Bay Street HR

Over the past year, the trend of companies calling employees back to the office has been gaining momentum. What began as a cautious experiment in 2021 and 2022 had now turned into a deliberate corporate shift in 2024. With major players like Amazon, Zoom, and JPMorgan Chase spearheading the return-to-office (RTO) mandates, this exemplifies that companies are re-evaluating the role of remote work in a post-pandemic world. But will this trend continue into 2025, or are businesses setting themselves up for resistance and reconsideration?

Why Are Companies Pushing the Return to Office?

  1. Productivity Concerns: While studies early in the pandemic suggested that remote work boosted productivity, many executives argue that collaboration, innovation, and accountability are better fostered in person. CEOs like David Solomon of Goldman Sachs have been vocal in their belief that remote work is a poor substitute for face-to-face engagement.
  2. Corporate Culture: Maintaining company culture has been a significant talking point. Companies believe that an in-office presence strengthens team dynamics, employee engagement, and mentorship opportunities—all factors that are harder to cultivate remotely.
  3. Real Estate Investments: With billions invested in office spaces, many organizations want to see a return on those sunk costs. Cities like Toronto, New York, and London, where large corporations own or lease expansive office real estate, are particularly impacted.
  4. Economic Ripple Effects: Local economies rely heavily on office workers. Businesses surrounding office hubs, such as cafes, dry cleaners, gyms, and retail shops, have pushed for employees to return, adding pressure on companies to support urban economic recovery.

Employee Reactions: Resistance and Negotiation

Despite the corporate enthusiasm for a return to the office, employee sentiment has been mixed. Survey results released in 2024 reveal that:

  • Flexibility Remains Non-Negotiable: Nearly 80% of remote-capable workers prefer a hybrid model.
  • Productivity Perceptions Diverge: While leadership feels that remote work diminishes productivity, many employees argue that commuting time reduces efficiency and work-life balance.
  • Increased Attrition: Companies like Zoom and Apple have faced backlash and, in some cases, increased attrition following strict office return mandates.

The talent market remains highly competitive, and businesses enforcing rigid RTO policies risk losing top performers who prioritize flexibility.

How to Manage Employees Who Refuse to Return.

Managing employees who resist returning to the office requires a balanced approach. Companies need to be committed to addressing employees’ concerns and finding solutions that work for everyone, such as:

  1. Understand Employee Concerns: Having an open dialogue can help leaders understand why employees are hesitant. Common concerns include commuting costs, childcare needs, and health risks. Addressing these issues transparently can build trust and identify potential compromises.
  2. Offer Flexible Solutions: For employees strongly opposed to full-time in-office work, consider offering hybrid models or remote exceptions where feasible. Flexibility demonstrates a willingness to meet employees halfway.
  3. Communicate the ‘Why’ Clearly: Clearly articulate the rationale behind RTO policies. When employees understand how in-office work aligns with business goals and their personal growth, they may feel more inclined to comply.
  4. Provide Support: Ease the transition with tangible support, such as commuter benefits, childcare assistance, or wellness programs. These perks can mitigate the logistical and emotional hurdles involved in returning to the office.
  5. Leverage Performance Metrics: For employees who strongly resist, use clear performance data metrics to determine whether their remote work genuinely impacts their contributions. If performance remains strong, consider flexible arrangements that accommodate their preferences.
  6. Establish Clear Expectations: Set clear attendance policies, but ensure they are communicated as part of a broader strategy that prioritizes flexibility and employee well-being. Being overly rigid can backfire and lead to attrition.
  7. Prepare for Hard Conversations: In cases where employees flatly refuse to comply without valid reasons, leaders may need to discuss the long-term fit between the employee and the organization. These conversations should be empathetic but firm, focusing on the company’s needs and policies.

Conclusion: Is a Hybrid Model the Future?

While the push for a return to the office is undeniable in 2024, it remains unlikely that full-time office work will become the universal norm again. Hybrid models appear to be the most sustainable middle ground, offering businesses the collaboration they desire while allowing employees the flexibility they have come to expect.

If companies hope to maintain a competitive advantage in attracting and retaining talent, they must listen to their workforce and adapt to the evolving definitions of work. As we move into 2025, organizations that embrace flexibility, leverage new technologies and foster in-person collaboration strategically—rather than mandating it—will be best positioned for success.

Written by: Gaelle Le Rhun, HR, Associate