Top talent need flexibility, not competition, for better work-life balance: Study
Overqualified employees—those possessing more skills and knowledge than their current roles demand—can achieve a healthier work-life balance when provided with flexible working conditions, according to new research from The University of Western Australia (UWA). The study also found that spouses of these employees report a more balanced family life when work schedules are flexible and workplaces foster a non-competitive culture.
The research, published in Personnel Psychology and co-authored by Associate Professor Aleksandra Luksyte from UWA’s Business School, explored how work flexibility impacts not just employees but their families as well. By studying hospital workers and IT professionals alongside their spouses, the study identified key workplace factors that enable overqualified employees to balance work and home life effectively.
According to the study, overqualified employees benefit significantly when they have greater control over their work schedules. Flexible start and finish times allow them to complete tasks more efficiently, freeing up time for personal and family commitments. Unlike rigid work environments that impose unnecessary constraints, workplaces that prioritize autonomy enable these employees to make the most of their advanced skills while maintaining a better balance between work and life.
"Overqualified employees with greater schedule control can complete their work with relative ease due to their high skill levels and abilities, and this results in more free time for attending to their family needs,” said Associate Professor Luksyte.
Additionally, these employees tend to use their surplus skills to support their families in meaningful ways. Whether it’s helping with school drop-offs, volunteering at community events, or managing household projects, their ability to contribute outside of work enhances family dynamics and strengthens overall well-being.
Beyond flexibility, the research highlights the impact of workplace culture on work-life balance. Competitive environments that rely on internal rivalries for promotions and recognition can create stress and dissatisfaction, particularly for overqualified employees who may already feel underutilized. On the other hand, workplaces that reward performance based on clear, merit-based standards—rather than fostering competition—are more likely to see higher levels of engagement and satisfaction among their workforce.
The findings suggest that organisations can benefit by tapping into the full potential of overqualified employees rather than letting their talents go unused. Companies that offer flexible work arrangements and prioritize work-life balance are not only supporting their employees’ well-being but also fostering a more engaged, productive, and satisfied workforce.
As businesses continue to evolve in response to employee expectations, creating an environment that values flexibility and work-life integration may prove essential in retaining top talent and improving overall workplace satisfaction.