Remote and hybrid working became commonplace during Covid, with many commentators predicting the new arrangements were there to stay. Improved work-life balance, along with environmental, health and productivity gains were cited as being among the chief benefits of the new way of working. But many employers are now mandating a return to the office either fully or for a minimum of three or four days a week. Why is this the case? Were the benefits exaggerated? Or is it just a case of old-fashioned management practices reasserting themselves?
Initially, the pandemic necessitated a rapid shift to remote work to ensure employee safety, says Trayc Keevans, global foreign direct investment director and head of research at Morgan McKinley.
“By 2022, Morgan McKinley’s research revealed that over 75 per cent of employees in Ireland enjoyed the freedom to choose their office days under hybrid models. The most common arrangement was two days in the office and three days remote, with over half of employers noting improvements in team cohesion and communication.”
Covid was an unusual time – we were in a state of emergency, says Deirdre Malone, partner and head of employment law at EY Law Ireland. “Many employees then took time to adjust to coming back to the office once the restrictions were fully lifted.
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“Employers were not sure about what steps they could take to get their teams back without losing people who preferred to stay working entirely remotely, as we saw during the period known as the ‘Great Resignation’ that began in 2021. It was a fine balance.”
Several positive things have happened since then. The Work/Life Balance Act, enacted in 2023, provided employees with the right to request remote working, as well as many other important benefits.
“Although it took another year to develop a code of practice to guide employees and employers on how to structure remote working requests, the legislation set out the maximum penalty for failing to comply with the process,” says Malone. “There was now scope for the Workplace Relations Commission (WRC) to consider the merits of an employee’s request if their employer refuses it.
“This gave employers the confidence to start developing their hybrid working policies and apply the terms consistently and objectively.”
This reset the dial for the remote working employment relationship, as it was a clear message from the Government and the EU that no one has the “right” to work from home, says Malone.
“Every eligible employee is only entitled to request remote working arrangements,” she adds. “The Code of Practice, published in March 2024, further bolstered this employer confidence by providing the framework for employers to manage requests fairly. It is not sufficient that an employee is satisfied that they can carry out their duties remotely. The employer can also consider its needs as part of its obligations to properly review a request.
“At the start of August 2024 we witnessed the first decision under the Act. An employee challenged their employer’s decision to refuse a 100 per cent remote working request. The WRC confirmed its limitations and clarified for employees that it cannot look behind the decision but it will review the process used to properly consider the decision.”
Hybrid and remote work models require new management skills that some middle managers have yet to fully develop, says Keevans.
“Post-pandemic training gaps have affected the ability to effectively manage performance, on-board new staff virtually and foster company culture in all cases. Professional services firms, in particular, have pushed for a return to the office to enhance learning opportunities for junior staff, problem-solving, networking and faster productivity ramp-up.”
Some more experienced employees are now seeking new job opportunities due to the erosion of flexibility and increased in-office demands, Keevans says.
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“These changes have disrupted their personal routines and priorities, such as school drop-offs. Thus, a balance between employer needs and employee expectations remains crucial.”
Recently, Keevans has seen a shift towards requiring more office presence, typically three to four days per week. “This change is driven by several factors: geopolitical events – such as the Russia-Ukraine war and inflation; increased labour and energy costs – minimum wage hikes of more than 12 per cent earlier this year; rising regulation; and advancements in AI and automation.”
Unlike in 2022, when Morgan McKinley’s Working Models report showed remote working had a generally positive or neutral impact for most employers, current conditions show business survival is the priority over employee requirements around their desired working model.
Wearable technology could track these rhythms, with AI systems generating personalised work schedules to optimise productivity based on biological peaks
— Trayc Keevans, Morgan McKinley
“Employers are now emphasising in-office work to enhance collaboration, accelerate decision-making, strengthen company culture, support learning and development – in particular for the graduate and junior employees – and optimise office space investments.
“This balance reflects the operational needs of businesses alongside employee engagement considerations.”
Most employers now have a minimum set of in-office days for their employees each week, says Malone. “Just as we saw employers adapt to fully remote working during Covid, now that we are no longer working during a pandemic, employers are adapting to flexible working policies.
“With fewer organisations offering fully remote positions, employees can no longer point to other employers who facilitate total remote working as much as before.”
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Employers need to be fair and consistent in the application of policies around remote and other flexible working, says Malone. “Be transparent in what the business needs from the outset – do not promise something that cannot be delivered. Engage and listen to your workforce.
“The needs will always change and it’s important to understand what matters to people to ensure that your business is truly inclusive.”
Currently, there is a trend towards a stronger in-office model, particularly in urban areas, says Keevans. “Employers are investing in workspace adaptations to facilitate collaboration and video calls, reflecting a broader view of flexible working. Flexible working is not limited to remote work; it includes accommodating individual preferences such as later start times, compressed hours and part-time arrangements.
“It also involves policies that support employees working from their home countries or other locations for part of the year, as well as clear guidelines on these options from the outset.”
Research into future working models suggests a “chrono-flexible” approach, which aligns work hours with employees’ circadian rhythms and individual chronotypes, continues Keevans. “Wearable technology could track these rhythms, with AI systems generating personalised work schedules to optimise productivity based on biological peaks.
“This approach could cater to different work preferences, such as starting and ending work times, to maximise overall team efficiency.”
Malone expects to see greater structure around the number of working days that people will be required to attend in person – whether to learn, collaborate or build relationships.
“The model of 40-60 per cent in-office attendance seems to be the norm for many organisations at the moment and will likely continue for another couple of years,” she says.
“Flexible work will do what it does and flex to society’s needs. Hopefully, there will be a far greater uptake by those with caring responsibilities to work differently and employers will remain open to flexing with their people.”