On-demand webinar: Unlocking success with remote-first

The remote vs. office battle is currently experiencing a resurgence in 2024. Though many companies and employees continue to embrace remote or hybrid work, there have been notable pushes to return workers to offices. And it’s caught many by surprise.

“I'll admit, pre-pandemic I was a location-based leader. I wanted everybody in an office,” Bjorn Reynolds, CEO at Safeguard Global. “I can say I've taken a full 180-degree turn. Now we have a flexible policy, and we see the benefits.”

Reynolds shares his experiences with the successes of a remote workforce in our recent webinar, “Unlocking success with remote-first: A strategic approach to modern work.” He was joined in the webinar by Dr. Gleb Tsipursky, CEO of Disaster Avoidance Experts, a leading voice in future of work conversations. Watch the on-demand webinar now

Data from the Bureau of Labor Statistics shows the continued prevalence of remote work. From August 2024 to August 2023, we saw a significant increase in the percentage of workers engaging in some form of remote work, rising from 19.5% to 22.8%. This figure encompasses both hybrid and fully remote workers, highlighting the diverse range of flexible work arrangements now available.

Perhaps most striking is that this growth in remote and hybrid work arrangements has occurred despite renewed efforts by some companies, most notably Amazon, to bring employees back to the office.

This resilience suggests that remote work has become deeply ingrained in the modern workplace, with both employers and employees recognizing its tangible benefits. As we move forward, it's clear that remote work, in its various forms, will continue to play a significant role in shaping the future of work.

The rise of "hushed hybrid" work arrangements is reshaping the landscape of remote work, challenging traditional return-to-office (RTO) mandates. This phenomenon, where managers quietly allow their teams to maintain flexible work schedules despite official company policies, highlights the growing disconnect between top-down directives and on-the-ground realities.

“The managers are not focusing on how often (employees) are coming to the office,” Tsipursky says. “They're focusing on the outcomes.”

Many companies have attempted to enforce strict RTO policies, but these efforts are often undermined by a lack of buy-in from leadership and managers. In fact, a recent study revealed that 70% of U.K. managers are quietly permitting work-from-home arrangements contrary to official back-to-office mandates. This covert flexibility demonstrates the widespread recognition of remote work's benefits among those directly responsible for team productivity and morale.

The reluctance to enforce RTO policies stems from several factors. Many managers and executives have themselves grown accustomed to the advantages of remote work, making it challenging to advocate for a full return to the office.

Moreover, when productivity and outcomes remain strong in remote settings, there's little incentive to disrupt effective work arrangements. This sentiment is echoed in the statistic that 46% of workers find it easier to build relationships with their remote colleagues than their in-office counterparts, challenging the notion that in-person work is necessary for team cohesion.

A recent paper from INSEAD, a prestigious European business school, sheds light on the dynamics of collaboration in remote work settings.

The research emphasizes that effective collaboration hinges not on physical proximity but on the feeling of social closeness among team members. This finding challenges the traditional notion that being physically present in the same office is essential for successful teamwork. Instead, the study suggests that strong social ties can bridge the gap created by physical distance, fostering trust and enhancing collaboration.

Despite this understanding, many companies still struggle to cultivate a culture that supports remote collaboration.

“What typically happens is that companies don't develop a culture of figuring out and coordinating on how they should collaborate remotely,” Tsipursky says.

Often, organizations fail to establish clear guidelines for remote communication and coordination. For example:

Without a deliberate effort to address these issues, employees may develop inconsistent habits that hinder effective collaboration.

To navigate these challenges, it is important for companies to engage in open discussions about their collaborative processes and encourage dialogue among team members about their preferred communication styles and expectations.

A recent study by Nature has shed new light on the impact of hybrid work arrangements on employee performance and retention. The research, conducted in the airfare and IT division of a major company, offers compelling evidence for the benefits of flexible work schedules.

Half of the staff, primarily software programmers, were assigned to a traditional five-day in-office schedule, while the other half followed a hybrid model, splitting their time between remote and in-office work. After six months, the results were striking and statistically significant.

Managers' performance evaluations revealed that hybrid workers outperformed their full-time office counterparts by approximately 3%. This productivity boost challenges the common assumption that in-office work is necessary for optimal performance. Instead, it suggests that the flexibility afforded by hybrid arrangements may actually enhance output and efficiency.

Even more remarkable was the impact on employee retention. The study found that retention rates for hybrid workers were 35% higher compared to those working full-time in the office. This substantial difference highlights the strong preference many employees have for flexible work arrangements and their willingness to stay with companies that offer such options.

“I love being able to have the flexibility to go and pick my kids up, to have some of the flexibility that maybe before was more challenging because I'd have to commute to the city, commute back out,” Reynolds says.

The financial implications of these findings are significant. While the 3% performance increase is certainly valuable, the potential cost savings from improved retention are even more compelling.

When considering the expenses associated with hiring and training new employees, not to mention the initial productivity dip that typically occurs with new hires, the economic benefits of a hybrid model become clear. By reducing turnover and maintaining a more stable, experienced workforce, companies can realize substantial savings and maintain higher overall productivity levels.

The insights shared by Reynolds and Tsipursky in our webinar provide valuable perspectives on the evolving landscape of work.

“I think the main thing to start the ball rolling is to really treat your employees like adults and trust them to get their work done and help them coordinate on how they get their work done most effectively,” Tsipursky says.

From the resilience of remote and hybrid models to the importance of fostering collaboration and enhancing employee retention, the discussion is full of actionable strategies for organizations navigating this new era. See for yourself and watch the on-demand webinar now.