The push by employers to get American workers back into the office appears to be gaining traction, with fewer than 26% of US households still having someone working remotely at least one day a week. This marks a significant decline from the early-2021 peak of 37%, as reported by the latest Census Bureau Household Pulse Surveys. The data also reveals that only seven states plus Washington, DC, have a remote-work rate above 33%, down from 31 states and DC during the mid-pandemic period.
The shift back to in-person work reflects the continued efforts by many employers to bring their staff back to the office. Remote employees have been blamed for dwindling profits and costing cities billions, leading to fears of a recession that have eroded their ability to demand telework perks they once enjoyed. Companies like Goldman Sachs Group Inc. are now expecting a return to five days in the office, although there is some disagreement within boardrooms on this issue.
At the state level, all 50 states have seen work-from-home rates drop from their pandemic highs. The reasons for this decline vary, with factors such as migration, socio-economic status, gender, race, and even politics playing a role. Democratic states tend to have higher remote-work rates than Republican ones, highlighting the complexity of the situation.
States like Mississippi and Louisiana, which rely on in-person industries like manufacturing and oil and gas, have seen their remote-work rates fall significantly. On the other hand, states like California and Connecticut, which embraced remote work, have also seen declines in their work-from-home rates.
In New York City, workers who fled during the pandemic to places like Greenwich, Connecticut, are now commuting back to the city. This has led to an increase in average ridership along the Metro-North train lines, indicating a partial return to office work.
The latest Census data also shows that employees’ demand for remote jobs is outpacing the number of companies offering them. In many metro areas, more than half of job applications are for fully remote or hybrid roles, but postings for these jobs have been decreasing. Some areas, like Alabama, are offering incentives to attract remote workers, with programs like the one in the Shoals area seeing a surge in applications.
Overall, the trend towards returning to the office is evident across the country, with even large metro areas like Washington, DC, Seattle, Boston, and San Francisco seeing remote-work rates above 40%. While the transition back to in-person work may not be smooth for everyone, it is clear that the push by employers to bring workers back to the office is making an impact.
