While the media reports on ‘return-to-office wars’ between employers and workers, there’s no need to get stuck in a stalemate. Hybrid work offers a happy middle ground that can boost profit simultaneously with employees’ well-being
As more businesses ask their employees to return to the office, not a week goes by without hearing about more ‘return-to-office wars‘ between employers and workers.
The BBC reports that a minority of businesses have “backtracked on previous promises of workplace flexibility, with some demanding a full return to office”, mainly because of economic uncertainty. Little wonder, then, that employees are fighting back. “In the current culture of job cuts,” we’re told, “many workers are not heeding the call to return to a commuter lifestyle.”
The result is a growing and concerning stalemate. Both sides are digging in, and frustration is mounting, which could impact company culture, cause productivity to stall, and ultimately hit the bottom line. The office, once a place of collaboration, becomes a battlefield. But it doesn’t need to be like this at all.
Commuting, not the office, is the issue.
The answer lies in striking a balance that will suit both parties, and a hybrid work policy—where time is balanced between a local flexspace, home, and central office—does just that. At its heart, it recognises that most employees object to the commute, not the office itself.
As IWG CEO Mark Dixon says, “Gone are the days when people were willing to tolerate long, costly daily commutes when the advantages of working in an office environment could now be accessed closer to home.”
As Dixon notes, this doesn’t mean the end of the office—it just means that it is now in a more convenient location. Indeed, IWG research has consistently shown that working closer to home is a win-win for employers and employees, showing that there’s no need for workplace stand-offs if employers facilitate it.
The benefits to workers
Working locally – in cities or the suburbs – is a trend gathering pace. Footfall data from IWG shows that demand for office facilities outside city centres grew by 36% in 2022, and it’s not hard to see why. In addition to revitalising local economies thanks to the increased economic activity in smaller towns and suburbs, workers are also commuting less, which is good for their finances and health.
IWG’s Hybrid & Healthy study found that commuting less allows employees to exercise 38% more and cook nutritious meals, improving their well-being. They’re also enjoying the health benefits of getting more sleep. Freed from the daily commute, workers get an extra three days of sleep a year, reducing their risk of heart disease, diabetes, and strokes.
Working closer to home promotes a healthier lifestyle and positively impacts mental health and stress. According to the same study, 66% of respondents reported good mental health due to the hybrid work model.
The benefits to employers
Happy, healthy employees often do better work, so it’s no wonder that hybrid working boosts business, too. According to IWG research, 79% of workers say they’re more productive in a hybrid model. This means productivity could increase by 3% to 4%—a big win for any business.
But the business perks of hybrid work don’t stop at productivity. IWG’s 2022 CFO study reveals the different ways in which finance officers are using the model to their advantage. At the forefront of this lies the ability to reduce their physical office footprint, with 65% of surveyed CFOs aiming to decrease facility spend by more than 10% per year.
Transitioning to flex spaces enables this cost reduction while aiding in achieving sustainability goals. Here’s how: a smaller office space produces less energy consumption for heating, cooling, and lighting, directly minimising a company’s carbon footprint. Moreover, employees working closer to home substantially reduce commuting emissions.
Also, hybrid work boosts talent retention and hiring, as it’s what employees want, as reflected in an IWG survey finding that around half of workers consider hybrid work a must-have in their next job.
Ultimately, all these benefits feed into the ultimate objective—boosting your bottom line. Combined, they help increase profits while keeping employees happy, so is there any need for the return-to-office conflict? The evidence indeed suggests not.
Long term benefits
In today’s evolving workplace landscape, embracing hybrid working is an intelligent strategy for employers. It can lead to increased productivity and overall employee well-being, help you save significant costs, and boost employee satisfaction. With more workers valuing flexibility, companies offering hybrid models will likely retain their existing talent and attract new, high-calibre employees.
The added bonus? It’s a sustainability win, as adopting a hybrid work model aligns with the global push towards net zero, reducing carbon emissions generated by commuting and by large, energy-consuming office spaces.
Discover how IWG can help your company navigate the shift to hybrid working and foster a thriving, collaborative work environment that respects employees’ needs and your business goals alike.