The US has seen the most dramatic shift to flexible working. By January 2024, around 29% of all paid workdays were still being worked from home.
The result is that US wages for fully in-office roles are surging.
According to ZipRecruiter data, companies were offering, on average, $82,037 for fully in-person roles by March 2024. That´s a 33% increase when compared to 2023 ($59,085).
Compared to hybrid and fully remote roles, workers seem more likely to increase their salaries by returning to pre-pandemic office schedules.
“Employers who cannot compete on flexibility will have to compete more aggressively on pay,” says Julia Pollak, chief economist at ZipRecruiter.
The survey found that workers who swapped from fully remote to fully in-office set-ups in the US through 2023 received a 29.2% pay bump.
This shows employers offering flexibility can negotiate the overall compensation package with non-monetary incentives. On the other hand, an employer wanting teams on-site five days a week can only offer financial terms.
In the current cost-cutting climate, offering employees flexibility over a pay bump seems like a win for both sides.
However, as said by Pollak: “Among some employers, there can be a perception that remote workers are less productive.”
Many are also “psychologically and financially invested in their corporate real estate” – they want to fill their workplaces, at whatever cost.
