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72% of companies, globally, have mandated a return to the workplace

42% report higher attrition since implementing those policies

According to a new study by global workplace creation company, Unispace, employers across the globe report losing key employees due to return-to-office mandates, with recruitment also being impacted by enforced returns. However, companies are failing to recognise the drivers of workers’ reluctance to return to the workplace, and likewise, the opportunities and value that the physical workplace provides. That is according to a new study by global workplace creation experts Unispace.

Returning for Good, a Unispace Global Workplace Insights report – which combined the results of a survey of 9,500 employees and 6,650 employers from 17 countries worldwide – found that, of the 72% of companies globally that say they have mandated office returns, 42% now report a higher level of employee attrition than anticipated, while almost a third (29%) are struggling to recruit altogether.

The study found that employees are less reluctant to return to the office (51%) than they were in 2021 (64%). With a current reluctance of one in two employees however, there is still much to be done to engage the workforce.

Employers indicate notably higher levels of confidence around talent attraction activities carried out in the office when compared to remote, particularly for recruitment (89% versus 73%) and training new staff (84% versus 70%).

An overwhelming majority of employers (84%) also indicated that career prospects would be limited to those who work exclusively from home.

Three in four business leaders surveyed (75%) indicated that they have increased their real estate portfolio in the last two years, with companies across APAC reporting the highest rates of growth. This expansion includes talent attraction and revenue-generating trends such as creating hospitality spaces by 44% of firms.

Employers currently failing to recognise what employees need and value most

The study also revealed that employers have not recognised the challenges that employees have with their current workplace set up. The majority (58%) of workers indicated that they struggle to carry out their core job in the office due to distractions. Meanwhile, 83% of employers say they believe that the office is set up to allow their employees to be productive.

Employers also underestimate key workplace dislikes. Employees put a premium on productivity and personal space – citing missing the privacy they can access at home (31%), the ability to be more effective in a quiet environment away from the office (27%) and feeling more productive at home (23%) as top dislikes. In comparison, employers suggested that the commute was the biggest barrier to getting workers back into the workplace.

Joanna Fagbadegun, Sales Director at Lorien commented: “The results of the Unispace study don’t come as a huge shock – the culture clash between employees and employers in relation to returning to the office has been brewing for several months now. When I talk to clients, contacts, colleagues, friends and family about work, the discussion inevitably turns to remote vs hybrid, but more importantly – choice. Choice around which days and/or how many days you work from home vs the office. As prospective candidates and employees emerge into post-pandemic life it’s not one size fits all, and I think the increased desire to see staff return to the office comes at an incredibly tricky time; in the UK we’re dealing with record interest rates, unreliable public transport due to strikes, high costs of commuting… and to top it all off, your lunchtime sandwich and drink rarely leave you with much change from a tenner anymore.

The Unispace study reflects findings from Lorien’s recent UK candidate sentiment research survey, “What Tech Candidates Want”. We discovered that no under 25s surveyed want to work in the office full time, and that 61% of 35–44-year-old candidates surveyed wanted to work remotely all of the time.

It’s hard to say which way it will go as the market shifts away from being so dominantly candidate-led. I suspect there is a mental game of ‘chicken’ being played between employers and employees in relation to the return to the office, and it’s now a case now of who will blink first!”

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Musk calls WFM ‘morally wrong’ as office return polices spread

BlackRock Inc, mandates a four-day, in-office working policy 

Tech mogul Elon Musk has expressed strong disapproval of the trend of working from home (WFH), deeming it “morally wrong” amidst growing calls from employers worldwide to return to the office.

In an interview with CNBC, Musk argued that refusing to resume office work is not only a matter of productivity but also a moral dilemma. He referred to tech workers as the “laptop class” and drew a comparison between remote work and the infamous phrase, “Let them eat cake.”

Musk posed the question, “If you’re going to work from home, are you going to make everyone else who contributed to creating your car come work in the factory? Are you going to force those who prepare and deliver your food to abandon remote work? Does that seem morally right?”

