Reed predicted in 2024 employers would start mandating office days (Image: Getty)
After several years of doing our jobs remotely, will 2025 be the year the nation finally gets back into the office? There are signs that the working from home (WFH) revolution set in train by the lockdowns is already on its way out.
While it’s unlikely we’ll ever go back to the office fully as a nation, and WFH has undoubtedly introduced a better work-life balance for many Britons, I believe the majority of companies will be breathing a sigh of relief. Research by my firm, Reed, indicates that business leaders have had enough of workers insisting they want to work from home most of the time.
There’s little evidence that the WFH revolution, while delivering some individual benefits, has done anything to improve Britain’s poor productivity levels and I suspect it has also helped to limit growth. While some work dutifully from home, there is plenty of anecdotal evidence in both the public and private sectors of others literally putting their feet up.
At Reed, which deals with more than 30 million job applications a year, we predicted that in 2024 employers would increasingly mandate days in the office and would prioritise what we have dubbed
And that has indeed come to pass.
For those wanting to secure a good job, a promotion or pay rise, our research shows that employers clearly want people back in the office more of the time. With the jobs market already cooling, employers are in the driving seat and will reward those that are willing to be more flexible in their working practices and penalise those that aren’t.
More than two-thirds (68%) of the 251 companies (representing at least 170,000 employees) polled by Reed now say those who worked in the office will go further and faster, indicating that they are encouraging their people to return to the workplace. Proper face time with colleagues, it turns out, is important after all.
But this change is unlikely to happen overnight.
A significant minority of staff – 29% of 2,000 workers we polled – rejected the idea that being in the office more would lead to progression or promotion.
Respondents said they typically worked three days in the office and that they preferred to spend the same amount of time working from home each week, rather than showing flexibility by varying it.
This will present a headache to employers trying to increase productivity and enthuse their teams about the many benefits of interacting with colleagues rather than operating remotely.
I believe the “in-person” premium will become even more vital in 2025 as employers reacting to what is likely to be a cooling jobs market amid the threat of recession make difficult decisions on hiring and firing. There’s no doubt autumn Budget – and the impact of increased employers’ National Insurance contributions due to take place in April – has made the jobs market more difficult.
Last year there were already signs of a falling off in job opportunities – down 24% versus 2023. Over the year, 95% of sectors saw a decrease in job postings across all regions of the UK.
We also found that just over half of workers surveyed had seen a salary review in 2024, with pay performing most strongly in ‘inflation proof’ sectors such as tech, energy and financial services. Looking ahead, we believe technology skills will be most highly-prized by employers as AI continues to transform many workplaces.
We were the first to warn about a potential economic downturn as companies respond to the Budget, and the rise on employers, which is a tax on jobs, hasn’t yet taken effect. We anticipate the trend of an employer-led, buyers’ market to persist.
There is good news though, at least for businesses. The 19% rise in applications we saw across the board in 2024 indicates the richness of talent and choice available to employers, making it a good time to hire the most talented people.
So for anyone seeking employment or advancement in their workplace, my advice is this: be present. If the minimum requirement is two days in the office, offer to do three, four or more. It’s clear this will enhance your prospects in the medium to long-term.
By showing willing now, it could mean you are less likely to be let go in a downturn – while insisting on staying at home when your employer wants you to spend more time in the office is not an advisable strategy. Last year was tough for jobseekers and there’s every indication that it is going to get harder over the next 12 months. But there are still lots of opportunities to progress for those who show up and get stuck in.
James Reed is chairman and CEO of the Reed Group