According to an economist, remote work is enduring and will continue to be a viable option.

• Remote work surged during the Covid-19 pandemic and appears to have staying power.
• The sentence has remained popular because it offers advantages to both employees and employers, economists noted.

The trend of remote work, which gained prominence during the Covid-19 pandemic, seems to be a permanent fixture in the U.S. labor market, according to economists.

The work-from-home revolution is a significant change in the U.S. labor market in recent years, according to Nick Bunker, economic research director for North America at job site Indeed.

"It's still going strong," he remarked. "It's likely to endure for a considerable duration."

The remote work label encompasses employees who work from home full-time and those with hybrid arrangements, where businesses may require workers to spend a few days in the office and the rest from home.

Such arrangements were rare before the pandemic, economists said.

During the early days of the pandemic, they were productive despite the stay-at-home orders.

Remote work opportunities have stabilized above pre-pandemic levels, despite a decrease from their peak, economists said.

Since early 2023, the number of days worked from home during the workweek has remained constant between 25% and 30%, which is more than three times the pre-Covid rate, according to WFH Research data as of July.

According to Indeed data from June 30, the percentage of online job listings that advertise for remote or hybrid work has stabilized at approximately 7.5%, which is three times higher than in 2019.

Nick Bloom, an economics professor at Stanford University who studies workplace management practices, recently stated that remote work is here to stay.

Why remote work has endured

The persistence of remote work is mainly due to its advantages for both employees and employers, according to economists.

An 8% raise is valued by workers as much as hybrid work, according to Bloom's research.

Job seekers value the aspect of work that employers find difficult to "wrench away," according to Bunker.

The federal minimum wage has been $7.25 for 15 years.

Remote work is also a profitable arrangement for businesses, economists said.

Bunker said that remote work expands the pool of potential candidates during hiring.

Remote workers tend to quit less frequently, reducing company outlays on hiring, recruitment, and training, according to Bloom.

According to WFH Research, about 36% of employees with jobs that could be done remotely were instead working in the office full time as of July.

According to a 2023 ZipRecruiter survey, 45% of employers cited reduced ability to observe and monitor employees as a downside of remote work, while 42% cited reduced peer mentoring.

Bunker stated that if there is an economic downturn, employers may reduce remote work, which could result in workers losing their bargaining power.

He doubts that many would make the switch to remote work, considering the financial advantages it offers, and it may decrease morale and productivity during a time of low morale.