- A KPMG survey of 1.3K global CEOs revealed 83% expect a shift back to full-time, in-office work within the next 3 years, up from 64% in 2023.
- Older CEOs are more likely to predict the end of hybrid work, with 87% of CEOs aged 60–69 foreseeing this shift, compared to 75% of those aged 40–49.
- Despite the push from major firms like Amazon and financial institutions, current office usage in top U.S. cities remains around 60% of pre-pandemic levels.
- While CEO expectations indicate a return to traditional work models, many companies continue to operate hybrid models amid a tight labor market.
As reported in Bisnow, a growing majority of global CEOs believe the hybrid work model will disappear in the next three years.
What Bosses Think
According to a KPMG survey, 83% of CEOs predict their companies will return to 5 days of in-office work by 2026, up significantly from just 64% who foresaw the end of remote work in 2023.
Nhlamu Dlomu, Global Head of People at KPMG International, noted that there’s a widening gap between CEO expectations and employee preferences as well. This shift comes as companies face a changing employee value proposition and evolving work expectations.
Back-to-Office Push
Older CEOs are particularly confident about the return to traditional work models. 87% of those aged 60–69 expect the end of hybrid work, compared to 75% of CEOs aged 40–49. This aligns with a broader trend of companies pushing employees back to the office.
Amazon (AMZN) CEO Andy Jassy recently informed employees that in-office work would resume full-time by January 2024.
Similarly, financial giants like Goldman Sachs (GS), Citigroup (C, and JPMorgan Chase (JPM) have already mandated full-time office attendance.
Lagging Office Occupancy
Despite these executive efforts, office usage has yet to rebound fully to pre-pandemic levels. Data from Kastle Systems and Avison Young suggest that office visits in major U.S. cities are hovering around 60% of what they were in 2019.
While some companies have embraced hybrid models as a temporary solution, the survey suggests more firms may begin moving away from these policies in the coming years.
Economic Outlook
Though pessimism about the global economy remains, with just 72% of CEOs expressing confidence, 92% plan to grow their headcount within the next 3 years.
As companies prepare to expand, many new hires could face the expectation of returning to offices full-time, marking a potential shift back to pre-pandemic work norms.
