As some businesses tighten flexible working rules or mandate a return to the office, Stephanie Kelly, chief people officer at IRIS Software Group, argues that they should take a last-chance reappraisal of their remote working policies to optimise collaboration and productivity among decentralised teams.

Despite recent data from the Office for National Statistics showing that 28% of working adults in Great Britain continue to embrace hybrid working, a growing number of major companies are reversing their flexible work policies.

Organisations from Santander to Asda have begun tightening remote work arrangements initially introduced during the Covid pandemic, raising critical questions about the future of workplace flexibility.

This shift comes at a time when businesses are already grappling with a worsening talent shortage. Research indicates that a third of employees aged 25 to 34 in the UK would consider resigning if required to return to the office full-time. Companies that revoke hybrid working policies not only risk employee dissatisfaction but also face reputational scrutiny, as workers increasingly value flexibility in their careers.

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Moreover, studies have shown that hybrid work arrangements can boost productivity by allowing employees to work in environments where they feel most effective.

As businesses navigate the evolving world of work, they can’t afford to jeopardise talent retention and productivity – reappraising approaches to remote working may yield better results than reining back on employee freedoms.

Hybrid models are essential for retention

Often framed as a strategy to boost efficiency and foster collaboration, return-to-office (RTO) policies risk the potential loss of businesses’ most experienced and skilled employees at a time when they’re needed most.

Hybrid working provides employees with flexibility while enabling them to work in environments that maximise their productivity, enhancing job satisfaction, reducing burnout, and nurturing a healthier work-life balance—all key factors in employee retention.

Some employers seem hesitant to embrace hybrid models due to concerns over employee oversight. However, rather than abandoning an effective retention tool, businesses should leverage technology and training to make hybrid working beneficial for all.

Equipping leaders for hybrid success

Leading hybrid teams presents unique challenges, requiring managers to develop new skills in communication, performance management and trust-building. Businesses must prioritise leadership training that equips managers with the tools to foster engagement across geographically dispersed teams.

Beyond traditional leadership skills, hybrid managers need to master digital-first communication, set clear expectations for both in-office and remote employees, and create a culture of accountability without resorting to micromanagement.

That’s where technology comes in – businesses should integrate smart tools, such as employee engagement analytics, into leadership training to enhance decision-making and ensure leaders can proactively support their teams, wherever they may be.

Equal opportunities for all

Digital platforms are also playing a pivotal role in levelling the playing field between in-office and remote teams. Advanced HR analytics, collaboration tools, and digital engagement platforms enable businesses to bridge communication gaps, monitor employee sentiment, and create inclusive work environments.

From video conferencing and productivity tracking to organisational network analysis, these tools ensure that all employees – regardless of location – have equal opportunities to contribute and thrive.

A key factor in retaining talent is ensuring employees feel empowered and valued in their roles. We know that continuous learning and professional development significantly contribute to job satisfaction and long-term career engagement.

Hybrid working models, when paired with accessible training programmes, allow employees to take control of their growth – whether through digital courses, mentorship programmes, or personalised learning pathways. By investing in technology to provide upskilling initiatives, businesses not only future-proof their workforce but also create a culture of innovation and resilience.

Hybrid working could be the key to ensuring greater staff retention and minimising the talent gap—if implemented effectively. As businesses face ongoing workforce shortages and increasing employee demands for flexibility, those that embrace hybrid models may gain a competitive edge in attracting and retaining top talent.

Rather than reversing flexible work policies, organisations should optimise their remote working to create a work environment that benefits both employees and business success.

 

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