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I agree with your generalization. Here's another: Companies will completely disregard this information and will base the amount of office space and WFH policie
by garyrichardson 6y ago
I agree with your generalization. Here's another:
Companies will completely disregard this information and will base the amount of office space and WFH policies based on the cost of real estate post COVID19.
I predict that when the virus situation calms down, companies will tend to prefer WFH policies until some companies start noticing how cheap office leases are. At that point, we'll ramp back up to where we are today for the same bogus reasons we have open office plans and lots of butts in seats.
I also predict that there will be a bubble of architecture changes for new housing builds: single family homes (that often have a home office space) will start to be built with 2 home offices to support married couples both working from home.
- voisin 6y agoRent expense is already a tiny fraction of labour expense. I don’t think companies will make a different decision if market lease rents decline 50%. It is tiny on the income statement. They will make the decision based on the impact to labour, as a tiny shift in productivity or retention/turnover could easily wipe out the relatively small rent expense.