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Home News Coworking

Layoffs Will Hurt Office Usage In 2023

According to a new report from Commercial Edge, layoffs will hinder the number of office-using employees, further driving down office occupancy.

Aayat AlibyAayat Ali
January 23, 2023
in Coworking
Reading Time: 1 min read
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Layoffs Will Hurt Office Usage In 2023
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The office market is in flux once again as companies turn to layoffs, second-guess remote work policies and seek to right-size expenses on the eve of a recession. 

According to a new report from Commercial Edge, layoffs will hinder the number of office-using employees, particularly amongst the tech industry.

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This is a major slowdown compared to rates seen throughout 2021, where office-reliant roles added 117,000 jobs per month compared to the 25,000 monthly averages seen over the last five months.  

However, the report expects demand for coworking spaces to grow throughout the year, citing companies wanting to return to in-person work, without making a long-term office commitment. 

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“[Even] as some firms become more forceful in bringing workers back into the office, many have fully committed to hybrid and remote work policies,” the report reads. “This will be another year of uncertainty and change in the office sector as it moves toward a post-pandemic status quo.”

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Source: Globe St.
Tags: CoworkingCRE
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Aayat Ali

Aayat Ali

Aayat is an editor for the Daily Digest based in Lexington, Kentucky. She has worked with local coworking spaces since August of 2017 and enjoys taking her firsthand knowledge to write about the fascinating, constantly evolving world of flexible workspaces.

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