus Group within the DIPLOMAT project has produced guidelines to support various actions on teleworking. One target is the reduction of traffic in Europe. According to this by 2002 the traffic reduction due to teleworking will be 450 million trips per year, equivalent to ten billion fewer kilometres commuted each year, with a corresponding reduction in energy and exhaust emissions.

Europe could promote teleworking projects as manifestations of sustainable mobility. In order to avoid undesirable impacts of generating trips which are not work-related, the awareness of teleworkers should be focused on environmental benefits. Organizations are key actors and facilitators of teleworking. By adopting teleworking and telebusiness they can change their travel patterns within business operation, but the personnelís commuting frequencies as well. Teleworking could be practised as a tool for 'commuting management' while promoting the image of ecological thinking in an enterprise. The diffusion of teleworking could thus be seen as an expression of the willingness to reduce commuter traffic and as an indicator of a sustainable information society.

The best practice of teleworking realizes that the issue of teleworking cannot be taken simply as a black and white choice of working mode, but as a rich variety of applications simultaneously enhancing the quality of life and the quality of the environment. A broader vision of teleworking should be adopted comprising, besides home-based teleworking, telecentres, telecottages, relocated back offices and mobile work.

Good teleworking practice involves careful planning of each teleworking scheme in organizations. Adequate technical support must be provided for teleworkers in order to avoid loss of efficiency at work. It should be borne in mind that social implications always underpin the successful implementation of teleworking. Teleworking should always be adopted on a voluntary basis. Teleworkers also have to be given the chance to return to their 'normal' working place if they wish. Job security and social benefits need to remain the same as those offered to colleagues working at the office in similar jobs. Managers and colleagues should be well informed on teleworking experiments. Teleworking should not be implemented as a separate case of work arrangements, but included in organization's strategies.

Policy Implications and Needs

The promotion of teleworking cannot merely be based on the high level of awareness or on all the positive attention teleworking has been given. If concrete results are to be achieved, systematic development work is necessary. The gap between the interest and practice needs to be bridged.

Thus far, experience has shown that in order to successfully promote the idea of teleworking, well-thought-out actions are needed firstly to enhance the level of knowledge concerning teleworking, and, secondly, to affect the attitudes and technical facilities in organizations, so as to facilitate their decision-making concerning teleworking experiments. In spite of the new findings on the impact of teleworking on transportation, the paucity of data remains a problem. More research and experimentation projects should be launched to gather quantitative data on travel patterns in teleworking.

At national level, various campaigns could be launched to encourage business employers to experiment with teleworking and to monitor its impact on employeesí commuting. As an example of how to disseminate best practice in teleworking, nominations of the best performing teleworking organizations could be awarded, for example, during the fourth European Teleworking Week to be held in autumn 1998. In addition, a greater willingness on the part of public institutions and authorities, especially at European level, to use telecommunication facilities for their meetings and workshops would send an important signal for a strategy for the promotion of teleworking.

In general terms, a dual approach of 'carrot and stick' could be applied in Europe. Besides regulatory measures (e.g. on working conditions), various incentives such as tax reductions could be introduced for employers enabling and employees practising teleworking. Finally, local urban development policies could adopt teleworking as a tool for reducing daily commuting journeys.


Keywords

Teleworking, transportation, best practice, impact assessment

References

Acknowledgements

The author would like to thank Fabio Leone, Alois Frotschnig (IPTS) and Maarten Botterman (DG XIII) for their useful assistance.

Contacts

Sirkka Heinonen, VTT - Communities and Infrastructure, Tel.: +358-9-456-6288, Fax: +358-9-464-174, E-mail: http://www.jrc.es/iptsreport/vol21/english/gifs/mailto:%20sirkka.heinonen@vtt.fi

Matthias Weber, IPTS, Tel.: +34-5-448-8336, Fax: +34-5-448-8326, E-mail: http://www.jrc.es/iptsreport/vol21/english/gifs/mailto:%20matthias.weber@jrc.es

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