How return-to-office mandates impact workplace DEI

Return-to-office (RTO) mandates have rapidly replaced the pre-pandemic remote work culture across companies worldwide. Now, “hybrid” set-ups (a mix of remote, homeworking, and in-person office work) seem to be common, with a typical work week split between two days at home and three in the office. 

While these mandates are seemingly about in-person collaboration, in reality, collaboration can happen virtually in the majority of cases. Many even argued that hybrid set-ups are simply in-office roles, with some homeworking allowed. 

Ironically, in attempting to bring teams together in the same physical place, progress in diversity, equity, and inclusion (DEI) — something that gained a big surge in awareness during the pandemic — can be impacted. 

Why does DEI matter?

It’s no secret that diversity drives innovation and success. 

Several studies have shown that companies with diverse teams outperform their peers on multiple fronts. A 2018 McKinsey report found that companies in the top quartile for gender diversity on executive teams were 21% more likely to experience above-average profitability.

Plus, those with more ethnically and culturally diverse teams were 33% more likely to see better-than-average profits. Diversity isn't just about doing the right thing morally — it’s part of a business strategy that impacts performance. 

As businesses look to scale globally, building a diverse team goes hand in hand with rapid growth, and better, faster results. Having a wide range of perspectives at the table can lead to creative problem-solving, and open the door to new markets and client audiences. Employees from different backgrounds can offer insights into how to approach new customer bases or better serve existing ones, create culturally relevant marketing strategies, and navigate international markets.

For many, the push to return to physical offices has passed and workers are now in an era where hybrid models dominate. Many companies will unknowingly limit their ability to attract and retain diverse talent by jumping on the hybrid bandwagon, without considering what could work best for their company's goals and their employees’ well-being.

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Can RTO mandates and DEI coexist at work?

Remote work has opened up opportunities for individuals who may have previously faced barriers to traditional office-based work. For example, people with disabilities, caregivers, and those living in more remote or underrepresented areas found that remote work allowed them to participate in the workforce without the logistical hurdles of commuting or navigating inaccessible office spaces.

Now, as companies reinstate RTO policies, many of these employees face challenges while navigating their work lives. It may affect their performance and productivity, and eventually, will also deprive companies of the valuable perspectives that such individuals bring.

This brings us to the question: How do RTO mandates impact DEI efforts in the workplace?

RTO threatens the work-life balance established by the ‘great big city exoduses’

During the Covid-19 pandemic, when remote work became the only option, countless news outlets and publications were documenting “great big city exoduses” as individuals and families relocated out of big cities, to commuter towns, rural locations, or coastal areas.

On a more practical level, those who do not live within easily commutable distances of head office, or local offices, found that remote work allowed them to participate in the workforce without the logistical hurdles of commuting or being in a physical office.

Now that they could work remotely, some people went in search of a better work-life balance and affordability, no longer forced to live in a big city or near their office. 

RTO mandates have left some of those who made this shift in a difficult position, one that ultimately affects their productivity and well-being. It may even stifle their career growth and lead them to leave their jobs or pursue other opportunities. 

Having found a sweet spot for work, life, and affordability, each working in tandem with the other, why force these workers into unmanageable commutes that take hours at both ends of their day? If they were productive working from home during the pandemic, there’s no reason to think the same won’t continue to be true.

Soft layoffs impact workers across the DEI spectrum

When companies mandate a return to the office, they risk shrinking their talent pools once again to those who can physically attend an office, cutting off access to a wider range of applicants, with varied, or more niche skill sets a company needs. Worse yet, companies may lose existing employees who thrived in remote work settings and are unwilling or unable to return to the office for personal or logistical reasons. 

Speculation around deeply unpopular RTO mandates with a hidden agenda grew rapidly once companies began announcing them en masse. One of the most common, recurring themes is the idea of “soft layoffs.” If companies know their workers are strongly against RTO, and would stay working remotely all or most of the time if given the choice (and able to keep their jobs in the process), then why alienate their workforce by mandating it?

The “soft layoffs” argument suggests some companies are using this as a strategy to get employees to quit of their own accord, saving them the fuss of having to trigger mass layoff situations. Simply put, employees being so disgruntled that they leave might be the aim.

Even so, such a tactic would still mean soft layoffs would impact workers of color, workers with disabilities, workers with caring responsibilities, and workers based in more rural locations disproportionately — intentionally or not.

This approach is far from inclusive, and especially not for companies that want to scale globally or attract the best talent from all over the world.

Why ‘bring your whole self to work’ mantras ring hollow

“Bring your whole self to work” is a mantra many companies have adopted in their efforts to be more inclusive. But often, there is not enough nuanced consideration as to how this works in reality, especially for those from marginalized communities.

Masking behaviors are extra work, can become exhausting over time, and do not allow employees to “bring their whole selves to work”. 

At worst, it’s part of a company brand face, but it’s not a behavior that’s typically met with a positive reception in reality. Comments along the lines of “actually, do not bring your whole self to work” have become running jokes across social media platforms, as users warn people of the dangers of trusting their employer’s “be your authentic self” initiative, because the chances of it being met with negativity instead of acceptance, are high.

Remote work empowers people across the DEI community 

Encouraging employees to be their authentic selves at work can be a positive thing. But making sure that this becomes a lived reality at your company is key. Achieving this requires an understanding of nuance, cultural competency, and ongoing, up-to-date training. It’s not something that happens overnight either. 

