Is the era of hybrid working coming to an end?

A growing number of businesses are expecting their staff to spend more time in the office, new research has revealed today.

The ‘hybrid’ working model which grew in popularity following the pandemic is being eroded, with nearly half of businesses expecting all working days to be ‘in person’ over the next 12 months.

The findings are contained in a British Chambers of Commerce survey, which revealed that more than 40% of businesses have increased their requirement for on-site working over the past year. 

The majority of businesses which responded were small and medium sized businesses – and more than a quarter predicted their staff would be fully in-person over the next five years.  

Ruth Ross, chief executive of Shropshire Chamber of Commerce, said: “These findings reflect the complex and evolving nature of workplace dynamics across different sectors. 

“While it’s clear that some industries – particularly manufacturing and consumer-facing businesses – are leaning back towards full on-site working, others continue to embrace the flexibility that hybrid models offer.

“At Shropshire Chamber, we’ve seen first-hand how important it is for many of the county’s businesses to strike the right balance between operational needs and employee wellbeing. 

“Flexibility can be a powerful tool for attracting and retaining talent, especially in a competitive labour market. But equally, we understand that for some roles and sectors, being physically present is essential to productivity and collaboration.”

Ruth added: “As we move forward, it’s vital that Shropshire businesses are supported in making decisions that work best for them. There’s no one-size-fits-all approach, and we’ll continue to champion policies that allow our members to adapt and thrive in a changing world of work.”

The BCC survey revealed significant differences in sectoral attitudes towards hybrid working, with manufacturers most likely to be expecting all working days to be on-site in the next year. 

In contrast, just over a quarter of business-to-business service companies say they’ll be expecting all shifts to be in person over the next year.  

Views are mixed over the productivity impact of remote or hybrid working. Half of manufacturers say it decreases productivity, compared to 41% of all firms reporting a negative impact. 

While most of the firms who require on-site working say it hasn’t impacted recruitment or retention, one in ten relevant businesses do claim to have seen staff leave in response. 

Jane Gratton, director of public policy at the British Chambers of Commerce said: “We’re seeing a clear shift towards more firms requiring full on-site working, but it’s by no means a uniform picture. 

“The trend is being led by manufacturers and consumer-facing businesses, while around two thirds of B2B service firms continue to operate hybrid models.  

“Hybrid working has become a fixture of modern working life since the pandemic and is valued by employers and their workforce.  But it does not suit everyone and, for some firms, a full onsite model may be the best solution for the business.   

“With the cost of doing business continuing to escalate, firms are looking to boost productivity. Hybrid working can help firms attract and retain a skilled and engaged workforce. However, some employers are identifying significant benefits of bringing all staff together again onsite.     

“How and where people work is likely to continue to evolve in the years ahead.  A flexible working approach makes good business sense but, to drive economic growth, managers also need the flexibility to do what’s right for their business.”