- Between January 5 and January 28, 2023, the Partnership for New York City conducted a survey of over 140 large office employers in Manhattan to assess the number of employees who had come back to the office and those who remained working from home.
- The survey showed 82% of employers intend to have a hybrid schedule in 2023, and only 9% will require daily attendance.
- Since February 2020, nearly a third of employers have downsized their office real estate.
Returning to the office has been a hot topic for the past year as employers and employees clash over priorities. Remote work has allowed for new work flexibility, and workers are not keen to give that up and return to the office in droves just yet.
Between January 5 and January 28, 2023, the Partnership for New York City conducted a survey of over 140 large office employers in Manhattan to assess the number of employees who had come back to the office and those who remain working from home.
The survey showed return rates to the office are heading towards the “new normal” of 56% occupancy as anticipated by employers.
By the end of January 2023, 52% of Manhattan office employees could be found at their workplace on any given weekday, which is an increase from the 49% present in September of last year.
The future of NYC commercial real estate
Since February 2020, nearly a third of employers have downsized their office real estate, while a slightly smaller portion (17%) have expanded it; the majority (54%) have kept their footprint unchanged. However, over the next five years, more employers anticipate increasing their real estate (26%) than shrinking it (18%).
Key survey findings:
- 9% of Manhattan office workers are in the office full time
- 10% of Manhattan office workers are fully remote
- The other 80% have some form of hybrid schedule
As for looking to the future, the survey revealed 82% of employers will have a hybrid schedule in 2023, and only 9% will require daily attendance.
Companies aren’t having to use incentives as much
Nearly half of companies are still providing incentives to employees who venture back to the office, in comparison to 59% back in September. To show their appreciation, some of the popular perks include fun social events (38% offering), discounted or free meals (36%), transportation subsidies (7%), and child care assistance (3%).
The Partnership asked employers what the main factors were behind employees’ reluctance to return to the office. Some of the most common issues included:
- Remote work provides unparalleled flexibility, which is the primary motivator for employees’ preference to not return to the office (57%)
- Length and/or cost of commute (11%)
- Productivity working from home equals or surpasses the office (11%)
- Fear of COVID-19 or other illness (3%)
