Amazon CEO Andy Jassy recently announced that he’s abandoning the company’s hybrid model and initiating a return-to-office mandate starting early next year. Instead of the three-day in-person schedule, workers are required to show up five days a week. The news immediately sparked controversy among employees who believed their productivity at work would suffer. As a result, many are considering leaving the company. A survey conducted by the professional social network Blind reveals that a staggering 91% of workers are dissatisfied with the mandate, and 73% are searching for new jobs.
In addition to Amazon, companies like Boeing, Goldman Sachs, UPS, Dell and others are demanding that employees return to the office Monday through Friday. Yet, these mandates represent an outdated approach to management. The five-day workweek originated with Henry Ford in 1926 and applied to manufacturing employees. Today’s modern workforce, primarily comprised of knowledge workers, has dramatically different needs and responsibilities that require more flexible options.
Remote, hybrid and onsite workers all deserve to feel respected and heard. When companies dictate rather than collaborate, trust is eroded. Let’s take a closer look at how return-to-office mandates impact productivity at work.
Return-to-office Mandates Drive Increased Attrition
Flexible work options benefit working parents—especially women—who are disproportionately in charge of caregiving for children and aging parents. In fact, 38% of mothers with young children say that they would have to quit or reduce their work hours without workplace flexibility. That’s based on McKinsey’s Women in the Workplace report conducted in partnership with LeanIn.Org.
Not surprisingly, research by Upwork showed that 63% of C-suite leaders whose companies implemented return-to-office mandates say the policy has led a disproportionate number of women to quit. In addition, more than half agree that the loss of female talent resulted in a serious decline in productivity. In addition to women, a Gartner survey revealed that millennials and high performers are the most likely to quit when companies enforce return-to-office mandates. Among high-performing employees, their desire to stay dropped by 16%. And among millennials, the largest generation in the U.S. workforce, the intent to stay declined by 10%.
Employee Tracking Erodes Morale
Many companies use employee surveillance to ensure staff comply with return-to-office policies. For example, EY is tracking office attendance through turnstile access data. While badge systems were introduced as a security measure, employers like Google and Amazon keep tabs on workers through badge swipes. Some companies, like JPMorgan, are asking employees to log their whereabouts. Even TikTok unveiled an internal app called “MyRTO” to monitor time spent in the office.
Unfortunately, none of these mechanisms can track efficiency or productivity—only attendance. Another downside is that, based on a study published in Harvard Business Review, electronic monitoring leads to a decline in performance. When employers surveil employees, workers feel micromanaged, which leads to resentment and dissatisfaction. At that point, morale declines because trust is eroded.
Return-to-office Mandates Lower Engagement And Productivity
Research from Great Place to Work shows that return-to-office mandates cause employees to disengage from work. It’s a trend referred to as resenteeism—where people continue in roles even though they feel trapped. In the survey of more than 4,400 U.S. employees, those who can choose where they work are more likely to exceed expectations, maintain a productive managerial relationship and enjoy their workplace. The study supports that where employees work isn’t as predictive of success as much as whether they provide input into the policy. In fact, productivity was lower for both onsite and remote workers when employers mandate where they work. Finally, return-to-office policies don’t improve financial performance or firm values, according to research conducted by the University of Pittsburgh.
Return-to-office Policies Make it Harder To Attract Talent
In the modern workplace, flexible work is no longer a perk. For many individuals, it’s a necessity. Return-to-office policies shrink the talent pool by deterring candidates who require schedule flexibility and work-life balance. Unispace’s Global Workplace Insights report found that almost a third of organizations imposing return-to-office mandates struggle with recruitment. In-office policies also interfere with diversity and inclusion efforts by alienating key segments, including women, older workers and people with disabilities. And let’s not forget those from diverse and underrepresented backgrounds who live in remote areas or are unable to relocate. Forcing people back to the office full-time prevents these individuals from applying for roles that are out of their reach.
The data speaks for itself. Return-to-office mandates lower engagement, morale, productivity and retention—all without benefiting the bottom line. Instead of forcing employees back to the office, listen to what they want and need. Then collaborate with them to find the best solution. Only then will you cultivate a culture of trust and respect that benefits everyone.