Remote working has become one of the most significant developments in the modern workplace. The COVID-19 pandemic accelerated its adoption, and both employees and businesses have been quick to highlight the benefits.
Employees cite improved work-life balance, time saved from commuting, and the convenience of a home-based workspace. Companies, on the other hand, enjoy reduced overhead costs associated with maintaining physical office spaces. Moreover, the reduced number of employees commuting daily has led to a noticeable decrease in traffic congestion and vehicle emissions, contributing to lower carbon footprints in major cities.
This reduction in environmental strain has been celebrated as a significant win for sustainability efforts, further driving the hybrid work movement. A 2022 survey conducted by the Malaysian Employers Federation (MEF) underscored this shift, revealing that 61.7% of Malaysian companies expressed a desire to continue embracing hybrid work models—whether a mix of virtual and on-site or fully virtual.
The Malaysian government has responded to the shift toward hybrid and remote work by enacting amendments to the Employment Act 19952, which officially recognises flexible work arrangements as a legal form of incentive. This legislative step, effective from January 1, 2023, reflects the growing acceptance of remote work as a long-term employment model.
However, while these perks have driven widespread enthusiasm for hybrid work, the bigger picture is more complex, especially when considering its financial and environmental impacts.