Desk shortage holds back the ‘return to office’ push

British employees are frequently turning down invitations to work in the office, amid complaints of inadequate desks and facilities.

A fifth of workers surveyed by Remit Consulting cited a lack of workspace as one of their top three reasons for staying remote. Researchers say this highlights how some companies have dramatically reduced office space after the pandemic led to a wave of working from home.

Many major companies have reduced their real estate footprints to reduce overheads, with insurers such as Aviva and banking giant HSBC among the most prominent. For example, HSBC will soon vacate its Canary Wharf tower in favor of a smaller building near St Paul’s Cathedral.

Elijah Lewis, of Remit Consulting, said the findings were “clearly worthy of further investigation”, adding: “If this trend continues, it may indicate that the shift towards prioritizing meeting and breakout areas at the expense of individual desks may have passed.” He noted that the survey only began probing sentiment around the office shortage in November, after feedback from property managers that it was quickly becoming a pressing issue.

This is a challenge that also faces major companies in the United States. For example, retail and technology giant Amazon had to postpone the office return of thousands of employees after realizing there would not be enough physical space for them to work on-site five days a week.

However, for British workers, the number one reason to avoid the office remains the hassle and cost of commuting. Noise and distraction levels in the office environment have also been cited as key deterrents.

Despite these concerns, office occupancy rates in Britain reached their highest monthly average in November since long before the pandemic. Attendance exceeded 35 per cent for the first time since the start of the Remit survey in May 2021, reflecting the gradual easing of lockdown rules.

“Increasing publicity around return-to-office mandates may have contributed to the continued rise in attendance, suggesting that employees are adapting to in-person collaboration,” said Lorna Landels of Remit. “This decrease in resistance to full-time office mandates could indicate a shift in workforce morale, which may facilitate the implementation of stricter attendance policies for some organizations.”

Remit research suggests that companies that place a strong emphasis on meeting, collaboration, and communication opportunities are more likely to attract employees back more consistently. The study also suggests that fewer workers now say they would quit if asked to return full time, a possible reflection of a greater acceptance of the fact that the era of flexible working still includes a significant in-office element – ​​and that searching for work in the current climate can be more challenging. .

At the same time, the study revealed that the volume of external visitors to office buildings has risen in recent months, indicating increased numbers of face-to-face meetings with clients, customers and partners. Many employees admitted that their decision to come into the office depended on who would be present on any given day. In some cases, even a free lunch can serve as an incentive.

“Offices increasingly need a purpose,” Ms. Landells explained. “They are evolving into centers for collaboration, communication and customer engagement, rather than just rows of desks for routine tasks that can easily be done at home.”

Although office occupancy is high, it is still far from pre-2020 levels. Before Covid, offices were generally considered “full” at about 60-80 percent, including annual leave, outside meetings and sick days.

None of the workers surveyed gave top marks to their office spaces, suggesting there is still plenty of room for improvement. Many employers are now reviewing whether the cost savings of small offices justify the challenges of trying to accommodate employees who, after years of hybrid working, still need enough office space to feel welcome and productive on-site.

A recent report from the Center for the Cities also showed that London workers are returning more slowly than those in Paris and New York. When British companies have introduced return-to-office mandates, the most common requirement is around three days a week, trailing Sydney at four days and behind other global centers such as Singapore, New York, Toronto and Paris.