As we approach the new year, a growing number of companies with return-to-office (RTO) policies are preparing to increase in-office requirements. A recent Resume.org survey reveals that nearly 75% of executives at firms with existing RTO mandates plan to require employees to spend at least three days a week in the office by the end of 2025.
This shift highlights a clear trend among business leaders pushing for more on-site presence, even as debates over the effectiveness of such mandates continue. High-profile organizations such as Amazon, AT&T, and Starbucks have already implemented stricter RTO requirements, reflecting a broader push across industries.
The survey, conducted in November among 900 business leaders, also found that nearly one-third of respondents plan to require employees to be in the office every day, while just 2% anticipate allowing staff to work remotely for most of the week. Executives cite productivity, collaboration, and culture-building as the primary drivers for their decisions, yet evidence on the actual impact of in-person work remains mixed.
Productivity Debate: Perception vs. Reality
Many executives in the Resume.org survey argue that RTO mandates aim to boost productivity and foster teamwork. Nearly 70% of respondents cited collaboration as a key reason for returning to the office, while 58% pointed to improved communication. About half said they believe working in person strengthens company culture and drives productivity.
However, Nicole Kyle, cofounder of CMP Research and an expert on the future of work, challenges these assumptions. She notes that studies consistently show that productivity often remains steady—or even improves—when organizations embrace remote or hybrid work models. “The data suggests being side-by-side doesn’t inherently drive better results,” Kyle told Business Insider.
The discrepancy may lie in how companies define and measure productivity. Traditional metrics such as time spent at a desk may not reflect actual output or innovation. This ambiguity leaves room for conflicting perspectives on the true value of in-office mandates.
Employee Pushback and Talent Risks
Resistance from employees has been a persistent theme as companies ramp up RTO requirements. The Resume.org survey revealed that about one-third of executives expressed concern that stricter in-office rules could lead to higher turnover, while nearly half said they were not particularly worried. Another 18% were undecided.
This lack of concern could prove costly. Research from the University of Pittsburgh and other institutions indicates that companies mandating a return to the office often face "abnormally high" quit rates and difficulty filling open positions. The study, which analyzed data from more than three million tech and finance professionals on LinkedIn, found that those leaving tend to be women, senior employees, or highly skilled workers. This “brain drain” poses a significant risk, particularly for organizations reliant on top-tier talent.
Mentorship and Real Estate Considerations
For some companies, bringing employees back to the office is about more than just productivity. Lisa Walker, managing partner at executive search firm DHR Global, highlights the value of mentorship and knowledge transfer, which are often more effective in person. "To get the junior people into the office, you need to get the senior people back to the office," Walker says. This approach underscores the role of physical presence in fostering leadership development and institutional knowledge.
Additionally, about 40% of executives in the survey admitted that utilizing unused office space was a motivating factor behind their RTO policies. With corporate real estate representing a significant investment, many companies are reluctant to let costly office spaces go underutilized. However, this rationale has its downsides; rigid RTO policies can alienate employees and may outweigh any savings on real estate costs.
Balancing Flexibility and Accountability
Not all leaders are eager to impose strict RTO mandates. Some, like Google CEO Sundar Pichai, have signaled a more flexible approach. In October, Pichai emphasized that Google would not enforce stricter in-office requirements as long as employees maintained high performance while working remotely. This stance highlights a growing recognition that flexibility can coexist with accountability, especially as hybrid work models gain traction.
For wealth advisors and registered investment advisors (RIAs), these workplace trends offer critical insights for client conversations and internal planning. Many business owners and executives will need guidance on navigating the complexities of RTO policies, particularly as they balance workforce retention, productivity, and organizational culture. Advisors can play a pivotal role in helping clients anticipate and mitigate the financial and operational risks associated with these changes.
Strategic Implications for Advisors:
The evolving RTO landscape presents an opportunity for RIAs to engage clients in meaningful discussions about the future of work and its financial implications. Key considerations include:
Talent Retention Strategies:
Advising clients on competitive compensation packages, flexible benefits, and hybrid work arrangements to attract and retain top talent in an increasingly fluid job market.
Corporate Real Estate Decisions:
Helping clients evaluate the cost-benefit dynamics of maintaining or reducing office space in light of changing workforce preferences.
Succession Planning and Mentorship:
Encouraging clients to invest in mentorship programs and leadership development initiatives that prepare their organizations for long-term success, regardless of work location.
Cultural Resilience:
Supporting clients in building resilient corporate cultures that align with their strategic goals while adapting to employee expectations for flexibility.
As RTO policies evolve, wealth advisors are well-positioned to guide clients through these challenges, offering tailored advice that aligns with both financial objectives and workforce realities. Understanding the nuances of the RTO debate will enable advisors to deliver insights that resonate with leaders navigating this critical inflection point.
