Current:Home > Scams2023 was the year return-to-office died. Experts share remote work trends expected in 2024-DB Wealth Institute B2 Expert Reviews
2023 was the year return-to-office died. Experts share remote work trends expected in 2024
View Date:2025-01-11 08:25:17
Remote work numbers have dwindled over the past few years as employers issue return-to-office mandates. But will that continue in 2024?
Remote work numbers started to slide after the spring of 2020, when more than 60% of days were worked from home, according to data from WFH Research, a scholarly data collection project. By 2023, that number had dropped to about 25% ‒ much lower than its peak but still a five-fold increase from 5% in 2019.
But work-from-home numbers have held steady throughout most of 2023. And according to remote work experts, they're expected to rebound in the years to come as companies adjust to work-from-home trends.
“Return to office died in ‘23,” said Nick Bloom, an economics professor at Stanford University and work-from-home expert. “There’s a tombstone with RTO (Return to Office) on it.”
Here are other remote-work forecasts looking ahead into the new year.
Companies figure out the hybrid model
While a number of companies issued return-to-work mandates this year, most are allowing employees to work from home at least part of the week. That makes 2024 the year for employers to figure out the hybrid model.
“We’re never going to go back to a five-days-in-the-office policy,” said Stephan Meier, professor of business at Columbia University. “Some employers are going to force people to come back, but I think over the next year, more and more firms will actually figure out how to manage hybrid well.”
Thirty-eight percent of companies require full-time in-office work, down from 39% one quarter ago and 49% at the start of the year, according to software firm Scoop Technologies.
Barbara Larson, an executive professor of management at Northeastern University, said too many companies have been focused on the number of days spent out of the office and not how to manage employees while they're away. For her, “that’s the clear next step.”
Because work-from-home productivity varies among employees, Larson said companies may start to develop more nuanced remote-work policies that aren’t one-size-fits-all. So while a company may allow one employee to work remotely full-time, another may be required to be in the office three days a week.
"The fact is that good remote work policies leave enough flexibility for there to be some form of performance-based adaptation," she said. "And that is harder to do than just having a kind of blanket, across-the-board policy."
How much is that remote job worth to youAmericans will part with pay to work from home
Expect remote work numbers to remain flat in 2024 … then pick back up
Bloom called remote work numbers in 2023 “pancake flat." Yes, large companies like Meta and Zoom made headlines by ordering workers back to the office. But Bloom said just as many other companies were quietly reducing office attendance to cut costs.
He expects the share of employees working from home to pick up as companies adjust to remote work, possibly starting as soon as 2025 or 2026. Imagine the chart mapping the data to look something like the Nike swoosh, he said.
“I think the numbers will gradually go up as this becomes more of an accepted norm, as future generations grow up with it being so widely available, and as the technology for for doing it gets better,” said Julia Pollak, ZipRecruiter’s chief economist. Reluctant leaders aging out of the workforce will help, too, she said.
While there’s a finite number of workers who have the option to work from home – one paper estimates that 37% of the country’s jobs can be performed entirely at home – Pollak said we could eventually see as much as 33% of the country's work days completed from home.
“Hybrid is going to be the new normal,” she said.
Better work-from-home technology
Improved technology will also help remote work figures rebound.
Pollak said she expects to see more companies invest in remote work-enabling technology this year. Think state-of-the-art rooms built for Zoom meetings, with privacy glass that hides the screen from passersby.
“There’s been a bit of a pause in business investment about the past year, 18 months, but that’s likely to recover when (interest) rates come down,” Pollak said. “That will likely lead to investments in these technologies that make remote and hybrid work better.”
And five years down the road, Bloom said offices may start implementing things like holograms and virtual reality devices to help remote employees connect.
"In the long run, the thing that really matters is technology," he said.
Redesigned office spaces
Companies may use the new year to redesign office space to make workers' time in the office more efficient, Meier said. That means building out spaces that facilitate brainstorming sessions.
“If you go into the office, it should be all collaboration and social interaction," he said. "Once we figure that out, I think there is going to be an advantage to a hybrid workplace compared to a work where everybody comes to the office five days a week."
A new take on office building continues
Expect to see more cities address the new work trends in 2024.
Meier expects more cities to look at easing zoning laws and other regulations to make it easier to convert empty office space into apartment buildings, a move that could help revitalize city centers and ease the national housing shortage. The U.S. office vacancy rate hit a 30-year-high of 18.2% earlier this year, according to CBRE.
We’ve already seen certain cities like San Francisco pass legislation that rolls back red tape to make office conversions easier. Meier expects other cities to follow.
“Cities have to reimagine themselves,” Meier said. “I expect 2024 and 2025, more cities are becoming really desperate.”
veryGood! (8247)
Related
- Satire publication The Onion acquires Alex Jones' Infowars at auction
- Recall: Jeep Wrangler 4xe SUVs recalled because of fire risk
- Live updates | Israel and Hamas agree to extend their cease-fire by another day
- Kansas scraps new license plate design after complaints: 'Looks too much like New York's'
- Texas’ 90,000 DACA recipients can sign up for Affordable Care Act coverage — for now
- Safety officials release details of their investigation into a close call between planes in Texas
- Harris plans to attend the COP28 climate summit
- South Africa march demands a permanent Gaza cease-fire on day of solidarity with Palestinians
- Kirk Herbstreit berates LSU fans throwing trash vs Alabama: 'Enough is enough, clowns'
- Burning Man narrowly passes environmental inspection months after torrential rain upended festival
Ranking
- Sofia Richie Reveals 5-Month-Old Daughter Eloise Has a Real Phone
- Inflation in Europe falls to 2.4%. It shows interest rates are packing a punch
- Biden administration proposes biggest changes to lead pipe rules in more than three decades
- Former WWE star Tammy Sunny Sytch gets over 17 years in prison for deadly DUI crash
- Dramatic video shows Phoenix police rescue, pull man from car submerged in pool: Watch
- Three songs for when your flight is delayed
- Warren Buffett's sounding board at Berkshire Hathaway, Charlie Munger, dies at 99
- Frances Sternhagen, Tony Award-winning actor who was familiar maternal face on TV, dies at 93
Recommendation
-
Roster limits in college small sports put athletes on chopping block while coaches look for answers
-
What does 'G.O.A.T.' mean? Often behind a hashtag, it's a true compliment.
-
Feminist website Jezebel will be relaunched by Paste Magazine less than a month after shutting down
-
EuroMillions lottery winner: I had to cut off 'greedy' family after $187 million jackpot
-
Eva Longoria Shares She and Her Family Have Moved Out of the United States
-
Harris plans to attend the COP28 climate summit
-
EuroMillions lottery winner: I had to cut off 'greedy' family after $187 million jackpot
-
China factory activity contracts in November for 2nd straight month despite stimulus measures