He pointed out the unfairness of requiring some employees to continue working on-site while allowing others to work remotely, calling it “messed up.”

Musk’s stance sharply contrasts with AirBnb CEO Brian Chesky, who criticized fellow CEOs for their office return policies, stating, “I guarantee you that many of these CEOs who are calling people back to the office in New York City are going away to the Hamptons for the summer or going to Europe in August.”

These differing opinions emerged as more executives globally are encouraging employees to return to the workplace. In Australia, the CEO of CR Commercial Property Group labeled those who resist returning as “selfish,” citing the impact of WFH on city vibrancy.

BlackRock Inc, the world’s largest asset manager, has reportedly instructed its staff to return to the office at least four days a week starting September 11, according to Reuters. The memo seen by Reuters stated, “We will shift to at least four days per week in the office, with the flexibility to work from home one day per week.” Similarly, JPMorgan, America’s largest bank, requested its senior staff to resume office work, as did telecommunications company AT&T, which mandated its managers to be present in the office at least three days a week.

These calls coincide with a recent report revealing that many knowledge workers are being denied flexibility, despite 71% of C-level executives acknowledging the positive impact of hybrid and remote work models on employee morale.

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Western Australia targets British and Irish workers in search of a new life

88% of workers are planning to “work from anywhere”

The Australian state of Western Australia is targeting 31,000 UK and Irish workers, particularly key workers such as nurses, teachers, and police officers, to relocate Down Under for a more relaxed lifestyle and higher wages. Nurses in Western Australia typically earn over £49,000 per year, which is 58% more than the UK average of just over £30,000.

To attract UK and Irish workers, officials from Western Australia will attend job fairs across the UK to promote the benefits of moving abroad for a new career and a new life. The Western Australian government is confident that the appeal of higher wages, lower living costs, and a laid-back lifestyle will entice many UK and Irish workers.

The possibility of tens of thousands of workers leaving the UK for Perth could be alarming for HR directors who are already struggling to retain talent. However, companies can offer some of the benefits of working abroad without permanent relocation, such as offering “work from anywhere” flexibility to employees. A recent study conducted by IWG, the world’s largest flexible workspace operator, found that 88% of workers are planning to “work from anywhere” – UK or abroad. Over 50% of workers are planning to extend holidays this year to work abroad, with 67% agreeing that they can perform their job effectively abroad. 71% said that they would only consider a new job that gave them the flexibility to work from anywhere, at least some of the time.

Improved worklife balance was the most common benefit cited for working from anywhere (76%), followed by being able to spend more time with friends and family abroad (52%), saving money by travelling off-peak (47%), and being able to enjoy longer holidays (30%). Many office workers also want more financial support, as the cost-of-living crisis has had a drastic impact on the UK population.

The Western Australian officials believe that their pitch is unbeatable, with higher wages, lower living costs, and a laid-back lifestyle. Western Australia’s Police and Defence Industry Minister, Paul Papalia, was quoted as saying: “Our wages are higher, our cost of living is lower and our lifestyle is unbeatable.”

The Western Australian government’s proposal will pose challenges for UK companies, and HR departments will need to consider introducing “work from anywhere” flexibility and financial support to retain their talent. The current “war for talent” in the UK is well-documented, and tens of thousands of workers eyeing up a move abroad in search of higher pay and a more relaxed lifestyle could mean another battle for HR leaders.

Mark Dixon, IWG Founder and CEO commented: “For an increasing number of workers, the days of the daily commute are over, now that hybrid working offers the opportunity to work wherever we will be the most productive. And thanks to cloud technology, that can be anywhere in the world, provided there’s a high-quality internet connection available.

“So, it’s no wonder that more and more individuals are embracing the idea of combining work with travel, whether it’s for a few days tacked on to the end of a vacation, or a few months as a digital nomad.

“This trend is set to accelerate further, and we will continue to see more and more companies embracing WFA policies to improve employees’ work-life balance and increase their attractiveness as an employer.”

