Expert says US is in a ‘tug of war’ over remote work as employees search for ‘middle ground’

With more than 40 million American workers expected to do their jobs remotely by 2025, one labor expert warned that a “tug of war” between companies and employees to make the transition could add additional pressure on the market.

RedBalloon CEO Andrew Crapuchettes said at “Varney & Co.” on Friday, “Because employers want people in the office and workers, we’ve learned through the pandemic that you can be productive some of the time when you’re working from home.”

A report on the workforce of the future published by Upwork found strong projections for remote work, projecting that 40.7 million American workers will have all-remote jobs in the next five years, up 22.9% from its previous study in 2020, when the pandemic forced many jobs into purely digital. . Void.

Additionally, a Stanford University study found that remote workers were 5% more productive than in-office workers in the summer of 2020. By spring 2022, remote workers were 9% more productive as companies learned how to work better outside. The site by investing in remote friendly technology.

The CEO of Starbucks mandates that corporate employees return to the office at least three days a week

“You don’t have a water cooler, you don’t have all the distractions,” Crapuchettes noted about remote productivity, “but suddenly you’re not doing the same collaboration and innovation as when you’re in an office environment.”

remote worker

While remote workers have found a greater work-life balance, companies “don’t do the same collaboration and innovation” as a result, RedBalloon CEO Andrew Krabochette said in “Varney & Co.” Friday. (Getty Images)

Wall Street managers like BlackRock CEO Larry Fink and Ernst & Young Global Chairman Carmine Di Sibio have argued to get their employees back in the office, citing the need for more productivity and learning opportunities.

“I’m a big proponent of having people in the office, at least for some periods of time,” said Di Scipio of the World Economic Forum in Davos, Switzerland, during a special episode of the show.Morning with Maria” Wednesday.

“I’m not saying they have to be in the office five days a week, but three days makes sense, [maybe] four days “.

“We have to get our people back in the office,” Larry Fink said in an interview with FOX Business’s Liz Claman last September, arguing that doing so would lead to “increased productivity that should offset some of the inflationary pressures.”

But according to the CEO of RedBalloon, many remote workers have been able to spend more time with family and friends, thus discovering a greater work-life balance during the pandemic and with remote work in general.

“You see places like Tulsa, Oklahoma, paid people to come to their city and move from the Bay Area and New York and some of these big metro areas. And now they’re there, and they’re happy, and I think the direction is going to be where employers will realize we’re in this tug-of-war that we have to compromise. On some level,” Crabchitis explained.

The labor expert further argued that employers have also seen an improvement in work culture by migrating to “small offices” and leaving “mega-big” cities such as San Francisco or New York City.

“That’s the trend we’re seeing today, where employers will have to make compromises and they will have to allow employers to live their values ​​out loud,” Krapschitz said. “But that’s what we’re seeing in the market now, these small offices where employers have to make compromises because they simply can’t get everyone back into the big central office.”

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The transition to remote work can already affect office and housing rents, labor wages, or even employment retention at the company.

“It’s going to affect rents, it’s going to affect work-life balance because people don’t want to go back, and I don’t think that trend is going to change anytime soon,” said RedBalloon’s CEO.

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FOX Business’s Taylor Penley and Gleb Tsipursky contributed to this report.

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