2 major companies end work-from-home policies

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[et_pb_column type=”4_4″][et_pb_text admin_label=”Text”]Two major companies—Dell and Flight Centre—have announced a full return to office work for their Australian employees.

This decision comes as an increasing number of major businesses roll back remote work privileges, sparking debate over the future of WFH arrangements.

Dell recently informed its Australian workforce of 1,500 employees that they must return to the office five days a week, giving them just four days’ notice. According to a memo, Dell’s previous policy allowed staff to work remotely up to two days per week, but as of September 30, in-office attendance is mandatory.

Flight Centre also issued a similar directive. An internal memo revealed that the company’s Brisbane-based chief people and culture officer emphasised the importance of in-person connection, stating that staff would be expected to work on-site unless travelling. The memo also hinted at the possibility of exceptions upon request.

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These companies join a growing list of big names, including Amazon and Tabcorp, that have curtailed or ended remote work options, reflecting a broader trend across the corporate landscape.

The Growing Push for Office Returns

The shift back to office work follows research suggesting that corporate leaders are increasingly eager to see their employees return in person. A recent KPMG study found that 82 percent of Australian CEOs aim to have their employees working from the office full-time within the next three years. Recruitment expert Graham Wynn noted that the rollback of WFH privileges was inevitable, as more companies favour traditional office setups.

“We’re seeing a significant decrease in the number of companies offering work-from-home or hybrid opportunities,” Wynn said.

However, many employees are resistant to these changes. A Yahoo Finance poll of over 3,200 respondents revealed that 69 percent would consider leaving their jobs if forced to give up WFH flexibility.

Incentives and Expectations

To entice workers back, companies are exploring various strategies. KPMG’s study found that 78 percent of CEOs would likely offer promotions, pay rises, and enhanced career opportunities to employees who returned to the office.

Nevertheless, employees expect more than just promises. A separate survey of full-time workers revealed that many anticipate a pay increase—at least 10 percent —to compensate for the loss of flexibility, the cost of commuting, and other financial burdens associated with returning to the office.

“Many workers believe they deserve a premium for giving up the flexibility and autonomy of remote work,” said Nicole Gorton, Director at recruitment firm Robert Half.

Despite the demand for higher pay, some employers may instead focus on creating more appealing office environments, offering career development programs, and highlighting the benefits of in-person collaboration.

Signs WFH May Be Declining

While Australian city centers have appeared quiet during the pandemic, there are signs that office life may be on the rebound. In Sydney, Woolworths is opening a new Metro store in the Barangaroo precinct, a move experts say reflects growing confidence in the return of office workers to central business districts.

Mark Wright, KPMG’s immigration leader, noted that Woolworths’ decision to open the store likely signals an expectation of more people working in offices again soon.

However, Wright cautioned that remote work is not entirely fading away, pointing out that AI advancements and the desire for flexible work arrangements remain relevant. Still, the trend toward office-based work is undeniable, as companies seek to foster in-person connections and collaboration.

As businesses continue to debate the merits of remote work versus in-office attendance, a recent Yahoo Finance poll of 4,700 readers revealed a nearly even split: 49 percent believe employees should return to the office if required, while 51 percent support the option of working from home, provided the job allows it.

This growing divide highlights the ongoing tension between employers and employees as companies navigate the evolving workplace landscape.[/et_pb_text][/et_pb_column]
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Amelia Brand is the Editor for HRreview, and host of the HR in Review podcast series. With a Master’s degree in Legal and Political Theory, her particular interests within HR include employment law, DE&I, and wellbeing within the workplace. Prior to working with HRreview, Amelia was Sub-Editor of a magazine, and Editor of the Environmental Justice Project at University College London, writing and overseeing articles into UCL’s weekly newsletter. Her previous academic work has focused on philosophy, politics and law, with a special focus on how artificial intelligence will feature in the future.

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