While some employees might like to continue to work from home and pop in only when necessary, that presents executives with a tempting economic option the employees might not like. I estimate that about 20 percent of every office job is outside one’s core responsibilities — “extra.” It involves helping a colleague, mentoring more junior people, celebrating someone’s birthday — things that drive office culture. If the employee is rarely around to participate in those extras, management has a strong incentive to change their status to “contractor.” Instead of receiving a set salary, contractors are paid only for the work they do, either hourly or by appropriate output metrics. That would also mean not having to pay for health care, a 401(k) match and our share of FICA and Medicare taxes — benefits that in my company’s case add up roughly to an extra 15 percent of compensation. Not to mention the potential savings of reduced office space and extras such as bonuses and parking fees.
Furthermore, we need feedback — good and bad — to successfully manage employees, and they need it to succeed. A friend at a Fortune 500 company tells of a colleague who was hired just as the pandemic hit. He struggled. He wasn’t getting the job done. It was very hard for the leadership team to tell what the problem was. Was it because he was new? Was he not up to the work? What was the specific issue? Worse, no one wanted to give him feedback over Zoom when they hadn’t even met him. Professional development is hard to do remotely.