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Will Trump’s mandate strengthen private sector companies’ push to end remote work? What practical obstacles make strict RTO policies difficult to implement?
In January, President Trump signed an executive order requiring 2.3 million federal workers to return to the office full-time. The move strengthens corporate America’s push to end remote work—but implementation challenges and worker resistance suggest the battle is far from over.
Continue reading to learn more about the federal return to office mandate.
Continuing the RTO War
Five years after the pandemic transformed American offices into virtual workspaces, President Trump’s sweeping federal return to office mandate has intensified corporate America’s return-to-office (RTO) war. The timing and tactics of the push raise questions about whether it represents a sound business strategy or something more fundamental: a renewed battle for workplace control.
However, calls for workers to return to the office clash with current workplace patterns: About 22.5 million Americans—nearly 14% of the US workforce—worked primarily from home in 2023. On any given workday, more than a quarter of all paid work is done remotely, with three-quarters of remote-capable employees still working from home at least part-time.
What Are Return-to-Office Mandates Really About?
While major private sector companies insist that in-person office work is essential for collaboration, innovation, and a strong company culture, evidence suggests that employers have different motives. Experts say some organizations are deliberately using strict RTO policies to reduce headcount without firing staff, knowing the mandates will lead workers to quit.
This strategy appears at the federal level too: Elon Musk, who leads Trump’s Department of Government Efficiency advisory commission, and his former co-leader Vivek Ramaswamy have said that requiring government employees to return would “result in a wave of voluntary terminations that we welcome.”
| Returning to the Office Has Downsides Many workers and some CEOs counter that strict office mandates are misguided and counterproductive to both workers and companies because: Employees are more productive and experience improved well-being when they work remotely. Talent recruitment and retention suffer when companies eliminate remote work options. Office costs are exorbitant, especially when utilization is low. Companies can save up to $11,000 per worker in overhead costs by allowing them to work remotely—and reduce their carbon footprint while doing it. Further, some experts argue that although employers want more in-person collaboration, most hybrid work models fall short: Just 5% of companies are effectively using analytics to identify and stimulate the essential in-person interactions needed for collaboration. Businesses that analyze and use them effectively will be more successful than those that simply mandate arbitrary, in-office days for workers. |
Practical Challenges of RTO Policy Implementation
Private sector employers weighing whether to follow the federal government’s lead on strict office attendance policies face several challenges:
- Insufficient workspace. Many companies sold or consolidated office space during the pandemic, meaning they lack the physical capacity for full returns.
- Talent retention challenges. Three-quarters of remote-capable employees currently work from home at least part time, with nearly half of these workers saying they’d likely quit if forced back to the office full time. The exodus risk varies by demographics:
- Women are more likely than men to say they’d quit (49% vs. 43%)
- Workers under 50 show even stronger resistance to full-time office returns than their older colleagues (50% vs. 35%)
- Recruitment disadvantages. Organizations offering flexible work policies stand to attract talent who leave companies with strict RTO mandates.
- Performance problems. Employees unhappy about being forced back to the office often show lower engagement and productivity levels.
What’s Next?
While the federal RTO mandate adds momentum to the private sector’s return-to-office efforts, management experts say a different approach may prove more effective. Rather than focusing on where employees work, focus could shift to measuring what they actually produce. This move from monitoring attendance to evaluating results could make traditional office mandates—whether federal or private sector—less relevant over time.
The standard nine-to-five office schedule may also give way to more flexible arrangements centered on “core hours”—specific times when teams need to be available for collaboration, whether in person or virtually. This approach acknowledges a key lesson from recent years: Effective work depends more on when teams can coordinate than where they sit.
Ultimately, demographic realities could force many organizations to embrace flexibility. While large companies might weather the turnover from strict return-to-office policies, most businesses face a challenging talent landscape: An aging workforce means a shrinking pool of skilled workers. This fundamental pressure, more than any mandate, may shape the future of work.
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