Is the remote work era ending?
⚡Shrey Joshi
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More than four years since the COVID-19 pandemic ushered in the remote work revolution, top executives are becoming more emboldened in their quest to bring empty offices back to life, The Wall Street Journal reports. Last week's news that Amazon is requiring all office-based staff to return to their workstations five days a week is likely to spur more mandates, experts say. Once fearful of asking staff back, executives believe that a tightening labor market is tilting the "balance of power" from workers to bosses.
“We’ve observed that it’s easier for our teammates to learn, model, practice, and strengthen our culture,” Amazon/Jassey wrote about office work. “[C]ollaborating, brainstorming, and inventing are simpler and more effective; teaching and learning from one another are more seamless; and, teams tend to be better connected to one another.”
We couldn’t agree more. DocGo is a ‘work from work’ company, and while it might not be the right choice for every company, we believe that enterprises who embrace this policy will continue to reap outsized benefits in the form of improved culture, internal alignment, competitive advantage and speed to market, which will benefit the company, their shareholders, and the US economy overall.
There’s a shift in balance of power.
Employees have less, companies have more.
For large / high growth companies in attractive locations, like Amazon, it’s unlikely to impact their ability to attract talent.
But for smaller companies in smaller cities, it likely will.
I still see a place for hybrid in the future,
But the tide is shifting.
In April, KPMG asked 400 U.S. CEOs if they expected employees to be back in the office full time within the next three years. 34% said yes. When KPMG went back for an update this month, that number had increased to 80%.
On Monday (Sept 16), Amazon CEO Andy Jassy called his workers back to the office full time, causing quite a stir among employees. He joins Elon Musk, who has required X employees to be in the office full time as well. Most companies that have called employees back have capped the requirement at 3 or 4 days a week, making Amazon and X standout exceptions.
Maybe 4.5 years was the realistic lifespan of a working arrangement that has seen collaboration and culture dissipate over time.
Or perhaps mandates to return to the office are a way of culling the herd, forcing effective layoffs without having to declare them.
It really depends on why. Companies that are intentionally built around remote teams do just fine with workers in different locations and time zones. I speak from personal experience on that. In many cases, it is actually an advantage, allowing a small team to be local in more places and operate more hours of the day.
But suddenly switching from a conventional in-office arrangement to a remote one had to have been jarring, even if it was convenient for employees and necessary for employers.
We should watch Amazon to see how many employees elect to leave because of the new requirement, and which employees make the move? Will the top performers stay because now the opportunity to engage and excel is supported by company policy or will they move on to greener pastures, knowing they will succeed anywhere and prioritizing flexibility over an employer that is #2 on the Fortune 500 list?
The next natural question is, who will be next?
🤔
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