Fi Workation

Remote Workers and the ‘Workation’: What Employers Need to Know

Published by
19th August 2024

‘Work from anywhere’ searches have risen by 145% in the UK, with recent research from MoneySuperMarket discovering that roughly six million Brits plan to use their flexibility to work abroad without telling their employer.

This rising trend has been dubbed the ‘workation’, a combination of ‘work’ and ‘vacation’ that is defined as taking a break from the work environment but not the work itself. Whilst these two things have typically been seen to be incompatible, the workation’s rising popularity seems to challenge this notion, as employees – especially the younger generations – are looking to find innovative ways to have the best of both worlds with their flexible working arrangements.

However, when we conducted our own poll asking if employers would be happy for their staff to work abroad without them knowing, 70% responded that they are happy for their staff to take a workation as long as they inform them. So, whilst the majority of employers also seem to be in favor of the workation, employees should communicate their movements to keep their employers in the loop of where they will be working from – especially if the time zone changes significantly.

It’s no wonder that we are seeing this trend emerge, as digital nomad visas have come into play in countries such as Italy, Spain, Dubai, and Thailand, to name a few. These visas aim to attract foreign employees who want to continue to work for their company whilst living elsewhere, eliminating any compliancy risks being breached by employers or employees (however, this would have to be revised if the employee decided to permanently move residences abroad).

While the workation therefore offers ample opportunity for employees to revolutionize their work-life balance into a comfortable blend of the two, there are a few things that employers need to consider to ensure that the workation remains a force for good:

  • Workation Boundaries – it’s important for employers who are happy for their employees to take workations to not confuse these with employees taking vacations. Workations highlight that remote working employees are able to work whilst also being away, but this doesn’t mean that when an employee does take paid time off that they become accessible or contactable. Having those clear boundaries in place is essential for the workation to be a driving force for work-life balance and wellbeing support, as a workation is still work!
  • Introduce ‘Core Hours’ – workations may see employees working in countries where the time zones can differ by more than an hour either way. If this is the case, consider creating a policy which introduces core working hours for all employees to be available no matter the time zone. This will ensure that there is always crossover but also means that those on workations do not have to work outside of typical working hours.
  • Rise of Workaholism – employers need to be mindful that employees do still take time away from work purely to rest and relax. With the workation becoming popular, some employees may slip into the habit of not wanting to take time off and fall behind on their workload now that they can take a workation. But employers have a duty to encourage time off work in order for employees to recharge and ward off burnout.

Overall, the workation is shaping up to be a popular benefit that employers with remote workers can consider offering to attract and retain top talent. This is without mentioning all the additional benefits it has to offer around fostering creativity, improving mental health by working from sunny countries, and potentially strengthening the interpersonal bonds between colleagues if your company operates on a global scale. However, it’s important for employers to ensure that the workation doesn’t replace vacation, and to monitor the permanence of a workation so that there are no legal or tax implications that may have to be considered.

If you would like to discuss how we can help your organization design policies around offering workations, please get in touch with us today.

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