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Written by Salary.com Staff
January 24, 2025
Return to office, or RTO, is a system implemented by companies to transition their employees from remote work to working onsite. This aims to strengthen the company’s productivity, onsite collaboration, and overall culture.
While RTO is projected to be adopted by most companies by 2025, the policies surrounding this strategy have caused friction as there are many workers who still prefer the work-from-home setup rather than working in the office full-time. Meanwhile, many employers believe that shifting to a physical workplace will improve the company’s performance.
To fully grasp what this system entails for both the company and the employees, read on as we further define the RTO strategy, its importance, examples, and best practices.
RTO strategy is a plan of action a company designs to shift the workforce from a remote setup to a physical one. Its purpose is to define the conditions, guidelines, and considerations of implementing RTO to ensure a smooth transition for the company and employees.
Coming up with a strategy needs to have real-time data and offers that are competitive with the latest market trends. Using Real-Time Job Posting Salary Data Solution can help you understand talent strategies.
A company’s RTO strategy can either make or break its status and performance. The reception of the employees on returning to the office will also depend on the conditions laid out for them by the organization.
A study showed that 8 out of 10 companies have lost talent since the release of their RTO mandates. Meanwhile, 1 out of 5 employees are not adhering to their company’s RTO policy. Although working back to the office has its advantages, there will be resistance when the strategy is not properly constructed.
RTO strategy differs from one organization to another. The steps and guidelines must cater to the company’s premises, operation, and employees.
Here are 5 real-life examples of RTO strategies that organizations use:
Strategy 1: Ernst & Young
This company’s strategy is built upon listening to their people first and trying to understand why their employees were hesitant to work onsite. The common reasons were concerns about childcare/pet care and the commutes that come along with the in-person setup. So, the company covered all the costs for commuting and dependent care, as well as unlimited reimbursements.
Strategy 2: Pinterest
The company promotes flexible work and in-person moments to drive inspiration. Their employees can live anywhere they are employed in, and Pinterest will shoulder the travel cost of those who live outside the commutable distance for onsite work. They also offer enhanced internet connection, mobile subsidies, and home setup support for new members.
Strategy 3: Canva
Canva's strategy has 3 categories: hybrid, permanent remote, and onsite. For hybrid work, there are no company-set days, but team events mean onsite meetings. Permanent remote is for those who live outside the distance radius of one of their campuses. Onsite work is for those who need to be working in-person, such as the hospitality and ground control teams.
Strategy 4: Uber
In 2022, Uber's hybrid work model allowed non-remote employees to work in the office on their anchor days—Tuesdays and Thursdays. This is to maximize in-person collaboration. These workers have four weeks per year to do their job from anywhere. They also give employees flexibility to do fully remote work depending on the nature of their position and their location.
Strategy 5: Microsoft
Microsoft’s strategy allows employees to do remote work up to 50% of the time. The conditions are: no specific days for onsite work, no need to seek manager approval, and it's up to the employees and managers to decide their in-person meetings.
They also came up with a shortlist of moments that matter, referring to when the employees must be in the office. The list includes onboarding, launching of new projects, and team-building sessions.
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The strategy should not only be good at navigating changes in the organization. It must also be a winning one for the company and the people. Here are some tips for implementing a winning RTO strategy:
Outline grounds for returning to office. Set the long-term objectives, requirements, and opportunities that come along with returning to the office. Impart current data that suggests increased productivity, collaboration, and overall advantage during in-office days.
Communicate and consider people’s sentiments. Have an open discussion with the employees on what's amenable to them. Conduct a survey that includes certain factors, such as their current location, experience with remote work arrangements, and financial and personal responsibilities.
Provide assistance and anticipate risks. Be steadfast in offering perks to your office workers, such as incentives for commuting costs, access to childcare centers, or wellness programs for work-life balance.
Implementing a successful RTO strategy requires revisiting pay practices. In 2022, some companies offered 5% to 10% pay increases to employees who returned to the office.
Position your organization competitively to attract and retain top talent with the Real-Time Job Posting Salary Data Solution. This AI-powered tool helps your organization provide real-time insights into hiring and pay trends to make informed decisions.
Accomplishing a successful strategy is an ongoing process and requires consistency in the workplace. Here are some best practices to achieve an effective and steady RTO:
Always consult the people
It is always best practice to talk with your employees and actively engage them in every step of the company, especially when the RTO strategy will mostly affect the workforce.
This is a way for the management to understand the unique situation of each person with different job roles and implement policies and benefits that cater to their well-being.
Breed fairness despite various work setup
Once the RTO policy is implemented, treat everyone with inclusivity, whether they choose remote work, office setup, or flexible work arrangements.
Create a space that values the employees equally wherever they prefer to be productive. Show them that one job is as valuable as the other. Do this by giving them positive communication, appreciation, and incentives through a compensation and benefits program, mental health support, and healthy company culture.
Give trust where trust is due
Be confident that the employees you hire are doing their job well and believe that they will deliver. This is how to promote trust in the workplace.
In transitioning to an office setup, give them the space to produce good output without excessive supervision. Most people prefer remote work because of the independence to do the job. Adopt this in the office, guide them appropriately, and give them freedom and flexible work arrangements.
Here are answers to common questions about RTO strategy:
RTO means daily commutes to work, new childcare arrangements, and less autonomy and flexibility. Many employees who have adjusted well to remote work have to reconstruct their way of life again to transition to in-person work.
CEOs want to return to the office because they believe it could increase the company’s productivity, promote in-person collaboration, and strengthen the work culture.
Research shows that return to office mandates caused the decline of high performers’ intent to stay by 16% because of a lack of trust and autonomy in their work. Return to the office also meant compromised work and life priorities, such as caregiving responsibilities and schedule complications, especially for female employees.
A recent report shows that more than half of employees would quit their jobs if remote work were not allowed. Research also suggests that 42% of companies with mandated RTO policies have higher attrition rates than expected.
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