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In-person workers are 41% less productive than WFH’ers

New research reveals biggest time wasters among staff

In 2020, huge UK businesses took to remote work, and 78% of at-home or hybrid workers reported that their work-life balance improved.

A new survey by Reboot Digital PR Agency, was conducted to find out how much time people waste working from home versus in person. The survey looked at 5,265 UK workers aged 18-65.

According to the results of the survey:

  • In-person employees waste up to 4.26 hours per week on non-work-related activities.
  • People who work from home exclusively waste 41% less paid time than in-person workers, at just 2.5 hours per week.
  • Socialising takes up 19.89% of non-work activities, with in-person workers spending over 2.5 times more time socialising (14.32%) than their WFH peers (5.57%).
  • Social media is a top time waster across the board, making up 35.27% of non-work related activities. At-home employees use up 12.04% of their working hours on social media, while in-person workers use 23.23% of their work time scrolling.
  • At-home (11.09%) and in-person (19.91%) employees admit to shopping online, sleeping, playing computer games, and job hunting during working hours.
  • 6.49% of all workers admitted to sex during working hours. Those working from home said sex takes up 5.09% of non-work activities (approx. 3.4 minutes a week), while in-person workers spend 1.4% of their wasted time, or 3.6 minutes a week, engaging in sexual activity.

Debbie Walton, Editor at TALiNT Partners commented: “While I do feel I am far more productive while working at home, there is something to be said about the camaraderie of the team when we’re all together. Collaborating and catching up makes the world of difference to team morale and I do feel invigorated when I leave the office on the days we’re all in together. All working models have their pros and cons. It’s important that everyone finds what works for them and is supported by their leadership teams.”

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Travel and entertainment employee claims increase by over 20%

Employees avoid working from home due to concerns over increase in energy costs

A new report published by Global expenses app, ExpenseOnDemand, shown that as the cost-of-living crisis starts to impact millions across the UK, travel expense claims are surging, as employees start to reduce time working at home to keep energy bills down. The data revealed that mileage and travel expense and claims have increased by 21% while entertainment claims by 15% showing that employees are spending more time out visiting contacts, clients, and colleagues.

According to the report, the trend for working from home is starting to shift as employees are leaving the house to keep energy costs down, however, the cost of the commute to the office doesn’t make going back to the workplace a viable option. Hence, many employees are focussed on meeting and entertaining clients and contacts as a way to spend time away from their home office during the working week. For those with cheaper commutes, many are heading back to the office for the majority of the week and this trend is expected to continue throughout winter.

Sunil Nigam, Founder at ExpenseOnDemand, commented, “We could be looking at a situation where workers want to spend more time meeting clients or in the office to better manage their domestic energy and electricity costs.

This trend is naturally causing a surge in employee expenses. Companies need to ensure they are equipped to manage claims and also monitor dubious expense claims, as employees may try to increase their income. We use advanced tech solutions to make managing expenses seamless, minimise bogus claims and help our clients ensure they aren’t overpaying on expenses.”

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65% of SME employees unlikely to take sick leave when WFH, says new data

Lack of well-being benefits for SME works 

A recent survey revealed that 65% of SME employees are hesitant to take sick leave when working from home.

The survey, conducted by HR Software provider Breathe, looked at the current state of well-being among SME employees. The survey was conducted across 1,264 UK SME employees, and the respondents were asked a series of questions regarding sick leave, mental health, and remote working. The goal of the survey was to establish whether the pandemic had a lasting effect on the working world and the impact of hybrid working.

According to the data, there is an ongoing pattern of presenteeism, with 65% of respondents saying they are less likely to take sick leave when working remotely and 42% of respondents feeling the need to prove their productivity while working remotely.

Of the workers who didn’t take sick leave, despite feeling unwell:

  • 32% could not financially afford to take time off work
  • 25% were too busy to do to take time off
  • 21% didn’t want to let their colleagues down
  • 20% felt pressured to work through it

The data suggests a lack of benefits aimed at employee well-being. Seventy-two percent of SMEs do not offer well-being days despite 35% of workers feeling that well-being days would be helpful.

