Back to the office means different things to different organizations and it’s shaping the future of work.
It’s been five years since the remote work boom began and one thing is clear: the push to return to the office (RTO) isn’t playing out the same way for everyone. Major corporations are tightening their in-office policies, while small and midsize businesses are doubling down on flexibility.
The result? A growing divide in how companies approach where work gets done and why.
Big Business Means Big Mandates
Large companies like Amazon, Dell, and The Washington Post have rolled out firm RTO mandates in recent months, with some requiring employees to return to the office five days a week. Federal agencies are following suit. These decisions are often driven by a desire to make use of expensive corporate real estate, boost perceived productivity, and reestablish managerial control.
In many cases, these moves are reactive. Studies published on the Social Science Research Network suggest that companies are more likely to mandate RTO after stock dips, hoping that a return to in-person collaboration will improve performance and the bottom line. Some executives view remote work as a threat to accountability and innovation, especially those with more traditional leadership styles.
But the backlash is real. Employees faced with strict RTO policies are increasingly frustrated and disengaged. Some comply with the bare minimum—a trend known as “coffee badging”—while others seek employment elsewhere. Studies have linked these mandates to decreased job satisfaction, increased turnover (especially among women and long-tenured employees), and slower hiring. For workers, a full-time return usually means increased expenses, longer commutes, and negative impacts on mental health.
Small Companies Stay Nimble
In contrast, smaller organizations are maintaining and even expanding remote options. According to the Flex Index Report, 70% of companies with fewer than 500 employees continue to offer fully flexible arrangements, compared to just 14% of enterprises with more than 25,000 workers. While large companies prefer structured hybrid schedules, often requiring three in-office days, small businesses tend to favor autonomy.
Why the difference? Small businesses usually don’t have major real estate investments tying them to in-person operations. They’re also competing harder for talent. In today’s market, requiring full-time office attendance can make hiring even more difficult. For these smaller employers, offering flexibility isn’t just a perk—it’s a competitive advantage.
Small companies are also more likely to listen to their employees and make changes when needed. Instead of sticking to one-size-fits-all rules, many are going with more personalized approaches that better match how people actually work. Some allow individual teams to set their own in-office schedules. Others use flexibility to support parents, caregivers, and those with different working styles, populations most affected by rigid RTO rules.
Hybrid Isn’t Going Anywhere
Despite the wave of high-profile RTO mandates, hybrid work is still on the rise. In 2024, structured hybrid models became the most common practice, with 43% of companies requiring a set number of office days each week. Fully remote policies, meanwhile, have dropped to 25%.
Most hybrid-friendly companies don’t mandate specific days in the office. Instead, they set minimum attendance requirements, allowing teams to choose what works best. This balance appears to resonate with many employees and may explain why hybrid is holding strong while full-time remote and full-time in-office models decline.
Still, RTO isn’t a cure-all. Experts caution against treating it as a quick fix for deeper organizational issues like disengagement or poor communication. In fact, some warn that companies may be relying on RTO as a simple solution to issues that are far more complex.
What Leaders Should Keep in Mind
Whether you’re leading a small team or a large organization, the key is to do it with purpose. There’s no one-size-fits-all formula but one thing holds true: people thrive when they feel heard and supported.
As tools for remote collaboration continue to improve, it’s no longer just about where work happens—it’s also about how it happens. So instead of defaulting to tradition or chasing trends, do some thoughtful analysis. What setup helps your team do their best work? What builds trust, encourages connection, and supports both performance and well-being?
The future of work isn’t fully remote or entirely back at the office—it’s somewhere in between. And those who listen, adapt, and lead with clarity will be the ones who shape what comes next.
Need help making sense of today’s shifting workplace dynamics? The HR Team can help you design policies that work for your people and your business. Contact us today to get started.
About The HR Team: Founded in 1996, The HR Team is a Maryland-based human resources outsourcing firm committed to developing strategic, customized solutions that respond to the unique needs and cultures of organizations of all types and sizes. Available as a one-source alternative to an in-house HR department or on an à la carte project basis, the company’s flexible service models address the full spectrum of HR needs that many organizations struggle to address. The HR Team helps clients achieve their highest level of success by providing value-driven human resources services that leave them time to focus on what they do best: directing business growth and profitability. Headquartered in Columbia, Maryland, the firm serves all of Maryland, Washington, DC, and Virginia. To learn more about The HR Team, call 410.381.9700 or visit https://www.thehrteam.com/.