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In September 2024, the Amazon CEO Andy Jassy sent a message to all company employees announcing that they would be returning to the office (RTO) full time by January 2 of this year. Employees were not pleased. A survey conducted in November found that nearly half of Amazon employees said they had already applied for new jobs, while 68 percent reported that they were “somewhat or very likely to leave the company within the next year.” 

As many HR teams focus on their own RTO strategies, the dissatisfaction with Amazon is a stark reminder that they must transition in a way that fully supports employees and acknowledges all the ways their expectations have shifted in recent years. Beyond giving employees significant latitude as they adjust to the office again, HR teams must ensure that workplace policies and benefits account for a major change in employee attitudes and priorities: the demand for flexibility. It’s vital to recognize that one-size-fits-all benefits are a relic of the past — the most successful HR teams will provide flexible benefits that meet employees’ unique needs and priorities. 

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Flexible benefits won’t just give employees the individualized support they need and enable them to pursue their specific professional and financial goals — these benefits will also ease the RTO transition by demonstrating that the company recognizes the need to adapt to a new era. The HR teams that oversee a smooth shift to RTO and provide flexibility that goes beyond remote work will have a huge competitive advantage in the coming years. 

RTO is a minefield for HR teams 

After several years of remote and hybrid work, it’s understandable that employees aren’t excited about RTO. Many employees have built their lives around flexible work with childcare arrangements, investments in home offices, and personal budgeting that doesn’t account for the daily commute and other expenses that come with in-person work. HR teams must be sensitive to these concerns, which means providing increased financial support and guidance, flexible scheduling as employees make the transition, and personalized benefits that address employees’ individual concerns and priorities. 

According to a recent Glassdoor survey, over two-thirds of workers say they would pass up a promotion if it allowed them to continue working remotely. Eighty-seven percent of Amazon workers say their productivity will suffer after being forced back on-site. However, from a productivity standpoint, there’s data to support a transition away from remote work. A working paper published by the Stanford Institute for Economic Policy Research reported that “Several studies find that fully remote work yields lower productivity than on-site work.” 

While there’s also evidence in favor of hybrid work, company leaders are suddenly all-in on RTO. KPMG reports that the proportion of American CEOs who expect employees whose roles were in-office before the pandemic to return within three years has surged from 34% earlier this year to 79%. Despite the risks to morale and employee retention posed by RTO, companies are increasingly committed to the policy. 

Employee expectations have permanently shifted 

While company leaders expect to make RTO a core focus in the coming years, many employees are still strongly opposed to this transition. They have grown accustomed to the autonomy and flexibility that comes with remote and hybrid work, and they won’t accept a return to the pre-COVID status quo. This means HR teams that build flexibility into workplace arrangements and benefits will be in a stronger position to attract and retain talent. They will also build healthier workplace cultures, which increases employee engagement and productivity. 

recent survey of over 26,000 employees worldwide found that 83% regard work-life balance as a top motivator — making it even more important than pay. The report also found that workplace flexibility is “now a firm component of the new talent baseline.” While more employees reported that their companies are offering flexibility on a year-over-year basis, they also reported that flexibility is an even higher priority. 

Employees don’t just want flexibility — they also want personalization. This demand applies to everything from value alignment to personalized learning and development opportunities. Twenty-nine percent of employees said they would quit without learning and development opportunities in 2024, but 41% said so this year. These findings indicate that employees want to be treated like individuals, not parts of some herd.

Moving beyond one-size-fits-all benefits 

It’s clear that more personalized and flexible benefits will be critical for talent acquisition and retention in the coming years. Considering the rapid shift in sentiment around remote and hybrid work among company leaders, it will be all the more important for HR teams to meet the demand for flexibility in other ways. But how can they do so? 

The first priority for HR teams must be open engagement with employees over their individual goals and concerns. It’s critical for HR teams to ensure that employees are aware of the benefits available to them — as well as what pain points must be addressed in how those benefits are distributed. HR teams should also reassess existing benefits that aren’t serving employees, such as PTO — 78% of American workers don’t use all the time they have earned, which means it often goes to waste. HR teams can deploy flexible benefits like convertible PTO, which enables employees to put unused time off toward other goals — from retirement contributions to student loan payments. 

Finally, it’s vital for HR teams to focus on improving the employee experience (EX), which encompasses everything from benefits to the company culture. According to Gartner, employees with a positive perception of EX are 54% more likely to stay with the company. A healthy culture that emphasizes work-life balance and provides the flexibility employees need is a key aspect of EX. 

The HR teams that provide holistic and personalized benefits will give employees the flexible support they need at a time when many are frustrated and discouraged by RTO. This shift won’t just ease the transition to RTO — it will build a foundation for greater engagement, productivity, and retention over the long run. 

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