What is going on here?
UK financial industry leaders are leaning towards increasing office hours, with more than 75% of industry leaders planning to have staff return to the office more often next year, according to research from KPMG.
What does this mean?
The work culture pendulum is swinging back, as more than a third of financial firms aim to have employees work in the office at least four days a week. The move is in response to challenges posed by pandemic-era remote work, which led to lower office occupancy rates, especially in expensive urban centers. Employers are increasingly concerned about the barriers remote work creates to collaboration, especially between junior and senior employees. But this change is not without friction. Just a few months ago, only 10% of staff wanted full-time office work, showing clear resistance to a full return to pre-COVID-19 norms. Despite this, a significant 58% of leaders agree that flexible working can give them a competitive advantage, suggesting an ongoing battle between flexibility and tradition. .
Why should we care?
For the market: Return to basics.
Major companies such as Amazon, Goldman Sachs, and JPMorgan are backing a return to the office, which could set a trend. Companies are tightening policies and leveraging technology such as swipe systems and digital cameras to track time and attendance. How this impacts productivity and culture could influence the dynamics of financial markets and help shape long-term hiring trends.
The big picture: Balancing the scales.
Globally and in the UK, financial companies are looking to perfect hybrid working models to attract talent and foster effective teamwork. This move to adjust attendance policies reflects a broader economic effort to adapt to the evolution of the workplace while remaining competitive in a rapidly changing landscape.
