Attrition | Return to office mandates make hiring & retention harder for HR, research finds

Team collaborating in modern office

Employers ramping up return-to-office (RTO) mandates in 2025 are seeing a sharp increase in employee pushback, driving higher attrition rates and legal concerns around accommodation requests.

According to new data from Owl Labs and The Conference Board, nearly half of surveyed knowledge workers say their employers have issued new or expanded RTO mandates this year. That figure rises to 82% among Gen Z workers.

Among those affected, 19% are now expected to work onsite five days a week, while 10% report a three-day requirement. Some 6% must be in four days a week, and 12% are required two days or fewer.

“In-office mandates are all over the map, but many companies have one thing in common - flexibility is starting to fade,” Owl Labs noted in its analysis.

Retention challenges mount amid pushback

Even as 37% of workers report feeling positive about the return, and 38% say they are indifferent, 16% expressed dissatisfaction. Of those surveyed, 66% said they are actively looking for new roles due to RTO expectations. That number jumps to 84% for Gen Z and 79% for millennials.

Growing discontent has started to reflect in company metrics. A survey from The Conference Board found that 44% of HR leaders with RTO policies say retention has become a greater challenge, compared to 34% at companies without such mandates. At the same time, 62% of respondents reported increased difficulty in hiring for professional and office roles, a notable rise from 47% last year.

More than half of employers are either increasing or considering increasing in-person requirements, according to a Littler survey. 29% have already expanded the number of in-office days, while 12% are evaluating further changes. The shifts are accompanied by a corresponding uptick in accommodation requests with 56% of HR leaders saying they have seen a rise in remote-work accommodation claims.

Legal risks and flexibility tradeoffs

The growing complexity of managing RTO mandates also includes navigating legal boundaries.

“For companies looking to increase in-office work, it’s important to have a plan in place for the likely influx of remote-work requests,” said Alexis C. Knapp of Littler.

According to a LiveCareer survey, 60% of workers believe more firms will implement full-time office mandates in 2025. While 91% report knowing someone already affected by such a shift, 86% said that noncompliance led to formal reprimands or terminations. Still, two-thirds of workers said they would not exchange remote work for a 15% raise.

An FTI Consulting poll found 70% of hybrid and remote workers would consider quitting if forced into a full-time office return at their current salary. Many said they would be open to partial in-office time, although 45% cited flexibility as their top priority.

Additional data from TopResume says that 65% would return for a pay raise, while 54% preferred flexible hours. Still, more than half said mandatory office presence would damage their work-life balance.

A separate study from Gable and a team of economists found 57% of workers have experienced at least one round of RTO mandates since 2020. Among those, 38% have undergone multiple iterations, with 6% facing five or more policy shifts.

Be the first to comment.

Sign up for a FREE myGrapevine account to have your say.