The government's new plans to introduce legislation requiring companies to offer flexible working to all of their employees has been welcomed.

The survey found that 70 per cent of employers expect an increase in requests for flexible working and 40 per cent are preparing for an impact on their budgets as a result. Despite this, fifty-five per cent of employers are backing the planned legislation, according to recruitment firms Hays.

The reasons behind the support of the new legislation include keeping workers happy in a climate filled with pay freezes.

Charles Logan, director at Hays, said, “As pay freezes remain in place for many organisations, across both sectors, looking at how to retain staff and keep them engaged is moving up the agenda.

“Offering simple flexible working options could make the difference between keeping or losing staff at a critical time, when the best employees are needed to drive recovery,” he added.

The majority of employees (85 per cent) would be more likely to stay with their employer if it were to introduce flexible working options, such as working from home or job shares.

The Hays research found that employers currently offer flexible working arrangements primarily as a way of supporting employees, with just 18 per cent of employers offering it just to comply with existing legislation. But just 29 per cent of companies feel that offering flexible working is integral to the success of their business.