Work-Life Balance, Talent Attraction and Retention Top Reasons to Offer Flexible Work Arrangements

Published September 03, 2025

80% of Corporate Employers Offer Hybrid Work Option

 

September 3, 2025 | Brookfield, Wisconsin—Corporate/single employers in the U.S. have significantly expanded their flexible work arrangement offerings in recent years, according to new data from the International Foundation of Employee Benefit Plans’ Flexible Work and Part-Time Benefits: 2025 Survey Report. The last time the International Foundation conducted a survey similar to this report was in 2017, before the COVID-19 pandemic. The 2025 results reflect the expansion of workplace policies as well as the growing importance of flexible work for recruitment and retention.

Flexible Work Arrangements Offered

In addition to 80% of organizations offering hybrid schedules (defined as working in the office with designated remote workdays), respondents reported the full range of flexible arrangements offered by their organization:

  • 62%—Flexible work hours/flextime (alternative starting and quitting times within a definite time frame)
  • 53%—Fully remote
  • 43%—Part-time schedule
  • 25%—Compressed workweeks (working a traditional 40-hour workweek in less than five workdays, such as four ten-hour days)

While hybrid and fully remote work were not included as response options in the 2017 survey, they now rank among the top three most frequently offered arrangements, at 80% and 53%.

The most common hybrid policy (39%) requires employees to work two days remote and three days at the office with 83% of respondents indicating they allow employees to work different hybrid schedules.

Among the organizations surveyed, 53% offer fully remote work arrangements. Of those organizations, 36% reported that 1-10% of their employees work remotely full-time, while 16% have 91-100% working remotely full-time.

Top Five Reasons for Offering Flexible Work Arrangements

From creating a better work-life blend to boosting worker productivity, the top reasons for offering flexible work arrangements include:

  • 78%—Create work-life balance for workers (up from 70% in 2017)
  • 68%—Attract a talented workforce (up from 28% in 2017)
  • 64%—Retain high-performing workers (up from 29% in 2017)
  • 61%—Enhance worker morale (up from 24% in 2017)
  • 33%—Boost productivity (up from 6% in 2017).

"Since 2017, the motivations for providing flexible work arrangements have grown—many quite substantially," said Julie Stich, CEBS, Vice President of Content at the International Foundation. "The findings highlight that flexibility has become a key factor in staying competitive when it comes to attracting and retaining talent. Beyond supporting work-life balance, respondents also cited boosts in morale and productivity—important elements of a healthy workplace."

Top Barriers to Offering Flexible Work Arrangements

Employers were asked to share the challenges of offering flexible arrangements, with the top four barriers all growing in prominence since 2017.

  • 45%­­—Workplace culture values in-person interaction (up from 16% in 2017)
  • 44%—More difficult to foster a sense of team (up from 8% in 2017)
  • 42%—Achieving fairness for all staff (up from 35% in 2017)
  • 41%—All or a portion of the job cannot be done remotely (up from 25% in 2017)

"In today’s flexible workplace environments, employers have expressed concerns about preserving workplace culture, fostering team building and ensuring fairness," said Stich. "As flexible work becomes more widespread, finding ways to overcome these challenges will be crucial to effectively managing flexible work arrangements."

Survey responses reflected in this media release are from corporate employers. Please note that the full Flexible Work and Part-Time Benefits: 2025 Survey Report also includes responses from public employers. Visit www.ifebp.org/FlexBenefits2025 for more information.  

 

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The International Foundation of Employee Benefit Plans is the premier educational organization dedicated to providing the diverse employee benefits community with objective, solution-oriented education, research and information to ensure the health and financial security of plan beneficiaries worldwide. The International Foundation has more than 31,000 multiemployer, corporate and public sector members representing over 25 million lives. For additional information, visit  www.ifebp.org.