THE INEQUALITY OF WORK FROM HOME: EMPIRICAL EVIDENCE FROM SINGAPORE

Abstract

Work from home (WFH) is mostly perceived as a benefit. Using vignette experiments, I show that on average, employees valued WFH at 19.9% of their monthly income. With a linear probability model, I investigate the factors which shape employees’ preferences for WFH. I argue that the benefits of WFH are not shared equally across gender, income, and age. Women with dependents preferred flexible work arrangements more than men with dependents. The trend of WFH disproportionately benefits the more highly educated and highly paid workers. Younger workers valued WFH less because networking and learning opportunities in the office are crucial for their career development. My analyses suggest that employers should consider hybrid work arrangements to increase amenities, but also be mindful of the heterogeneous effects of their WFH policies. Additionally, employees should understand the trade-offs of remote work; those who are interested in climbing the ladder should return to the office.