LAST UPDATE | 20 Sep
AMAZON, ONE OF the world’s largest employers and a key investor in Ireland, has just announced a return-to-office (RTO) mandate requiring staff to return to the office five days a week starting in January 2025.
Similar announcements have been made recently by other big global employers with US-centric workforces, such as Starbucks and Nike.
While the move is significant and highly visible, it also presents an opportunity to interrogate why this is happening. For all the recent breaking news on the supposed demise of remote work now that the pandemic has finished, it is important to engage with experts in the field of distributed work and to examine the data behind why remote and hybrid operating models — when implemented correctly — can have a significantly positive impact on people, profit and the planet alike.
Is it therefore time for companies and all other stakeholders to stop focusing on ‘where-to-work’ and instead focus on ‘how-to-work’?
In a recent conversation between global remote ecosystem thought leaders Nick Bloom (Stanford Professor | LinkedIn Top Voice In Remote Work | Co-Founder wfhresearch.com) and Dan Bladen (Co-Founder & CEO of Kadence) it was noted by Nick that firstly there is not much strong evidence outside of Amazon that this move is good for business performance. It was also noted that this may not be their final take on a flexible work policy and that this is in fact a 3rd or 4th version, so it will be worthwhile to review what has actually been implemented or enforced and then take stock of the impact.
At Grow Remote, we recognise that flexible work policies aren’t suitable for everyone or every company. We also know from our community and data that remote work brings positive social and economic impact to local communities. So, while some employees may be happy to return to the office, others will find this news extremely disruptive to their social, economic and environmental values and needs.
For example, an Amazon Software Engineer shared this immediate reaction to the mandate on LinkedIn:
Research from the University of Galway and the Western Development Commission supports the sentiment behind this public reaction. Their 2023 Remote Working Survey found that 92% of respondents indicated remote/hybrid working would be a key factor in deciding to change employers. The IBEC HR Update 2023 found that 52% of respondents had more difficulty attracting and retaining talent for on-site roles compared to flexible/hybrid ones.
Remote work flexibility clearly also has a positive impact on employee engagement and retention. A recent Gallup study found that exclusively remote and hybrid employees have significantly higher engagement than on-site workers. In contrast, remote-capable employees required to work on-site have experienced the largest drop in engagement since 2020.
There is also financial evidence: a recent Flex Index report revealed that fully flexible public companies outperformed their peers by 16 percentage points in revenue growth from 2020-2022.
The FRS Recruitment Employment Insights Report 2023 also highlights increased productivity in remote workers: more than nine out of 10 believe they are as productive or more productive when working from home. Employers agree, with over 75% saying their employees are as productive or more productive remotely.
Forcing a full RTO (return to office) mandate is clearly a risky move, now that the business case for distributed work and flexible work policies is backed by both data and demand.
Annie Dean, Global Head of Team Anywhere at distributed work champions Atlassian, has consistently emphasised that the debate around remote work should focus on “how-to-work” rather than “where-to-work” and that many CEOs mistakenly see the return-to-office as a solution for productivity issues. She insists that in reality, it’s evolving work practices that are the key to success not only in a distributed work environment (where company employees are based in various locations) but in any successful business.
Closer to home, Irish companies like Otonomee have embraced distributed work and are thriving. Chief People Officer Brendan Ring recently stated, “We believe in giving employees the choice of where they live and work. It’s about giving people autonomy to do their best work.” Otonomee raised €1.5 million in 2023 and recently launched a recruitment drive for over 150 new team members with many of those jobs landing in Ireland.
Amazon’s decision is significant but not indicative of a global trend. There are many companies, such as HubSpot, Globalization Partners, Nearform, GitLab, Workvivo, Revolut, Airbnb and WP-Engine who continue to embrace remote and hybrid work models and thrive.
These companies and many more are hiring remotely in Ireland today and you can access their career pages directly from our public career resources pages. We have +250 more of them listed as well as +10 jobs boards that are dedicated to remote employers to help make remote more visible and accessible.
Transitioning to a flexible work model is not without challenges. Companies like Amazon face really complex issues related to policy, property, culture and management. Remote work is not about simply sending employees home with laptops; it requires intentional restructuring of systems, processes and skills development.
For companies just starting or struggling with remote work, resources are available. Grow Remote has developed targeted training programs like “Leading Remote Teams” and “Transition to Remote,” designed to help organisations navigate these complexities.
Big brand employer returns to office mandates don’t mark the end of remote work. They instead highlight the need for continued systemic changes, support for companies transitioning to remote work and the need to shine a light on those who embrace it and thrive. The future of work includes hybrid, flexible and globally distributed models.
Companies that fail to adapt risk falling behind in talent acquisition, employee engagement, and profitability. It is now time to change the conversation and focus on unlocking the social, economic and environmental benefits that distributed work can bring to people’s lives, local communities and employers.
Graham Harron is Impact & Data Lead at Grow Remote.
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