As companies grow, it’s difficult to insulate employees from negative work experience, but you need to ensure those issues are recognized and addressed appropriately. 

The barriers that disadvantage some groups are often rooted in broader societal and systematic problems beyond the workplace. Remote work gives these individuals the autonomy to choose how, when, and if they want to engage with colleagues in a way that best supports their well-being. This doesn’t make them less of a team player or less productive, nor does it affect their productivity and quality of work — quite the opposite, in many cases.

Compulsory office days are not inclusive of everyone’s reality

Requiring employees to return to physical offices can alienate diverse talent, especially those who have thrived with the flexibility of remote work — from those with caring responsibilities to those from marginalized groups.

Companies with diverse teams are more innovative, perform better, and are more adaptable — qualities that are essential if you want to scale quickly, and make a mark as a company.

Long-term flexibility is key to retaining brilliant, diverse talent

Remote work has also helped companies hire talent from underrepresented regions, enabling them to build teams with a wider range of cultural perspectives and experiences.

According to research by the Society for Human Resource Management (SHRM), 70% of employers who shifted to remote work during the pandemic found it easier to recruit talent from a more diverse geographic pool. In turn, this increased the likelihood of hiring individuals from different socioeconomic backgrounds, helping to build a more holistic company culture.

Replacing valuable talent is costing companies money and time

This loss of talent can have ripple effects throughout an organization, leading to a bigger exodus than expected. When employees from underrepresented groups leave, companies not only lose valuable skill sets but may also damage their reputation as a workplace that values inclusion.

Other employees may perceive the company as less committed to DEI, further driving disengagement and dissatisfaction. The impact is not only social but also financial — attrition is costly, and rehiring for lost talent is time-consuming and resource-intensive.

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What should companies keep in mind when thinking about RTO mandates?

One of the most common arguments for RTO mandates is that in-person interactions mean better collaboration and innovation. Yet, the pandemic showed that great collaboration can happen in virtual environments when the right culture, tools, and processes are in place. In fact, many employees found that remote work, when supported by robust virtual tools, allowed them to collaborate more effectively than they could in a traditional office.

This is especially true for those who are neurodiverse. Often, open-plan office environments are challenging for them to work in, and they thrive when given the autonomy to choose their working environment.

Research has shown that employees working remotely are often more productive and engaged, largely due to being free of the typical workplace distractions of an office environment. 

Professor of Business Administration Tsedal Neeley’s piece ‘Remote Work Revolution: Succeeding from Anywhere’ published by Harvard Business School in 2021, highlights how remote work can lead to increased productivity, collaboration, and employee satisfaction, given the right digital tools and support structures.

It also explores how companies like Twitter and Google have permanently integrated remote work based on positive experiences during the pandemic. Similarly, other research shows that while remote work can increase email and meeting frequency (although it doesn’t have to), it also allows for more flexibility and asynchronous work, leading to better work-life balance and productivity (with company culture being key here).

In-person RTO mandates create different rules for local and overseas employees

For globally distributed teams, in-person collaboration is not even a practical option. With team members working in different time zones and regions, virtual collaboration is not just preferable‌ — ‌it’s essential.

Virtual tools, like project management and collaboration platforms mean geographically dispersed teams can work together easily, with fewer interruptions and more focus on outcomes.

In this context, insisting on a physical office presence as the only route to effective teamwork overlooks how technology and culture shape collaboration. It can also mean one rule for employees based in a company’s main location, and another for those based abroad.

Plus, for many employees, particularly those who may feel marginalized in traditional office spaces, remote work has proven to be a more inclusive, empowering environment. Companies that are serious about growth must recognize the importance of maintaining flexibility in their work models, to support collaboration across diverse teams.

The role of unconscious bias in RTO policies

It’s worth noting that RTO policies may be shaped by unconscious biases about what productive work looks like. Many leaders have spent years managing teams in an office environment and may instinctively equate physical presence with productivity.

However, this assumption doesn’t account for the diverse ways in which people work best. For some, particularly neurodiverse people, or those who face discrimination in traditional workplaces, remote work can be a more productive and comfortable environment.

Unconscious bias may also play a role in who feels comfortable returning to the office. Employees from underrepresented racial or religious groups often face more overt or subtle forms of exclusion or discrimination in the office. Studies show that workers of color are more likely to experience microaggressions and bias in the workplace, which can make the office environment feel unwelcoming.

As a result, these employees may be less inclined to return to in-person work and more likely to leave the company if forced to do so. Even worse, they may stay, comply, and suffer in silence. By offering flexible working options, companies help employees, regardless of background, to work in environments where they feel safe, supported, and empowered to contribute. 

This, in turn, leads to better employee wellbeing, lower turnover, and better performance across the board.

What is the true impact of RTO and smokescreen hybrid models?

While in-person collaboration may seem like a logical step, the unintended consequences on diverse talent can be significant. Rather than prioritizing physical presence, companies should focus on creating inclusive, flexible work environments that allow all employees to thrive — whether in the office or remotely.

Diverse teams drive better company performance. If businesses want to succeed in a global, fast-paced economy, they must create and implement policies that support, rather than hinder, the inclusion of diverse voices.

By rethinking RTO mandates, re-evaluating hybrid models, and embracing flexible, equitable work practices, companies can foster environments that genuinely prioritize innovation, growth, and productivity — beyond just theory, but in practice.

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