I have posted this on Reddit (askeconomics) a while back but got no good replies. Copying it here because I don’t want to send traffic to Reddit.

What do you think?

I see a big push to take employees back to the office. I personally don’t mind either working remote or in the office, but I think big companies tend to think rationally in terms of cost/benefit and I haven’t seen a convincing explanation yet of why they are so keen to have everyone back.

If remote work was just as productive as in-person, a remote-only company could use it to be more efficient than their work-in-office competitors, so I assume there’s no conclusive evidence that this is the case. But I haven’t seen conclusive evidence of the contrary either, and I think employers would have good reason to trumpet any findings at least internally to their employees (“we’ve seen KPI so-and-so drop with everyone working from home” or “project X was severely delayed by lack of in-person coordination” wouldn’t make everyone happy to return in presence, but at least it would make a good argument for a manager to explain to their team)

Instead, all I keep hearing is inspirational wish-wash like “we value the power of working together”. Which is fine, but why are we valuing it more than the cost of office space?

On the side of employees, I often see arguments like “these companies made a big investment in offices and now they don’t want to look stupid by leaving them empty”. But all these large companies have spent billions to acquire smaller companies/products and dropped them without a second thought. I can’t believe the same companies would now be so sentimentally attached to office buildings if it made any economic sense to close them.

  • @BallShapedMan
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    211 year ago

    The answer that is common but I don’t see here is it’s a soft layoff result. It allows the company to reduce their employee spend because a percentage of them will resign without the publicity of doing a layoff.

    Without internal intelligence I feel like that’s what zoom is doing for example.

    • Ravenzfire
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      fedilink
      21 year ago

      I honestly think this might be pretty close to the mark. My company just announced RTO today but interestingly was pro WFH even before Covid with many of their staff hired as remote workers. They recently had to lay off a number of people and aren’t projecting to be making their numbers this quarter. So I do wonder if this is an attempt to shed more staff without taking active action to lay off more people and the moral hit that comes with that.

      • @BallShapedMan
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        21 year ago

        Those are all typical signs of doing a soft layoff is exactly what they’re doing. Not an uncommon tactic and it’s been popular for decades because it works.

        I first saw it in the early 2000s when the company I worked at expected everyone to work out of the Denver corporate office. Many refused to make the move and resigned, a few years later we swapped back and reduced the size of the office so nobody but Sr VPs even had a dedicated space in the office and folks moved as far away as Central America to work from again.