Writer: Eleana Teran
2 min read November 2022—With a potential recession threatening the end of remote work due to a cooling labor market, surveys continue to indicate that employees prefer to spend the majority of their time working remotely.
A new study from online loan marketplace LendingTree states that remote work has remained quite stable over the last 12 months, with research showing that 38.2% of Minnesotans worked from home in October 2022, compared with 35.3% in October last year.
Even as the pandemic subsided, 14% of full-time U.S. employees remain fully remote and an additional 29% work in hybrid arrangements, according to a WFH Research report. This shift has changed the way people use their time. As a result, Americans are spending 60 million fewer hours traveling to their workplace daily, giving employees more time for leisure activities and sleep.
Now, as the year comes to an end and the recessionary pressure increases, some companies are trying to lure workers back into the office. For example, leaders across the real estate space recognize the importance of the office as a place to drive a company’s culture and connect with employees. Jeremy Jacobs, executive managing director and market leader for Colliers, noted the toll that the hybrid environment has on a company since they can’t rely on space to reinforce the culture.
“As the economy sours and layoffs mount, we believe more and more employers will expect their employees to spend an increasing amount of time in the office. The line between retention and separation in a down economy could very well be drawn along the boundaries of those in the office versus those working from home. We think the pendulum will swing back to the employer with culture being a highlight of importance,” Jacobs shared.
On the other hand, other employers continue to leverage technology to aid with hybrid and remote possibilities. Tamara Lowney, president of Itasca Economic Development Corporation (IEDC), believes in some of the benefits that the remote environment provides and its role in talent retention. “The option to work remotely is a huge and important step that a lot of rural businesses need to take in order to retain those employees,” she said.
Similarly, other leaders turn to the benefits that technology provides to address the labor shortage. “We need to maintain and grow our workforce in what is a tight market with a lot of competition for talent. Creating and maintaining a positive culture, providing challenging opportunities and flexibility, which includes the ability to work remotely are all priorities as we continue to ensure this is a great place to work,” said Steve Wright, senior managing director of CBIZ & MHM in Minneapolis.
According to the State of Remote Work report developed by Owl Labs and Global Work Place Analytics, the number of workers choosing to work remotely increased 24% since 2021, and the demand for hybrid opportunities grew by 16%; while interest for in-office work decreased by 24%. Eighty-six percent of employees say they would be happier and 62% believe they would be more productive if they had the option to work remotely.
“Many enjoy the experience of being at the office, but they also want the flexibility of working at home,” Robert Kincade, president & CEO of Stonebridge Capital Advisors, told Invest:. “We redesigned the way we work to take into account what working from home means and how it is integrated with working at the office. We don’t have a hard-set policy, as long as we serve our clients the way they expect us and we have the opportunity to be social and learn from each other. Right now we are exploring this balance, just like many firms in the Twin Cities market.”
For more information, visit:
https://www.colliers.com/en
https://www.itascadv.org/
https://www.cbiz.com/
https://stonebridgecap.com/