The survey also found that only half of SMEs offer flexible working, even though 67% of the respondents believe that WFH supports work-life balance and overall well-being

Another finding was that 54% of SME employees work overtime when WFH. Forty-four percent of employees struggle with feeling ‘seen’ by their employers. A further 47% said they were less inclined to take a lunch break when working from home.

The survey also found that:

  • 41% of workers felt that their symptoms weren’t severe enough to take sick leave
  • 36% of SME workers reported mental health issues in the past three months
  • 12% of workers have taken sick leave for mental health reasons
  • 67% of SME workers say working from home improves their work-life balance, but 54% report they are still more likely to work longer hours than usual
  • 48% of SME employees are offered flexible working whereas 27% are not offered it but would find it the most useful benefit

Balancing a company culture in a hybrid working world is a challenge, and SME leaders need to address toxic traits in their existing culture, like overworking and presenteeism, to maintain a healthy and productive workforce.

Rachel King, UK General Manager, Breathe, commented: “The benefits for mental and physical well-being that come from a flexible approach to work patterns have been widely discussed but are still so important. Flexible working can positively impact physical, mental and financial well-being. That said, working from home has proven effective for many people, but crucially not for all. It’s often the case that people find themselves working longer hours and taking less sick leave, under pressure to be seen as super productive when working remotely. Employers should look for ways to tackle the ‘always-on’ ethos and habits that have crept into remote working culture. Focusing on creating a culture that supports flexible working as standard can benefit teams and improve productivity if handled intentionally.”

Lizzie Benton, Company Culture Coach & Founder at Liberty Mind, added: “As a business, your attitudes, behaviour, and beliefs will all ultimately present to people what you truly think about employee well-being. If people are feeling unseen and pressured to work through illness, that’s really not a good sign. Now is not the time to ignore your culture and the true ripple effect it has on your people. After two years of momentous life changes, employees across the UK are considering whether where they work is adding to their life or taking something away. That’s why it’s important to put your people first when making decisions that impact them both personally and professionally. Creating a positive healthy company culture is ongoing work and it’s a choice that will benefit your business in the long run.”

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Pay attention to employee loneliness; a recent survey suggests

Dealing with distance in a post-pandemic workplace

Focusing on employee mental health in the wake of the Covid-19 pandemic, a recent survey commissioned by Cigna among US adults has shown that employers need to pay attention to feelings of loneliness among their employees.

The survey of almost 2,500 respondents conducted by Morning Consult showed that employees experiencing loneliness were less likely than their colleagues to say that they could work efficiently and perform to the best of their abilities. They were also more likely to say that they were “mentally somewhere else” while at work during the last three months.

In 2020, an analysis by Cigna showed that loneliness costs employers more than $154 billion per year in lost productivity caused by absenteeism.

Productivity isn’t the only negative result. The survey also found that employees experiencing loneliness were three times more likely to be dissatisfied with their jobs than their peers. A further 30% of lonely employees admitted feeling unwell or sick while at work in the past three months.

While the circumstances surrounding the pandemic may have led to more flexible remote working arrangements for many, isolation and loneliness were also side effects of the new working situation. Together with exhaustion due to blurred boundaries between work and home life, these feelings have added to the stress of many employees.

Cigna highlighted three areas that employers could focus on to address issues with workplace loneliness:

  • Regular activities that bring employees together, both in-person and virtually, such as town hall events, volunteer events, and employee resource group meetings.
  • Providing employee benefits that support mental and emotional well-being while remaining mindful of the barriers that may prevent employees from accessing the help they need.
  • Diversity, equity, and inclusion initiatives could also go a long way to creating a safe and welcoming environment for employees.
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The start of the four-day work week?

Experts examine the pros and cons of the potentially game-changing pilot scheme

This week, more than 70 companies are kicking off a four-day work week. Over 3,000 employees will be working a shorter week, with no impact on salary, between now and December as part of a nationwide pilot project.

