Rethinking the Return to Office: Beyond Mandates and Backlash

From tech giants like Amazon and Dell to Canadian banks such as RBC and CIBC, the message is clear: back to the office, and often, for four or five days a week. But the reasons behind this push—and its long-term impact—are far more nuanced than headlines suggest.

While some sectors, like finance, are doubling down on in-office presence, others, including not-for-profits and mid-sized firms, are leaning into hybrid flexibility as a recruitment and retention strategy. So, what's driving this divergence, and more importantly, what’s really working?

Motivation vs. Messaging

There are both optimistic and more skeptical interpretations of the RTO push. On one hand, many leaders cite legitimate goals: enhancing collaboration, mentorship, productivity, access to resources, and supporting client expectations. On the other hand, more cynical views suggest that some mandates are about restoring hierarchy, enabling oversight, or even prompting voluntary departures to reduce headcount without formal layoffs—particularly in a high-unemployment environment.

What’s often overlooked is the nuance in remote vs. hybrid performance. Stanford economist Nicholas Bloom’s research shows that employees who work from home two days a week are just as productive, equally promotable, and more likely to stay. In contrast, fully remote workers may experience performance and visibility challenges. Unfortunately, this distinction is often lost, leading some companies to overcorrect based on incomplete or misinterpreted data.

Culture Clashes and Real Estate Chaos

The impact of RTO mandates isn’t limited to employee sentiment—though that’s significant, with reports of "quiet quitting" and public frustration on platforms like Reddit. For some firms, mandates have triggered internal chaos, especially those that previously downsized their footprint and now lack the space to bring staff back in full force.

Large enterprises might be able to absorb this shift. But mid-sized and smaller firms? They risk being squeezed out. One of our clients is currently navigating this exact challenge—revising their hybrid model from four to three days in office to expand their talent pool. They're now building a real estate strategy that reflects this shift, factoring in commute patterns, internal equity, and upskilling managers to lead hybrid teams effectively.

Time for a Mindset Shift

What if, instead of reverting to pre-pandemic norms, this is an opportunity to rethink workplace strategy altogether?

At Cresa, we’ve seen firsthand how companies can break out of legacy models through modest but meaningful changes. One client, transitioning from a family-run operation to a major player, faced resistance when trying to implement hybrid work with a traditional top-down approach. By decentralizing leadership, introducing inclusive ideation sessions, and giving managers autonomy to shape their hybrid models, the organization saw cultural transformation—not just compliance.

True workplace transformation starts with rethinking the process—not just the space. It means recognizing when we’re stuck in outdated systems and being willing to try something different.