Nearly half of British companies are fed up with hybrid working and say they expect employees to be in the office every day in the coming year.
A survey by the British Chambers of Commerce (BCC) shows a shift away from the working practice, with 48% saying staff would return to the office in this survey versus just 27% of firms predicting fully in-person work in 2023.
Hybrid working has been under assault this year, with a rise in return to office mandates — notably Amazon and Google — and a tightening of workplace rules on working from home.
These moves come despite employees generally favoring the flexibility and other benefits it offers.
The BCC study showed that 41% of businesses polled have asked staff to spend more time on site over the last year, with just 17% believing it increases productivity — despite research showing the latter is true.
"Hybrid working has become a fixture of modern working life since the pandemic and is valued by employers and their workforce," said Jane Gratton, Director of Public Policy at the BCC.
"But it does not suit everyone and, for some firms, a full onsite model may be the best solution for the business."
Differing sectors, differing needs
Notably, the report highlighted clear differences in attitudes toward hybrid working based on sector.
A majority of manufacturers and customer-facing companies — 62% and 61% respectively — expect staff to spend all of their working days in the office or on site next year, versus just 27% for business-to-business (B2B) service companies.
A similar pattern follows with opinions on productivity, the report found. On average, 41% of companies said hybrid working had a negative impact on productivity compared to 49% of manufacturers.
"We’re seeing a clear shift towards more firms requiring full on-site working, but it’s by no means a uniform picture," said Gratton.
"The trend is being led by manufacturers and consumer-facing businesses, while around two thirds of B2B service firms continue to operate hybrid models."
RTO mandates have an impact on staff
Companies need to be wary of imposing strict return to office (RTO) mandates, especially with regard to talent. Two-thirds of those surveyed said onsite working hasn’t impacted recruitment or retention, but 9% have seen staff depart following rules changes.
Similar research on the impact of RTO mandates and talent retention from Hays showed nearly half of UK workers would consider quitting rather than heading back to the office full-time.
A key factor here was due to the high cost of commuting, but work-life balance was also a big talking point for many workers, the study found.
Notably, women were more likely to quit as a result of RTO mandates than male colleagues, while two-thirds said they plan to leave their firm within the next year to pursue opportunities at companies with suitable hybrid working policies.
"Hybrid working can help firms attract and retain a skilled and engaged workforce," Gratton said. "However, some employers are identifying significant benefits of bringing all staff together again onsite."
Gratton urged employers to adopt a flexible approach to working policies which take into account the desires of the company and staff.
"How and where people work is likely to continue to evolve in the years ahead," Gratton added.
"A flexible working approach makes good business sense but, to drive economic growth, managers also need the flexibility to do what’s right for their business.”
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