According to new labour market research from the Office for National Statistics (ONS), there is a clear link between lower national levels of productivity and the rise in working from home.
From 2019 to 2022, productivity in the capital fell by 2.7%, with the Northwest of England seeing the strongest growth of 7.9% over the same period. Economists are attributing the decline to the shift to remote work, and argue that decreased engagement, motivation and in-person coordination has damaged productivity in the city.
There’s been a lot of noise about the benefits and risks of working from home. And the recent stats from the ONS do paint a picture of the risks involved. But ultimately, employers need to decide if they’re going to mandate their workforce back to the office based on their own personal data, culture, and the needs of their staff.
If the pandemic and the shifts in workplace flexibility has taught us anything, it’s that every employee has individual needs, and every company has their own needs too. Depending on the industry an organisation is in, their culture, and a myriad of other factors that make the firm what it is, these elements determine whether remote work leads to productivity.
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