Social Workers In Philadelphia Will Now Work From Home Indefinitely! Without Extra Pay To Cover The Additional Costs
Employers are extending remote work from home. Are they also compensating employees who work from home, incurring work-from home expenses?
Since the COVID-19 Pandemic, millions of working Americans are finding that they have to work from home. In fact, since this remote work from home started, some companies such as human and social services companies are yet to return their employees to the physical office. One particular human and social services company in Philadelphia had its case managers working from home since March/April and had set a return date to the office in August. Then they extended it to September, then October; now they have sent a new notification to their staff saying that they are not reopening the office and that staff will continue to work from home indefinitely.
Now why is this so? Is it due to the pandemic or due to savings that these companies will incur by lowering their overhead expenses by NOT opening the physical office. The particular company in Philadelphia here cited funding reasons; as their funding includes extra provisions or relief that facilitates work from home. But is there a provision in these funding for employees who now have to spend more to work from home. Albeit that some also have their kids learning from home through online schooling.
Many working Americans are finding that their households real spending power has dropped significantly, because they now have to work from home without being compensated for any extra home costs incurred by doing so. Employees are spending more time at home increasing utility and using up their personal/home resources yet there is no discussion about remuneration game these employees for these home expenses.
For employees, costs are higher, according to a survey from CreditCards.com. Average monthly costs are $108 higher for people who work from home. The biggest increase in costs is for groceries up $182 per month, and utilities up $121 per month
Further companies will save with this new normal so that overhead incurred from office related work in now next to nothing but employees are paying out of pocket more to use their electricity, water, and toiletries.
According to Global Workplace Analytics, only about a quarter of employers reimbursed or paid for home office expenses before the pandemic. Among those that did, they typically offered a stipend of $500 to $1,000. But requirements for reimbursement are rare. Global Workplace says just one state requires reimbursements.
Some may disagree like Gerri Willis of Fox Business who argue that Americans working remotely are mostly saving money due to lack of travel expenses and dining out. FOX Business' Gerri Willis. However this is not true and it is also shortsighted. Gerri limits his report on those who have credit cards in America.
The commerce department August 8 report shows the economy is picking up as U.S. consumers increased their spending by 1.9% last month. And travel and leisure has picked up as more people are staying home. Bars are opening up, the cost of travel is low yet the demand will and is picking up. Savings and spending dropped by 12.9 in April but is slowly rising as more restaurants and stores and leisure’s open up. People will not spend on cheaper goods now that they don’t have to buy work and school clothes but more luxury and expensive goods as they now have more savings since the pandemic to spend. Spending was low and savings down in April to Mid July but has picked up significantly. So Gerri’s point is not true of the current realities.
In fact a recent report suggested that during the Pandemic much of the $2.2 trillion dollars bailout package to assist Americans went to wealthy institutions and people who own businesses and fund these institutions yet their offices remain closed, employees work from home getting the same pay and employers spend less and make or “get” more.
Meanwhile, the new trend of working from home looks like it has staying power. Tech giants Twitter and Facebook have already announced permanent work-from-home plans. And, so have more established companies you may not have expected, like Nationwide of Columbus, Ohio. The insurer is shuttering five regional offices.
But what we need to hear is the resulting increase in wages and salaries to accompany this new normal and new cost of living for employees who now have to spend more to work from home and employees who can now save more to pay their workers more.
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