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Return-to-Office Mandates Used as 'Covert Layoffs' to Cut Staff Without Firings, Report Finds

  • Companies are using return-to-office (RTO) mandates as "covert layoffs" to reduce staff without legal complications of firing employees.

  • RTO makes work environments unappealing to target "quiet quitters" and those with other job prospects to voluntarily resign.

  • Companies avoid severance and unemployment costs by framing layoffs as part of a broader workplace strategy like RTO.

  • Soft layoffs can backfire by overworking remaining staff, causing burnout and lower productivity.

  • Skilled employees may quit rather than comply with rigid RTO policies that don't suit their needs, draining talent over time.

cnbc.com
Relevant topic timeline:
Return-to-office mandates are gaining momentum as the pandemic fades, with 90% of companies expected to require employees to work in person at least some of the time by the end of next year, despite pushback from many employees.
As companies push for employees to return to in-person work, executives are resorting to threats and some workers must choose between giving up their flexible work arrangements or facing potential termination.
Return-to-office mandates are not about productivity or better meetings but rather about companies wanting to become the center of employees' lives, even if the data on the impact of office work versus remote work is inconclusive.
More companies are implementing return-to-office mandates as the economy improves and children go back to school, causing concern for employees facing higher commuting costs and Covid cases.