The CEO's "return to office or else" policy is not achieving the desired results in 2024.

• Several significant corporations, such as Boeing and UPS, have returned employees to the office five days a week, although this is not the norm.
• IBM has mandated that managers must be present in the office for at least three days, regardless of their location, or face termination.
• According to recent surveys, companies are likely to closely track office attendance even if five days a week is no longer a requirement in 2024.

Boeing and UPS have recently mandated a return to the office five days a week, despite being unique cases. Boeing is facing a crisis of business quality controls at its most critical level, while UPS made the announcement on the same day it laid off 12,000 corporate workers.

According to a survey by the Conference Board, only a few U.S. CEOs plan to prioritize bringing workers back to the office full time in the upcoming year. However, companies that are firm in their stance on returning to the office recognize that it may not be suitable for everyone and are willing to take the risk because of the importance placed on in-office collaboration.

Jotform, a platform with approximately 660 employees, has decided to mandate employees to be in the office five days a week. In an email, Elliott Sprecher, vice president of marketing, stated, "We hope our team members can comprehend the rationale behind our policies and align with our vision of maintaining effective communication, collaboration, and internal talent development in person at the office. Although this may take some time to adapt to, we believe that this is in the best interest of the company and all those involved in it."

IBM has informed managers that they must spend a minimum of three days a week in an office or client location, or risk losing their job, even if they have relocated during the pandemic.

More companies are following the lead of Google, JP Morgan Chase, and law firms including Skadden, Arps, Slate, Meagher & Flom, and Davis Polk & Wardwell by making it clear to employees that a return-to-office mandate is not optional, and in some cases, warning about potential consequences for non-compliance.

In 2024, 800 business leaders polled in December revealed that 8 out of 10 companies will monitor employee attendance in the office. Furthermore, 95% of companies stated that employees could face consequences, including job loss, bonus, and salary risks, if they do not comply with attendance tracking.

Despite the January nonfarm payroll report showing significant outperformance in total number of jobs added to the economy and the level of wage increases, some employees are still disengaging and exhibiting behaviors such as quiet quitting or coffee badging. This presents challenges for companies, especially with the labor market showing signs of weakness and a notable pickup in layoffs.

Laura Putnam, CEO of Motion Infusion, stated that leaders are facing challenges in finding the right path forward for both the company and their employees, as the future remains uncertain.

Companies must be aware of the current status of RTO.

A critical mass of workers are still ignoring RTO mandates

While many companies are intensifying their messaging about returning to the office, they are not necessarily following through with enforcement, according to Henry Nothhaft, Jr., president of EssentialDx. This is because there is a significant number of employees disregarding the policy, and many of them are still productive workers.

Companies are struggling to discipline lower-level employees because their superiors are not adhering to the same rules. According to Betsy Henning, managing partner of Finn Partners, if leaders are not present to monitor, observe, and develop relationships, the need for being in the office becomes obsolete.

Some businesses are using strict in-office policies to eliminate underperformers, but they are often just collecting data and waiting, according to Putnam. Even if they want to take a tough stance, there are other factors at play, such as not wanting to lose or disenfranchise good workers.

Employees continue to want flexibility

While some studies suggest high productivity levels among remote or hybrid workers, other companies have reported significant productivity gains when employees return to the office.

According to Dave Wilkin, founder of Ten Thousand Coffees, collaboration is more effective in person, but workers become frustrated when they are told to return to the office and spend their day on Teams or Zoom. To encourage employees to come to the office, there must be actual reasons such as in-person brainstorming sessions, coffee chats with executives and mentor relationships based on complementary in-office days. Simply riding the elevators with leaders is not enough, Wilkin said.

More than 8,400 individuals participated in a FlexJobs poll in August, revealing that 56% of them know someone who has quit or plans to quit due to return-to-office mandates. Additionally, 63% of professionals are open to taking a pay cut for a remote job opportunity.

Jennifer Dulski, founder of Rising Team, stated that regardless of the constraints imposed on individuals, people will only be able to work up to a certain point and will always find ways to circumvent any obstacles presented.

Repercussions for companies that are too inflexible

Dulski stated that she knows a few dozen individuals who have departed their companies in the past year or so due to flexibility concerns. She added, 'Many companies are now providing more flexibility, and those companies will succeed because the top talent will have options. This has always been the case.'

Amazon, like many other companies, has implemented stricter in-office policies, resulting in tensions. In May, Amazon mandated that staffers work out of physical offices at least three days a week, which led to a walkout by a group of employees at its Seattle headquarters. Employees also circulated an internal petition urging CEO Andy Jassy to rescind the requirement, which has not been done. Despite this, the company has found that having most of its employees in the office more frequently has led to greater energy, connection, and collaboration, according to a spokesperson.

While employees may not leave a company, they may not be fully engaged if their needs are not met. For example, Henning's agency has experienced delays in response time from clients who have strict in-office mandates. Meanwhile, Putnam's client is facing dissent from its two-day-a-week in-the-office policy. Putnam believes that even if people stay, the company may not be getting the best from its employees if they feel their needs are being overlooked.

Stricter companies are staying the course

Some companies with in-office mandates said they plan to stay the course.

Since implementing its policy in September, requiring workers to be in the office Monday through Thursday, Davis Polk & Wardwell has experienced minimal attrition. The firm compensated for this by allowing staff to work 16 days a year remotely and offering clusters of time when the whole office could be remote, including Thanksgiving week and the last week of December. Similar in-office requirements, generally three or four days a week, have been adopted by other law firms.

According to Barr, the vast majority of our colleagues are present and adhering to the rules, which he believes has improved the overall performance of the business.

The company is adhering to its policy, announced in June, which requires employees to be in the office three days a week. However, some workers still have the option to work remotely.

Make sure other policies are employee-friendly

The latest Human Workplace Index survey indicates that work arrangements are not as highly valued by job-seekers as some may assume, according to KeyAnna Schmiedl, chief human experience officer at Workhuman. In an email, she stated that job seekers prioritize work-life balance, recognition and rewards, and company culture over where work is done.

Companies should prioritize employee happiness in multiple areas, as indicated by the survey results, which suggest that issues during the RTO process may not be solely related to commuting to the office but also to the office and culture employees are joining.