- A push for RTO by some employers is leading to logistical challenges and lack of space.
- Many companies cut back on office space during the pandemic, making it difficult to return to the office.
- Still, many CEOs are “ripping off that Band-Aid and bringing people back in.”
You might not have a parking spot or a desk, but you might have a CEO who wants you to come back to the office anyway.
This is the situation faced by some corporate workers who have had a difficult process of returning to the office thanks to logistical obstacles.
Late last year, Amazon delayed RTO requests for some workers due to a lack of office space and the need to reconfigure some configurations. At AT&T, which has also called workers back, employees in some offices have had trouble grabbing workspaces in the new year and have been directed to work in a dining area or at conference tables, BI recently reported.
The push to fill hot desks and cubicles comes as many executives seem fed up with talking about working from home. Some bosses may see RTO mandates from high-profile companies like Amazon as the cover they need to issue similar orders. However, in an effort to bring back workers, not every office was ready for the influx.
“At the end of last year, it became clear that CEOs were just done,” Dan Kaplan, senior client partner at recruiting firm Korn Ferry, told BI.
However, he said, some organizations didn’t do enough prep work to call everyone — especially after office space was cut during the height of the pandemic, when those who could were locked away from home.
Now, Kaplan said, for some CEOs, the thinking goes, “We’ll clean up the mess later, but for now, we’re ripping off that Band-Aid and putting people back in the office, come hell or high water,” he said.
AI may be adding uncertainty
Some employers are returning to the office even though they don’t know how much space they’ll ultimately need in the coming years because artificial intelligence may one day replace some workers, Dan Root, head of global strategic alliances at Barco ClickShare. which makes the technology usable in office meeting rooms, said.
“It really starts to make you ask, ‘OK, well, how many square feet am I going to commit to?'” he told BI.
Last week, the World Economic Forum reported that in a survey of companies worldwide, 41% said they planned to cut their workforce over the next five years in cases where AI could take over work.
Another challenge: Some employers adapted to hybrid setups—and added seating and other amenities to draw workers into the office—that worked well when offices weren’t always fully furnished. However, now that more workers are returning, space may be tight.
Nick Romito, CEO of VTS, a commercial real estate technology firm, told BI that two to two and a half years ago, many employers looking for office space could have bought for less square footage than would need to accommodate a full staff. Many employers are optimized for hybrid, but that only works if people don’t show up at the same time.
“People who tried to adapt to this a few years ago now have it hurt,” he said. “They got 10,000 feet when they really needed 15,000.”
Employers are catching up
An AT&T spokesperson told BI that the company is “constantly improving” its facilities to make them desirable and ensure workers have what they need. Office seating for 70% to 80% of employees is an industry standard, given the variables that can affect attendance on any given day, they said.
AT&T “is working quickly on challenges in select locations so the rest of our employees are in the best position to support their colleagues,” the spokesperson said.
An Amazon spokesperson told BI that as of last week, the “vast majority” of its workers had dedicated workspaces and were back in the office full time. Among Amazon’s hundreds of offices globally, “only a relatively small number” are not yet ready for workers to return five days a week, the spokesman said.
One reason some CEOs may feel comfortable calling workers into the office is that while the overall U.S. unemployment rate remains low, it’s often still a challenging job market for white-collar workers.
The difficulty many may have in finding another job may mean they are at the mercy of their employer’s plans, Dan Schawbel, managing partner of research firm Workplace Intelligence, told BI.
“They may have no choice but to return to the office,” he said, although he added that in some cases, workers will not be able to comply due to family circumstances or having a home too far from the office.
Jobs may become crowded if more workers comply with RTO orders than employers might have expected.
“Strategic companies have made these calculations, but there is room for error,” said Schawbel.
If workers leave because they’re unhappy with the RTO, Korn Ferry’s Kaplan said, it’s an easy way for employers to cut costs without generating negative headlines about job cuts or incurring related costs like layoffs or extended benefits.
“For some of them, it’s an unpaid vacation,” he said.
Have something to share about your RTO experience? Business Insider wants to hear from you. Email our workplace team from a non-work device to thegrind@businessinsider.com with your story, or to request one of our reporter’s signal numbers.
