Technology

And real estate. Don't forget real estate.

It probably wouldn't work, but I've been wondering whether it would be possible to use the shareholders of publicly traded companies against them in these situations.

I've seen people mention that companies are obligated to maximize profits for their shareholders (might not be true everywhere, and my knowledge on the subject is extremely limited).

If there was data available for a given company that showed that profits were increased during a period where a substantial part (or all) of the employees worked from home, and then the company starts forcing the employees back to the office, could the board not be called upon to force the company to keep people in work-from-home-mode? Would the company not be obliged to do that, to maximize the profits? It seems to me that this would be in the best interest of the shareholders.

To be honest, it is also a bit about productivity. Doing full remote will in time become less efficient, at least I notice an uptick in how smooth interactions go after we have been physically together a bit more. There is no reason why it has to happen all the time, though.

But the task for management should really be to make people want to come to the office. I.e. make it a better place to be than at home, and ensure commutes are short and flexible. In my team, the typical commute is about 10 minutes, and most of us will go to the office to meet, have lunch, and get a break from home. We are social creatures, and meeting people is good for us.

productivity went up

I suspect this is partially a result of change, not that work from home was implemented. Shaking up a work environment (for something more desirable to the employee) is always a morale and productivity boost. Move everyone from a bull pen to offices, or move to a new facility where there are fewer distractions and new equipment, or simply change the work schedule to a 9x9 or 4x10 and you'll see short term gains. .

Regardless of the cause of the productivity boost, full time WFH will come at the expense of training young (or new to the field) employees. Ironically, part of the cost of training new employees comes out of the billable hours of the experienced ones. I wouldn't be surprised to see a 20%-25% reduction in output of an employee who is given an intern or new hire to mentor. That won't happen when you're remote because the new hire can't constantly bug you for simple requests, ask for more work, or require active review and monitoring of their work process. But in a couple of years, you'll have two people at 100% (nominal) output in return for the loss in productivity of the mentor.

It's said that it takes 150% of the annual salary in costs to a company to replace someone. Having mentored young engineers, most cost me far more in the first year than I billed, and it took close to 3 years to break even - and that's at a relatively low salary. To have mentored someone remotely for the first year would have likely taken even longer to get them up to speed and profitable. In the short term, moving your office of independently competent individuals remote should absolutely produce a boost in productivity.

Anyway, it's this long view that is the actual, actionably logic behind the return to the office. That isn't to excuse the micromanagers who's only job was to walk around and remind people to put covers on their TPS reports - they are no more than overpaid hall monitors and a relic that should die. It also doesn't excuse the upper managers who never understood the concept of sunk cost in college and feel that they need to fill the seats in the building where they have another 8 years on their lease.