Tech CEOs plan to scale back on offices now that they know everyone can work from home

[Yo_Mama_Been_Loggin]

If you are lucky enough to not be among the 22 million Americans who lost their jobs this month, chances are, you are working from home.

And if you work for a tech company or live in a major metropolitan area, chances are you've been working from home for a month.

Tech CEOs have noticed that their companies are still running well and employees are still productive even with everyone working from home. For instance, just this week, Oracle founder and chairman Larry Ellison felt so moved by how well his 136,000-employee strong company had been performing, that he took to YouTube to praise the videoconference tech they are using, Zoom, and to say that the company will never fully go back to just in-person meetings again.

All of this is causing at least some CEOs to wonder: why are they paying so much for real estate and office headquarters when their companies operate so well with a fully remote workforce.

https://www.msn.com/en-us/money/news/tech-ceos-say-they-plan-to-scale-back-on-real-estate-for-offices-now-that-they-know-everyone-can-work-from-home-and-it-s-not-good-news-for-wework/ar-BB12NLyE?ocid=msn360

They've been long able to do this. A big part of the problem has been that many don't trust their employees so they want a physical presence so they can micromanage them.

Telecommuting where practical is both cost effective and good for the environment.

[chowder66]

1. I'm lucky that our company has worked this way for 15 years. We didn't have to change anything.

The owner didn't want or need the overhead and thank god I don't have to commute in L.A. traffic which saves in gas, time and money.
The only drawback is that I don't have covered parking so my car sits in the sun for most of the day.

[lame54]

5. Do they pay for it or is it like...

Pizza delivery people who put wear and tear on their own cars

[chowder66]

7. No they don't pay for it but savings in gas would probably pay for a new paint job.

[SWBTATTReg]

2. A wonderful benefit, to telecommute. The big key to this, however, is trust. I know of places...

where they started up telecommunicating, and abusers (didn't work) caused the whole thing to go away/yanked by the company.

Most places it works great, and management should not have to micromanage good workers. Just get out of the way of good workers and let them rip!

Most management in companies do, in fact, get out of the way, and try to make the telecommuting experiences even better, w/ physical appearances by all team members for periodic 'meet and greets', etc.

[renate]

3. my husband was working from home 2/5 before, 5/5 now obviously

And before that he was working from home 5/5 just because the company was then so small.

He's a project manager and he really thinks that being face-to-face at least part of the time is important; it's easier to collaborate, and as a project manager he was (and now is) overwhelmed by being the hub every communication has to go through. When people could just pop down the hall, things were more efficient.

Plus seeing each other in person really helps build a feeling of being on a team. They're all great people and they miss each other. Part-time telecommuting is probably the best of both worlds for people whose commute isn't horrendous.

[dreamland]

4. Not a bad thing as it will free up real estate to make room

For workers to live closer to work. Only problem is that the low-tech or no tech people could be out of jobs such a janitors or receptionists.

[Locrian]

6. they need to start allowing home office type deductions etc - n/t