Since the start of the pandemic and the enforced national lockdown in March 2020, the office industry has faced many changes. The speed of the work-from-home model has picked up enormously, and since the prime minister has announced a road map which England will fully exit the Covid-19 restrictions by June many find themselves looking towards the future and asking the question ‘Do I need an office, and if so, how much will I use it and how much space do I need?’

With more staff surveys showing a desire for flexibility in the future, flexible service companies are finding they are receiving increased demand for private offices for staff to use a few times a week. One of the lasting legacies of the pandemic has been the ability for companies to work in different ways and various locations and maintain (and sometimes improve) high levels of productivity from the workforce.

 Hybrid Working Continues To Grow

With many corporate companies looking to review their workspace estates, hybrid working seems to be gathering pace. Lloyds Banking Group is set to reduce its workspace by 20% over the next 24 months, and HSBC has similar plans. Both want to capitalize on the success of remote working and expect it to be a lasting change long after the pandemic has passed. BT is pressing ahead with cutting its UK offices from 300 to just 30, and Centrica, which has 15,000 office-based staff, have said, “We won’t be back five days a week in the office and I certainly won’t. I will keep a mix of flexible working. It’s good for the staff, it’s also good for the customers.

Critics have raised concerns over the long-term viability of Hybrid working, stating it could lead to widespread failures of service businesses in city centres, including newsagents, bars and coffee shops, all of which rely on passing trade from office workers.

Time will tell who the winners and losers are in the post-pandemic, in this ‘new normal world, yet if the recent trend witnessed by serviced office provider IWG continues, it would appear hybrid working is here to stay.

The Hybrid Working Model Explained

Workspace operators have seen a direct pivot away from the city centre with London, Manchester and Birmingham feeling the biggest impact on their local economies. Various surveys indicate that businesses said that flexible working has empowered their company to be, on average, 91% more productive without the need for an office, which begs the question: Why should we rush to return to the traditional 9 to 5 working day? Enter the hybrid working model.

There have been some notable highlights from the great home experiment, some positive and some negative. In the following post, we seek to address some of the key points raised by business owners.

Attracting Top Talent & Workforce Retention

One main issue is the ability to attract and retain key workers. Reports in the UK put the cost to replace an employee earning the average salary of £27,721 to reach £11,000 each time, equivalent to roughly 6 -9 months’ salary on average. Employers could highlight flexible working policies to improve staff retention and overall satisfaction through reduced commuting, particularly when these would involve lengthy commutes in traffic or on crowded public transport, to help promote an improved work-life balance.

Maintaining a Professional Hybrid Working Model

Businesses have highlighted that home working should only be carried out when the following conditions can be met: “Dedicated space or spare room where staff can easy to concentrate, preferably separate from other living areas and without a TV. In addition, 45% of workers report businesses are concerned about data security, therefore, space should promote a level of security that if required by the workplace is maintained, and that household members understand that you are working and will not disturb you unnecessarily.

A Route Forward For Graduates & Apprentice Schemes

UK-based graduate jobs website Milkround shows that just 18% of graduates are securing jobs this year compared to the typical 60% in 2019. Post-university life should be filled with excitement and exciting job offers, but the reality is far more uncertain. Many entering looking to start graduate schemes have seen them withdrawn or deferred as a direct result of the enforced national lockdown and coronavirus pandemic. Those who have been lucky to keep their placement (64%) have expressed concerns about support and access to mentors whilst training from home or in a hybrid working.

Start Your London Journey Now

If you are looking for office space in London, we can show you a variety of flexible workspaces throughout the city of London. To find out more about the areas that officebroker.io covers in London, check out our London Postcode Guide or our Coworking Guide.