A growing number of UK employees are becoming demotivated at work, with nearly 20 percent of the workforce expressing dissatisfaction, posing a significant threat to productivity across industries.

According to a recent study by the International Workplace Group (IWG), companies that fail to offer hybrid working options are at risk of experiencing a talent exodus and a rise in “quiet quitting.”

“Quiet quitting,” a term describing employees who do the bare minimum required by their jobs, is increasingly linked to rigid workplace policies. IWG’s research found that over half (57%) of employees are more likely to “quiet quit” if they feel micromanaged, undervalued, or denied the flexibility to choose their work location.

With 22 percent of UK workers currently feeling demotivated, millions could disengage from their roles or seek employment elsewhere if their needs for flexibility and autonomy are not met. Conversely, businesses that embrace hybrid work models are reaping the rewards, as 78 percent of hybrid workers report increased productivity.

Hybrid work is critical for retention

Hybrid work is not just a perk—it’s a critical factor in employee retention. The research indicates that 62 percent of hybrid workers would consider leaving their job if required to return to the office full-time. Additionally, 71 percent would reject a new job if it involved a long commute, and 72 percent would only consider roles that offer location flexibility.

The study highlights that hybrid work empowers employees to tailor their schedules to when and where they work best, with 92 percent of workers noting this as a key factor in preventing “quiet quitting.”

For managers looking to mitigate the risks of disengagement, the research points to several key strategies: promoting work-life balance, trusting employees to work from any location, and being open to discussions about new ways of working. These approaches are supported by Stanford economist Professor Nicholas Bloom, who suggests that companies offering such flexibility can reduce quit rates by up to 35 percent.

Mark Dixon, CEO of IWG, emphasised the importance of adapting to hybrid work to maintain business productivity. “Our latest research shows that empowering employees to work when and where they are most productive is essential. Without this flexibility, businesses risk creating a culture of disengaged and unfulfilled workers.”

As the workplace continues to evolve, the message from employees is clear: embrace hybrid work or face the consequences of a disengaged and potentially shrinking workforce.

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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.