Is remote work the future of finance? A qualitative study of employee productivity in remote working settings in financial services companies

Abstract: Through a qualitative study, this thesis investigates how remote work impacts the productivity of financial industry professionals. During the COVID-19 outbreak the world went into a lockdown, culminating in a shift to remote work. The financial services industry was studied because of its proclivity for continuing remote work even after the COVID-19 pandemic lockdown, and the thesis is based on a sample of nine respondents from the industry, four of whom are leaders and five of whom are employees/subordinates. Employee productivity is a critical component of an organization's success and it is influenced by a variety of factors. The 'Job Characteristics Model' and prior literature on various aspects of productivity form the theoretical foundation of the thesis, which together construct a conceptual framework that is used to comprehend and analyze how productivity was affected when COVID-19 forced the financial services industry into a remote working setting. The findings are inconsistent, it is difficult to establish whether productivity has increased or decreased. Nonetheless, the following conclusions are drawn: new and junior employees' productivity decreases as they struggle to acquire and build necessary skills, whereas senior employees' productivity appears to grow in the remote environment. Furthermore, mental illness and the changing form of collaboration have negative effects on productivity. Finally, work-life balance has been found to increase with flexible working schedules, and as a result, increase productivity. This thesis provides organizations with information regarding the effects of remote work on employee productivity as a basis to help financial services organizations better manage their operations in order to capitalize on available possibilities in the field.