Hybrid offices boost productivity in Auckland and Wellington.

Ongoing economic uncertainty combined with an increase in remote working has made more Kiwi companies wary of long-term lease commitments. But even as many businesses cut back on office space, pressure is mounting for employees to return to work.

These factors have led to a rise in hybrid workspaces, especially in major centres such as Wellington and Auckland. Taking on just the space they need – with the flexibility to adjust it as conditions change – means companies can move forward without being locked into long lease contracts on spaces that might turn out to be surplus to requirements.

Research by Te Herenga Waka Victoria University of Wellington to be published in the New Zealand Journal of Employment Relations found a hybrid working model, combining days in the office with time working from home, can improve wellbeing, engagement and productivity. It also cautioned that, despite Prime Minister Christopher Luxon’s claim that government work practices had become “too casual” and his intent to phase out remote working in the public service, “it may be too late to go back”.

Hannah Salmond, business manager at global flexible workspace provider Servcorp, says leasing co-working space in a central serviced office allows employers to more efficiently manage their workforce and workspace requirements, while giving employees the benefits of being able to work both in an office environment and from home.

“A lot of companies are downsizing to adopt more effective hybrid working arrangements,” Salmond says. “They might have a local team of 20 but because of their working from home policies, don’t need office space to accommodate all 20 people at any one time. Instead, they might need only 10 desks to rotate among the team and then use a meeting room or book additional workspace as overflow on the days more team are onsite.”

Servcorp’s co-working spaces offer both open plan shared workspace options as well as private, dedicated office spaces, depending on the clients’ needs. “Our co-working lounges are designed for hot desk clients, who can work from any available space, or dedicated desk clients seeking a permanent setup,” Salmond says. Clients also have access to bookable meeting rooms with AV equipment, private phone booths, breakout and collaborative spaces, and business-class printing and scanning equipment.

Leasing any flexible workspace solution from Servcorp also means businesses don’t have to worry about the day-to-day operations of an office space such as cleaning contracts and building outgoings, or time-consuming necessities like making sure the kitchen is stocked with coffee and tea supplies. Servcorp have also invested millions of dollars into their IT infrastructure to provide secure, fast dedicated internet connections through their global interconnected data network creating a complete ‘plug and play model’ for their clients.

Each location is staffed by a highly trained support team who act as a dedicated receptionist or can be called on as an extra pair of hands when needed. It gives the hard-working small businesses a team to delegate to so they can focus on growing their business.

“A lot of clients leverage off our teams to act as additional admin support, whether that be from managing appointment bookings, following up invoices or organising client events. It can be like having an extra employee, but we take all the risk on the employment side, so our clients don’t have to manage things like training and onboarding or sick leave and holidays.”

In today’s business environment, an added attraction is that companies don’t have to make a long-term commitment. In contrast to traditional leasing arrangements which might lock companies in for long periods at high rates, hot desks and private office space can be leased on much shorter, more flexible terms.

“The flexibility in our agreement terms means clients can go month-by-month or take up to a 12-month term. They don’t have to commit to the space long-term up front,” Salmond says. “We are finding a lot of companies and individuals are opting for this type of flexibility in such uncertain times.”

Leasing co-working space also gives small and sole-trader businesses the opportunity to have a professional office environment for meetings, training sessions and presentations, rather than having to conduct business entirely from home, meeting online or in noisy cafes. According to Salmond, “It provides them with a practical office environment and gives their business a more professional aspect as well.”

Servcorp can also act as a “virtual office”, providing a physical address, mail handling and phone answering service. “A lot of start-ups use it to give their business a professional perception and credibility in the market. Rather than having to use a home address, they can advertise a premium CBD location, on the waterfront,” Salmond says. These clients can also then book meeting rooms and co-working space on site if they need it.

The co-working environment offers remote workers the social connection they might otherwise miss. “If you’re a sole trader or working remotely for a business, it gives you the option to spend time in a work environment with other like-minded people.” Servcorp clients can also benefit from networking events designed to foster connections among professionals and businesses such as seminars and mixers. These interactions can spark collaboration and innovation within the vibrant co-working community. And if you’re completely remote, there’s the option to network with 50,000+ businesses through Servcorp’s online community.

One of Servcorp’s priorities is the location of its facilities: with their Wellington office located in the Bell Gully Building right on the waterfront, and Auckland on Level 8, 139 Quay St offering panoramic views. In the nation’s capital, another issue was making sure the property met and exceeded current earthquake standards. “Many commercial properties in Wellington have huge problems with earthquake strength and our priority was to be in a safe, seismically resilient building,” Salmond says. “Our offices are now in one of the safest buildings in Wellington, which is fully base-isolated and in excess of 100% NBS.”

She says the level of service provided by Servcorp sets it apart from other hybrid and co-working spaces. “We are more than just a space provider, where clients are given a desk or office and are expected to be self-sufficient. We are more of a service provider – we’ll give you the space but then also provide premium services to make your day-to-day business operations more streamlined and efficient.

“We’re here to support our clients and help their businesses thrive and grow, plus offering them that flexibility should things change.”

More info: New Zealand’s finest co-working spaces and shared offices