It seems things are going swimmingly at Amazon Web Services.
In a recent statement, AWS CEO Matt Garman warned employees to return to the office or consider quitting as Amazon enforces a new five-day in-person work policy starting in 2025. Garman’s stance mirrors that of other tech executives, like Dell, which has indicated that remote workers may not be eligible for promotions if they don’t come to the office. A Newsweek study reveals that most remote workers would resign if forced to return to the office.
A leaked email reveals Twitch will not comply with Amazon’s new return-to-office policy. Twitch CEO Dan Clancy stated that the policy “does not apply to Twitch” due to insufficient office space for all employees.
A recent poll by Blind, an online forum for verified tech workers, revealed that 91% of Amazon employees are unhappy with the company’s mandate to return to the office five days a week starting next year. The survey found that 73% are considering leaving their jobs due to this decision, and 32% know someone who quit over the return-to-office policy.
A survey commissioned by Amazon employees revealed that this policy received an average satisfaction rating of just 1.4 out of 5, indicating widespread dissatisfaction. Many workers expressed that the new policy would negatively impact their work-life balance and flexibility, particularly as they collaborate across different time zones.
In fact, a recent survey conducted by Business Insider reveals that many workers are demanding pay raises to return to the office. The survey highlights a growing sentiment among remote employees, with a significant portion indicating they feel under-compensated for the challenges of hybrid work.
To counter the culture argument, a recent PwC report found that hybrid workers report higher levels of belonging and engagement than their fully on-site counterparts. Specifically, 75% of hybrid workers feel they belong, versus 74% of in-office workers and 68% of remote workers. Additionally, 90% of hybrid employees believe their firm’s culture fosters community and collaboration.
A recent KPMG US survey reveals a significant shift in CEO attitudes towards hybrid work, with 79% of large company CEOs expecting employees to return to the office full-time within the next three years. This marks a stark increase from just 34% in a prior survey.
Why do we care?
This research calls into question the effectiveness of return-to-office mandates implemented by companies like Amazon, which recently required its staff to return full-time under the premise of strengthening company culture. It’s not about culture. It’s about real estate, stealth layoffs, or control.
As companies navigate the complexities of remote and in-office arrangements, these findings underscore organizations’ need to reassess their compensation strategies to attract and retain talent. Companies that lean into employee needs have strategic advantages. And note that there are people quitting companies like Amazon Web Services who are looking for jobs.