12/18/2024

Studies Show Companies Mandating RTO See Slower Workforce Growth

Office mandates cost companies hard-to-replace workers

Workforce growth among companies that allow hybrid work is outpacing that of firms mandating a return to offices, data from Revelio Labs shows.

Since the pandemic, some executives have pushed for workers to spend more time in offices, arguing it fosters a more attractive work culture. Amid resistance from many employees, some organizational psychologists and management experts have theorized that companies are using office mandates as a tool to push workers out, generating departures even as they seek to cut costs and downsize their workforces through traditional layoffs.

The findings from Revelio, a workforce analytics company, drew from data on hiring and attrition at public U.S. firms. They illustrate that return to office (RTO) policies are in fact translating to smaller workforces, while “companies that are fully remote or flexible are able to grow faster,” said Loujaina Abdelwahed, the Revelio economist who conducted the analysis.

Please select this link to read the complete article from The Washington Post.