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Over half ( 61 %) state that their employees are more productive while working remotely , a quarter ( 24 %) say that they are equally so and only a minority ( 15 %) feel that productivity has decreased . However , business leaders in Germany ( 94 %) and France ( 91 %) report higher levels of productivity , in tandem with the ONS findings that these regions surpass the UK . This suggests that businesses could gain more productivity advantages from hybrid working .

Perceptions of productivity levels while working remotely have largely advanced in the UK . In an Okta study from 2020 , more than a quarter ( 27 %) felt that there was a distinct perception that employees were doing little work while at home , but most ( 64 %) felt that this improved during the course of the pandemic .

Over a third ( 37 %) of business leaders now see better productivity as one of the main business drivers in adopting a hybrid model . However , a quarter ( 26 %) feel that this is still a challenge and a third ( 32 %) say that this is a top priority to improve .

Hybrid on the rise , along with proximity bias

Over the past few years , there has been an increasing desire for employees to adopt hybrid working , rising from April 2020 ( 35 %) to March 2021 ( 43 %), with three-quarters ( 72 %) now using this model in 2023 . Okta ’ s 2020 research found that over half ( 55 %) were in the office every day prior to the first national lockdown , and in March 2021 , almost a third ( 31 %) believed that their employer would require them to return full-time . However , the new study finds that this is now the case for just a quarter ( 25 %).

The rise of hybrid work has simultaneously led to a growth in proximity bias , which is a tendency to give preferential treatment to those working on-site compared to those working remotely . This is regarded as an increasing challenge for a fifth ( 19 %) of UK businesses . Two-fifths ( 42 %) of leaders are actively investing in ways to prevent this , while a similar number ( 41 %) would consider investments in this space .

Additional priorities for businesses in 2023 include improving employee experience ( 33 %), maintaining a positive workplace culture ( 30 %) and getting collaboration right ( 27 %). To do this , leaders plan to increase investment into video conferencing tools ( 78 %), productivity and collaboration tools ( 70 %) and employee engagement tools ( 68 %) over the next three years .

“ Many employees predicted that they would be required to return to prepandemic ways of working , but this hasn ’ t been the case ,” said Ian Lowe , Head of Industry Solutions EMEA at Okta . “ Business leaders and governments alike have in fact listened to employee demands and the general public sentiment , recognising the benefits of hybrid work , from improved productivity and better wellbeing , to reduced operational costs .” x

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