Asda, the prominent UK grocery chain, is set to require its corporate staff to work on-site three days a week starting in January. This return-to-office (RTO) policy has been paired with commitments to upgrade on-site amenities, reflecting the belief of Asda’s chair, Stuart Rose, that remote work doesn’t align with the fast-paced demands of the consumer goods sector.
Here’s a closer look at the company’s strategy and the broader return-to-office debate.
Why Asda Is Calling Workers Back
Asda’s RTO announcement is part of a broader trend where leaders in various sectors push for in-person work to improve efficiency and collaboration. For Rose, remote work in the fast-moving consumer goods industry has limitations, with online meetings and Zoom calls often failing to replicate the dynamism of face-to-face interactions. He described remote work as “not a satisfactory way of working” for a sector that thrives on agile and collaborative teamwork.
With experience leading companies like Marks & Spencer and Topshop, Rose highlighted that on-site work better serves Asda’s fast-paced operational needs. The retailer has also recently restructured its management, cutting 475 roles amid sluggish sales, and aims to bring its working model “in line with our competitors and the wider market.”
Enhancing the Office Environment for a Smoother Transition
To encourage corporate employees back into the office, Asda has promised substantial facility upgrades. This includes better catering options, an on-site Asda Express store, and newly decorated spaces. Specific improvements will consist of:
- A more welcoming atrium
- Expanded meeting spaces and quiet work pods
- Upgraded restroom facilities
- New seating and overall redecoration
These enhancements aim to make the office environment more comfortable and appealing, acknowledging that today’s workforce expects a higher standard of workplace facilities.
Balancing Company Needs With Worker Expectations
The shift to in-person work at Asda reflects a broader trend among large corporations seeking to balance business demands with employee flexibility. As Rose pointed out, hybrid work didn’t start with the pandemic but has to be structured to fit the needs of the business. As more companies implement stricter RTO policies, they risk alienating employees accustomed to remote work’s flexibility.
While corporate leaders emphasize potential productivity gains with in-office work, studies show that hybrid models often do not harm productivity. Companies like Dell and Amazon have mandated five-day in-office schedules, signaling a shift toward pre-2020 norms. However, experts argue that forcing strict RTO policies could backfire, especially if the labor market favors employees.
The Broader Remote Work Debate
Not all experts agree with strict return-to-office mandates. Nick Bloom, a Stanford economist specializing in remote work, has consistently championed hybrid and remote work models.
In recent studies, Bloom found that employees valued the flexibility to work from home two to three days a week, often considering it as valuable as an 8% pay increase. This demonstrates workers’ high priority on flexibility and suggests companies could struggle to retain top talent if they insist on rigid in-office policies.
Author and future-of-work researcher Ravin Jesuthasan also emphasizes the potential risk of overly strict RTO requirements. As he explained, top talent may seek more accommodating workplaces if policies become too restrictive, forcing companies to adapt to retain skilled employees.
A New Office Era or a Return to the Old Normal?
As the pandemic recedes, companies are increasingly revisiting traditional office models. Asda’s RTO push and workplace upgrades reflect a dual strategy to support business efficiency and make the office more appealing to employees. This approach may strike a balance that satisfies corporate goals and worker expectations.
The RTO debate is far from over. While many leaders favor a return to in-office work, flexibility remains a top priority for much of the workforce.