Between 2020 and 2022, the pandemic “moved the goalposts” on office life. As a result, many workers experienced the flexibility and work-life balance of remote working for the first time during this period. On the back of that, many organisations are now trying to work out new, more productive ways of working. If successful, this scheme is likely to completely change the working world as we know it.

Experts have examined the possible impacts of this change and question whether this change is a gimmick or a progressive move to the future. Before adopting the four-day work week, businesses are encouraged to examine their reasons for making this change and consider whether this development will truly solve any problems or simply plaster over bigger issues.

Laura Baldwin, President at O’Reilly, commented: “When it comes to work schedules, what people really care about is flexibility. It’s not about four days or five. Either is still very prescriptive and doesn’t account for the varied reasons many employees want flexibility – for example, to manage five-day-a-week school pick up hours. For the burnt out, overworked employees who went above and beyond during the pandemic, fewer hours, worked flexibly across five days is likely to mean more than a four-day slog.”

“For businesses, the four-day week can also create complicated scheduling nightmares – especially for smaller organisations. While some larger organisations can implement A/B schedules where, for example, half of the employees are off on the Friday and the other half, Monday, this won’t work for smaller teams that need cover all week. Instead, there needs to be more effort invested in creating real cultures of flexibility, which can best serve employees without forgetting the needs of customers.”

“Quite simply, customers expect (at least) a five-day-a-week service and until every organisation moves to four days as standard there will be a very hard balancing act to cut to four. Dropping the ball on customer experience to pay lip service to flexibility is a losing strategy for all.”

“If you’re thinking about a four-day workweek, use it as a prompt to ask, what is it that you are really trying to solve? Are you trying to create a shortcut to flexibility? Will this rather drastic move really create the flexibility your employees want? Will it enable work-life balance, but also get the work done? Could it be you are looking for a sticking plaster to bigger issues? Rather than embracing trust and flexibility for your teams, are you just seeking another way to exert control behind a facade of a four-day gimmick?”

In his recent blog on the subject, Ken Brotherston, CEO at TALiNT Partners also questions whether this was a situation of designing a problem to fit a solution.

He asked where the idea of working less originated. If society begins to work less and results in lower growth and higher national debt, we may be creating bigger problems for future generations.

Another concern is that while this new scheme could create an improved work-life balance for some workers, without clear boundaries, staff could feel more burnt out than before as they’ll have to complete five days of work in four.

Staff will need guidance to help them adjust to the change, to ensure that they’re not working additional hours in the four days that they are working. This creates more issues for leadership teams who are already having to deal with burnout among staff since working from home became a full-time gig. There is no divide between work and home.

Andrew Duncan, Partner and EMEA CEO, Infosys Consulting, commented: “Many businesses are acutely aware of the positive impact that location-agnostic policies can have on employee wellbeing. It is clear that flexibility-forward is the approach of the future, however, ensuring these policies are properly structured is key to making them a success.

“With the launch of four-day working week trials, outlining clear parameters around these policies will be vital. Failure to do so risks a downturn in quality as talent attempts to squeeze the same amount of work into a shorter week.

“This also poses risks from a people management point of view potentially resulting in burnout or staff working outside of agreed hours, setting back aims to improve work-life balance.”

Paul Modley, Director, Diversity, Equity & Inclusion at AMS, commented: “The flexibility of being able to work four days a week will certainly help create a better work-life balance for some workforces. However, this concept is new to individuals and businesses alike. The key hurdle to overcome if this is to be successful is the careful management of workloads. If staff are cutting their hours by 20% but their workload and delivery expectations remain the same, employers could face a scenario where people are struggling to meet expectations and failing to take breaks or working overtime during the new working week in order to gain an additional day off.”

