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State Roundup April 13, 2000
Technology Drives Push To Telecommute

     They are lawyers, researchers, bankers, accountants, managers, programmers and sales representatives. And every morning, as their colleagues get the kids ready for day-care and battle traffic in long commutes, they shuffle to their computers, log on and start to work. It's the commute of the 21st century.
     "Teleworking is not about an industry as much as it is about a job," said Susan Tierney, a spokeswoman for the transportation planning agency in Phoenix, AZ. And as technology advances transform some offices into homes and homes into offices, employers are capitalizing on telecommunications to drive one of the biggest trends of the modern day workforce.
     The International Telework Association and Council says that last year 19.6 million Americans worked remotely at least one day a week, representing 10 percent of the U.S. workforce. Although that figure is almost five times what it was in 1990, they're looking at innovative methods to push that number higher.

Home, Sweet Home
     "A lot of people think telework is strictly for tech nerds who understand all of the subtle and complex issues surrounding technology," said Gail Martin, the executive director of ITAC. "That's absolutely wrong. It's across the board."
     But it's not necessarily where you'd think. Martin said that some in the technology industry have been the most reluctant to hop on board. She notes that although companies such as Nortel, AT&T, U S West, Bell Atlantic and Bell South all have strong telework programs, the boom of technology start-ups has not translated directly into a boom in telecommuters.
     "The high-tech people in the new economy are selling products and services that expand the opportunity to telework, but internally, some of them don't have the programs," she said. "We're contacting them and saying 'shame on you. Where are you?'"
     That's part of the push to get employers to understand and adopt telecommuting programs. While the concept has existed for 25 years, it only has recently become feasible for a large group of workers. That's thanks to the technology that allows those working from home to stay connected to the office without enduring the long commutes, stress and day care hassles that often accompany a worker's typical day.
     Employers also have been drawn by recent studies showing that those who work from home are more productive, stay with their employers longer and have a higher morale. By measuring the decrease in absenteeism, better recruitment and increased productivity, a recent ITAC study found that companies can save $10,000 per year per worker if that employee works from home only one day a week.
     "Employers are looking at ways in a competitive job market to hold onto their employees," said Susan Tierney, who works with the Regional Public Transportation Authority in Arizona's Maricopa county. "This expands the labor market. You're able to hire someone that is the perfect person for the job but they want to live in their mountaintop home. So you say 'okay, hook up and work independently.'"
     Doug Koelemay, spokesman for the Northern Virginia Technology Council, said that his group is working to make it easier for companies to change their corporate culture into one that would allow telecommuting. Many are looking at the system as an option to relieve the chronic traffic problems that plague the metropolitan Washington, DC, area, and are supportive of the idea.
     "If that can help them relieve rush hour then that would be a benefit to the region, even those who don't telework themselves," he said.

The Politics Of Telework
     The business incentives are established, but corporations are often more enticed by moves that affect their bottom line. That's why, in an effort to promote the practice, many legislators are suggesting telework promotion be tied to financial motivators provided by the government.
     Rep. Frank Wolf, R-VA, has introduced the Telework Tax Incentive Act, H. R. 3819, to provide a $500 tax credit per employee for expenses companies incur under a teleworking arrangement. Many states have introduced similar measures, and in Virginia the idea was championed by Gov. James Gilmore, R, who fought to include tax incentives and matching grants for telework training programs in a larger package of transportation bills. Gilmore appointed BTG Chief Financial Officer Todd Stottlemeyer, former president of the Fairfax Chamber of Commerce, to chair the Virginia Telework Task force, which ultimately produced the suggestions put forth in the legislation.
     Gilmore's effort failed in the General Assembly, and the reason was geographical, said Dan Shoemaker, a staffer in the Transportation Secretary's office who worked on the task force.
     "The issue didn't come across as clear for members who weren't in the Northern Virginia region, which is understandable," he said. But the bill has been amended to include high-unemployment areas of the state in the benefits to encourage northern Virginia companies to hire telecommuters in the more remote southern areas.

Breathing Easier About Telecommuting
     But one of the main motivators of the rush to telecommuting is environmental. Less commuters means less cars on the road, which translates into less pollution and cleaner air. The National Environmental Policy Institute, Environmental Protection Agency, Transportation Department and Energy Department are working on five regional pilot programs promoting telework. The system they are planning would give companies air pollution savings credits under the Clean Air Act that could then be traded or sold like stock.
     A similar system is already in place for traditional manufacturing facilities that can demonstrate air pollution reduction under the act, and now regional programs are near completion in Washington, Los Angeles, Philadelphia, Houston and Chicago. Mary Beatty, the executive director of NEPI, explains that under such a system, an employer could take credits for allowing employers to telecommute and then trade those credits on an open market.
     The plan is a particular incentive to non-attainment regions, or those that don't meet the reduced emissions standards required by law. Companies in those areas, such as Houston, would be hit with an array of regulations in order to bring the area into attainment and avoid sanctions, Beatty said.
     "Employers realize that unless they can work together to accomplish the goal of clean air, the whole region would suffer and they'd have decreased production of their manufacturing sector," she said.
     Those promoting telecommuting are quick to point out that they are often met with skepticism from employers. Many worry that remote workers will become distracted by home or family and spend less time working. But telework advocates encourage "management by objective," Arizona's Tierney said. They encourage employers to discuss their expectations with their workers and set goals before projects are taken home. And, Tierney notes, it's not a guarantee that workers in the office are productive.
     "I can sit in the office and look busy," she said. "But that doesn't mean I'm getting anything done."
- by Stephanie Lash




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