Growing number of companies demand employees return to office 5 days a week: ‘Domino effect’

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The Shift Back to the Office: Understanding the Push for In-Person Work in Australia

A New Era of Office Mandates: Employers Take Charge

In recent years, Australian employers have been increasingly mandating a return to the office, signaling the end of the work-from-home era that gained traction during the COVID-19 pandemic. According to a survey by recruitment firm Robert Half, 39% of businesses now require employees to work from the office five days a week in 2025, up from 36% the previous year. The average number of required office days has also risen from 3.43 to 3.64. This shift reflects a broader trend where employers are reclaiming control over workplace arrangements, with many influenced by the actions of other businesses. Nicole Gorton, a director at Robert Half, explains, "Medium- to large-sized businesses mandating four to five days versus one to two has a domino effect on those larger corporates." Smaller enterprises, however, are using flexibility as a tool to attract talent, often offering fully remote or hybrid arrangements since they may not have the resources to compete on salaries.

The Domino Effect: How Employer Mandates ARE Changing Workplace Norms

The survey reveals significant changes in workplace policies, with only 7% of employers now allowing full remote work, down from 9% in 2024. Twenty-two percent of employers require four days in the office, while 20% mandate three days. The biggest decline is in the number of employers allowing two days of remote work, which dropped from 13% to 8%. Just 4% of employers require only one day in the office, unchanged from the previous year. These shifts suggest a growing consensus among employers that in-person work is essential for productivity, collaboration, and career advancement. Gorton notes, "Employers are definitely back in the driver’s seat," as workers adjust to pre-pandemic norms and see similar mandates elsewhere, making them less likely to resist.

Employee Resistance and the Trade-offs of Remote Work

While employers are increasingly mandating office attendance, not all employees are embracing this shift. Resistance persists, particularly among those in Victoria, where 13% of employers report worsening attitudes toward returning to the office, compared to 12% in NSW, 10% in Western Australia, and 2% in Queensland. Some employees are demanding salary increases in exchange for returning to the office, with requests as high as 20%. Gorton explains, "For that group, they’re saying, ‘Pay me. I’ll come in but make it worth my while.’" Others resist due to lifestyle changes or career stages where they feel they can perform their duties effectively from home without needing to advance or take on new responsibilities.

The Generational and Cultural Shifts in Work Arrangements

The push for in-person work is also driven by concerns about career progression and cultural dynamics. Gorton observes, "People want to progress their careers and are realizing they can’t do it from home." She adds, "Learning is caught, not taught—you can’t progress from your bedroom." This sentiment is echoed by global leaders like JP Morgan Chase CEO Jamie Dimon and former U.S. President Donald Trump, who have criticized remote work for reducing productivity and accountability. Despite these criticisms, some employees continue to value the flexibility of remote work, particularly those in senior roles. For instance, Nicola Hinder, deputy secretary of the Department of Parliamentary Services, notes that many senior staff are highly productive while working from home.

The Political and Policy Landscape of Remote Work

The debate over remote work has also entered the political arena. Federal public servants in Canberra continue to enjoy flexible work arrangements under a deal struck by the Community and Public Sector Union (CPSU) in 2023, which does not expire until 2027. However, the opposition has hinted at revisiting these policies if elected, with public service spokeswoman Jane Hume criticizing the current arrangement as a "blank check not to be in the office." Data from Senate Estimates reveals that over a quarter of Home Affairs staff work from home three or more days a week, while 22% of Services Australia staff and 20% of Department of Employment and Workplace Relations staff do the same. Hume has questioned whether it is appropriate for senior staff, who are often among the highest-paid employees, to spend most of their time outside the office.

The Future of Work: Balancing Flexibility and Productivity

The tension between employer mandates and employee preferences highlights the ongoing evolution of the workplace. While many employers are pushing for a return to the office, smaller businesses and certain sectors continue to embrace flexibility as a competitive advantage. Gorton notes, "As people want to progress their careers and earn more money, they are being impacted by inflation and realizing that the office environment offers opportunities for learning and social interaction that remote work cannot replicate." However, the pushback from employees and the persistence of remote work in certain sectors suggest that the future of work will likely involve a hybrid model, balancing the benefits of in-person collaboration with the flexibility that many employees have come to value. As the workplace continues to evolve, employers and employees will need to navigate this delicate balance to create environments that support productivity, career growth, and employee well-being.

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