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U.S. Companies Push for In-Office Presence to Drive Engagement

The trend of flexible work models is gradually shifting, as almost two-thirds of U.S. companies (61%) have implemented a formal policy that requires employees in the office for a minimum number of days per week. That is according to the Flexible Work Models Pulse Survey by WTW, a leading global advisory, broking, and solutions company.  

The drive behind greater in-office presence is the belief that face-to-face interactions boost employee engagement within teams (84%), strengthen corporate culture (71%), and increase collective productivity by promoting personal interaction of teams (64%). However, this contrasts the leading benefits of remote work, including promoting attraction and retention of specific roles that could not be filled without remote work options (84%), increased engagement by having better work-life balance (78%), and greater employee retention (76%).  

“As employers strive to balance corporate and workforce needs regarding engagement and productivity by encouraging employees to return to the office, a lack of clear structure around designated office days will hinder progress towards improved team collaboration,” says Russ Wakelin, senior director of rewards data and intelligence at WTW. “Reviewing the total rewards backage and seeking employee feedback are essential steps to ensure alignment with needs and expectations while considering realistic changes that will motivate employees to return to the office.”  

While employers push for a greater office presence, there is still some work to be done to achieve a healthy balance. Reflecting on WTW’s Flexible Work and Rewards Survey: 2021 Design and Budget Priorities, conducted during the height of the COVID-19 pandemic, employers anticipated that 43% of employees would have returned to working fully on-site by now. Today, just one-third (34%) of the workforce is in-office for most of the week, which highlights the impact of enabling positive work-life balance. Moreover, less than half (48%) of employers insist staff be on-site for two to three days a week and only 4% require staff to be on-site for four days a week.  

And, despite the implementation of formal policies, more than half (51%) of organizations say that they have no set rules to determine days on site, so employees can choose the days they work remotely without restrictions. 

Organizations appear to be taking a gentler approach to having an on-site presence, as 59% are not currently promoting bringing employees back into the office and 27% are improving office facilities, such as improved dining facilities, gyms, and physical therapy to entice in-person interaction. These efforts are likely due to concerns for an uptick in attrition if employees’ needs are not taken into account. 

Employees’ desire for remote work has also increased. According to WTW’s Global Benefit Attitudes Survey, 53% of employees that have work that can be done remotely indicated they would look to change jobs within 12 months if their employer mandated a full-time return-to-office policy. Almost half (48%) of hybrid and remote workers reported they would be willing to take a pay cut of 8% on average to have work flexibility. 

“Organizations must take a holistic look at the entirety of the employee experience to truly make hybrid working effective and to meet the needs of employees and employers. This includes looking at the work environment, talent and reward programs and policies, leader and manager effectiveness, and culture,” says Jill Havely, managing director of employee experience at WTW. 

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