Staff would be more likely to stay with their employer if they were offered more flexible options such as working from home, according to a new report.
A survey of almost 700 employees by recruitment firm Hays found virtually everyone said flexible working improved work-life balance, often taking it into account when choosing a job.
More than a third of public sector staff said their employer encouraged flexible working, compared with just 18% in private firms.
Charles Logan, director at Hays, said: "Employers and their staff see flexible working policies as a positive move but more needs to be done to make sure these are implemented in the workplace.
"Our research indicates that employers offer flexible working options to support their employees, with a comparatively small number saying they adopt flexible working simply to conform to current legislation.
"The research shows clear evidence that flexible working can improve productivity and work-balance, if employers can make the types most desired by staff available.
"As pay freezes remain in place for many organisations, across both sectors, looking at how to retain your 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."
TUC general secretary Brendan Barber said: "The right to request flexible working is not only proving popular with employees, this survey shows it offers business benefits such as better morale and staff retention.
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"Despite this most private sector employers are still not encouraging flexible working practices. It's about time they caught up with the public sector and offered staff the flexibility at work they so clearly want more of."
