Move close to office or leave: IBM's ultimatum to managers
IBM has mandated that all remotely-working managers either move closer to an office location or part ways with the company. In a memo sent on January 16, Senior Vice President John Granger stated that US managers are required to report to an office/client site at least three days a week, regardless of their current work arrangement. To monitor attendance, IBM will use badge-in data, which will be shared with managers and human resources (HR) departments.
Relocation deadline and distance requirement
Remote managers who live too far from an IBM facility must relocate within 80km of an office by August. If they refuse to move and cannot secure a remote-approved position, they will have to "separate from IBM," as Granger mentioned in the memo. A company spokesperson explained that IBM aims to create a work environment that balances in-person interactions with flexibility, which can boost productivity, innovation, and client service.
IBM's focus on in-person work
IBM CEO Arvind Krishna has consistently stressed the value of in-person work. In a May 2023 interview with Bloomberg, he noted that promotions would be less frequent for off-site employees. Some IBM teams had already implemented office attendance requirements before this announcement. On a related note, the firm has shuttered several US offices since the onset of COVID-19, thus complicating return-to-office plans for employees. These include facilities in Philadelphia, Iowa, central New York State, Southbury, and Connecticut.
Return-to-office trend and impact
Over the past year, several firms have increased return-to-office mandates, replacing worker-friendly incentives with stricter measures. The tech sector has seen a tightening of rules as market conditions have become worse, and job-cut risks have tipped the scales to favor employers. However, Kastle Systems data revealed that office attendance in 2023 remained relatively stable, with the number of employees in the 10 largest US business districts staying around 50% of pre-pandemic levels.