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A hot potato: We tend to think of return-to-office mandates as something that only really affects rank-and-file workers, with managers pushing for the in-person status quo. But a new study has found that many senior employees, including those at Microsoft, Apple, and SpaceX, left their positions after their companies implemented RTO rules.
Researchers from the University of Michigan and the University of Chicago carried out the study by analyzing 260 million resumes from People Data Labs, looking for the impact that forced RTO policies had on workers.
A correlation was discovered between the departures of senior-level employees and the implementation of RTO mandates. Some left several months sooner than they might have without the policies, and many of them went to work for direct competitors, usually those that still allowed full-time remote work.
Now Read: Are return-to-office mandates actually masquerading as “quiet firing”?
Microsoft’s RTO order came into effect during April 2022, requiring workers to spend at least three days per week in the office. It led to the share of senior employees as a portion of the company’s overall workforce declining by more than 5%.
At Apple, which required workers to come in just one day per week, that figure fell by 4%. SpaceX, meanwhile, abolished remote work altogether, causing the share of senior employees to drop 15%.
We’ve heard CEOs argue on numerous occasions that in-person work means a more productive and therefore more financially successful company. But the study suggests this might not be the case.
“Senior employees and those that have been at a company for a long time possess invaluable human capital and tend to have elevated productivity levels, which they take with them when leaving the company,” wrote Austin Wright, an assistant professor of public policy at the University of Chicago who co-authored the study. “They also represent a significant investment in terms of hiring and training costs.”
Microsoft, Apple, and SpaceX were not only among the first tech giants to end the work-from-home policies implemented during the lockdowns, but they also represent more than 2% of the overall tech workforce and 30% of the industry’s revenue.
Microsoft told The Washington Post that its internal data does not align with the study’s findings, adding that calling its hybrid work policy an RTO mandate was “inaccurate.” Apple said the study drew “inaccurate conclusions,” while SpaceX never responded to a request for comment.
Back in January, a study claimed that it was controlling, narcissistic bosses driving RTO policies, and that companies weren’t showing an increase in productivity after implementing them.
According to a recent survey of over 8,400 workers, 63% of US employees would take a pay cut to work remotely, 17% of whom said they’d sacrifice up to 20% of their paycheck to do so
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