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Major employers scrap plans to cut back on offices, says survey More than three-quarters of chief executives also wanted the government to encourage people to return to offices before employers themselves started to request it
Reuters
Last Updated IST
Representative image: iStock Photo
Representative image: iStock Photo

Most major global companies no longer plan to reduce their use of office space after the coronavirus pandemic, though few expect business to return to normal this year, a survey by accountants KPMG showed on Tuesday.

Just 17% of chief executives plan to cut back on offices, down from 69% in the last survey in August.

"Either downsizing has already taken place, or plans have changed as the impact of extended, unplanned, remote working has taken a toll on some employees," KPMG said.

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Many offices in London, New York and other Western cities have been empty for months after health authorities ordered staff to work from home where possible, but the roll-out of vaccines means some firms are now planning for a return.

Most chief executives said they wanted vaccination rates to exceed half the population before they started to encourage staff back to the office - a target which is close to being met in Britain but remains distant in much of Europe.

More than three-quarters of chief executives also wanted the government to encourage people to return to offices before employers themselves started to request it.

Just 31% of businesses expected their operations to return to normal this year, while 45% expected a return to normality in 2022. However, just under a quarter of firms said the pandemic would permanently change their operations.

The survey covered 500 firms with sales of over $500 million based in 11 countries including the United States, China, Japan, Germany and Britain, and took place between Jan. 29 and March 4.

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(Published 23 March 2021, 06:05 IST)