The Surprising Success Story : Return-to-Office Hits 68%!
In what might come as a surprise to many workplace observers, the much-debated return to office (RTO) movement isn’t creating the widespread dissatisfaction many predicted.
Latest research from McKinsey & Company reveals a nuanced picture of workplace preferences that challenges conventional wisdom about the post-pandemic workplace, suggesting that the future of work might be more traditional than recent years have led us to believe.
Doubling of Staff from 35% in 2023 to 68% in 2024
The shift back to office-based work has been dramatic.
According to McKinsey’s talent surveys, in-person work has nearly doubled, jumping from 35% in 2023 to 68% in 2024.
“Folks are definitely coming back into the office,” notes Bryan Hancock, McKinsey Partner, pointing out that most employees are now working four-plus days per week in person.
This trend spans across industries, with some sectors showing particularly striking increases.
The consumer and retail sector, for instance, saw in-person work more than double from 33% to 87%, while healthcare systems and advanced industries—including manufacturing, aerospace and defence, and automakers—both reached 73%.
Rising Levels of Satisfaction
Perhaps the most unexpected finding is that employees across different working models report similar levels of satisfaction.
“What we’re seeing is folks are generally satisfied regardless of their work arrangements,” Hancock reveals.
Only 17% of workers in either mostly in-person or mostly remote arrangements expressed interest in switching to a different model.
Even more intriguingly, in-person workers express the lowest intent to quit among all working arrangements.
However, there’s a caveat: lack of workplace flexibility remains one of the top three reasons why office-based employees consider leaving their positions.
When it comes to employee wellbeing, the research presents some fascinating insights.
Remote and in-person workers show similar burnout rates, with approximately one-third reporting feelings of burnout.
Hybrid workers fare slightly better, with just over a quarter reporting burnout symptoms.
Generational Satisfaction Remains High
McKinsey Senior Partner Brooke Weddle attributes this to the nature of office work itself.
“In an office environment, people might be more likely to stop by your office, and there might be an apprenticeship moment or a conversation about a new idea that could lead to a series of discussions, projects, or initiatives,” she explains.
While these serendipitous interactions can lead to more productive outcomes, they also demand more emotional and mental energy.
Contrary to popular belief, the generational divide in RTO satisfaction isn’t as stark as many might expect.
McKinsey’s research shows that while satisfaction rates vary slightly across generations, they remain remarkably high across the board: Baby Boomers lead at 80%, followed by Gen X at 73%, Millennials at 72%, and Gen Z at 68%.
The Gender and Caregiving Equation
The research reveals important nuances when it comes to gender and caregiving responsibilities.
Women reported lower satisfaction scores with the in-person model and perceived lower maturity in crucial workplace practices like mentorship and collaboration.
This gender gap is particularly pronounced in mentorship opportunities, suggesting that organisations need to pay special attention to ensuring equitable access to career development resources.
Caregiving responsibilities emerge as a crucial factor regardless of gender.
Both male and female caregivers show higher intention to quit when required to work in person, highlighting the need for organisations to consider flexible arrangements for employees with dependents, whether they’re caring for young children or older adults.
Geographical Challenges
The post-pandemic workplace landscape has created new complexities around geographic location.
Many employees relocated during the remote work period, sometimes well beyond comfortable commuting distance.
Organisations are now grappling with how to handle these situations.
Some creative solutions are emerging.
As Hancock notes, some employees are finding innovative ways to adapt, such as sharing “crash pads” with colleagues for their in-office days.
However, these arrangements tend to be more feasible for senior employees with greater financial resources, potentially creating equity issues for junior staff members.
Making It Work: The Leadership Challenge
The key to successful RTO isn’t just about getting people back in the building – it’s about what happens once they’re there.
“It doesn’t matter where you ask somebody to be. What matters is what you do with them once they’re there,” Hancock adds.
Organisations need to be intentional about how they use in-person time.
As Weddle explains, “To bring people back and think that is enough to foster collaboration, innovation, and mentorship is a little bit crazy. Even if organisations have an existing model, they need to dust it off and say, ‘How does this need to evolve to really deliver on our aspiration here?'”
The physical office environment itself is evolving to meet new needs.
Many organisations have downsized their office space over the past five years, creating fresh challenges as employees return.
This has led to the emergence of new analytics at the intersection of corporate real estate and HR, examining everything from the utilisation of collaborative spaces to the effectiveness of coffee bars as networking hubs.
Retention of High Performers
One significant concern for organisations is the retention of top talent.
Research suggests that high performers have a greater propensity to leave when faced with rigid RTO policies, partly because they have more options in the job market.
This creates a delicate balancing act for managers who might be tempted to offer more flexibility to star performers, potentially creating perceived fairness issues within teams.
While the return to office appears to be sticking, the research suggests that success lies in clear communication, purposeful implementation, and thoughtful consideration of how in-person work can truly add value.
As Hancock concludes, “Be very clear on what you’re trying to do. Be very clear on the rules of the game. And then be clear on how we’re going to work differently to achieve the outcome that we’re hoping to get from a return to the office.”
The research also reveals an important caution: while companies are successfully bringing people back to the office, there isn’t yet clear evidence of the promised productivity or innovation booms.
This suggests that organisations need to invest heavily in their collaboration infrastructure, innovation processes, and mentorship programmes to ensure their RTO initiatives deliver genuine value.
The message is clear: RTO can work, but only if organisations move beyond simply mandating presence and focus instead on making that presence meaningful.
Success will come to those who can create an office environment that genuinely enhances collaboration, innovation, and employee development, while remaining sensitive to the diverse needs of their workforce.