“With the right communication and careful management a four day week can work, but without appropriate implementation, employees can become disengaged with a brand or even feel disgruntled with the forced reduction of days. In an economy where talent shortages are rife and retaining staff is a critical business priority, it’s important to ensure that any changes to work set ups are delivering against the needs of individuals as well as the company. At AMS all of our roles can flex to some degree so we have experience in making different working methods successful across the globe. It’ll be interesting to see the results of this trial, but the information that will be most valuable from my point of view will be the feedback of staff themselves, not just the productivity data from the businesses.”

Regardless of the outcome, this new way of working is sure to divide the workforce with flexible and hybrid working already becoming a bug bear to those employers who want their staff back in the office full-time, post-pandemic.

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Indeed: Gen Z still don’t want to work in-office

The pandemic has stifled their career

According to a recent by Indeed, findings are on par with what HR experts know about Gen Z leading the Great Reshuffle. Likewise, the report builds on previous data wherein Gen Z feels disconnected and disadvantaged due to working remotely. In February 2022, Washington State University’s Carson College of Business reported that most of their Gen Z survey-takers felt that the COVID-19 pandemic stifled their career.

Indeed’s May 2022 report contextualizes these concerns with a fresh spin. Simply put, just because Gen Z feels as if they’re missing out on office work does not mean they want to start working in the office full time, if at all.

Flexibilty, as well as other perks, remains one of the ways employers can help attract and retain their young talent. Indeed’s research highlights that explicitly with the report finding that 95% of Gen Zers are considering a job with more work-from-home flexibility and 78% are actively looking for one.

Just less than half (47%) of Gen Z responders told Indeed they’re very likely to change jobs within the next 12 months, more than the slightly older cohort, millennials. Of those Gen Zers making moves to jump ship, 61% were driven by employers’ implementation of a return-to-office plan conflicting with their work from home desires.

Despite their concern, for example, more than half of Gen Zers interviewed by talent acquisition firm Lee Hecht Harrison reported career anxiety, young professionals don’t appear to be compromising on their values anytime soon. In fact, they want employers whose moral code matches theirs.

In summary, employers have two sure fire ways of attracting and retaining talent: Offer work flexibility and find define the employer brand so that candidates are attracted to who you are, not just what you do.

 

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Over two-thirds of workers will return to office if employers pay for the commute

New survey looks at popular issues facing the future of work

According to Emburse’s new YouGov survey of 1,000 British office workers, it was found that 68% of British office workers would consider working from the office full-time if their commute was fully paid for. However, 27% of respondents wouldn’t consider coming back into the office full time, even if costs were covered by their employers.

The survey revealed that two-thirds agreed that Wednesday was the best day to work from the office if given a choice. On the other hand, Friday was the least popular office day at only 10%.

The top incentive to go back to the office was a four-day workweek (59%). Other findings related to incentives included:

  • Fully-paid commute: 52%
  • More paid holidays: 51%
  • Employer-paid lunch in the office: 30%
  • Reimbursement for lunch expenses: 24%
  • Paid childcare on workdays: 14%

The survey also found that most are not concerned about proximity bias, but 24% worry about career prospects.

Kenny Eon, GM and SVP EMEA at Emburse, commented: “The impacts of COVID and the Great Resignation mean that companies need to be more employee-centric in their approach, and humanising the workplace has never been more important. Part of this means ensuring team members get the best possible work environment. Whilst working remotely is certainly convenient for employees, there are clear benefits of having in-person interactions, as well as the cultural importance of bringing teams together. Data clearly shows that they are more productive than audio or video meetings, so there needs to be a balance between convenience and productivity. A relatively small investment from employers could have a significant impact in driving more in-office collaboration.”

“Given the sharp increase in the cost of living, businesses should consider how they can support staff by reducing the financial burden of attending the office in-person. Reimbursing travel and lunches can certainly help do this. It also doesn’t have to mean endless time on paperwork, as expense apps can make the process easy for both the employee and the finance team.”

With inflation reaching a 30-year-high of 7% and national insurance hikes, clearly, commute costs are deterring workers from returning to the office.

Employers will need to observe and respect their employees’ preferences to create a hybrid working arrangement to shape and maintain a productive workforce.

 

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