Active postings for fully remote roles – across all of business – is waning as return-to-office policies kick in. The number of remote job postings in the UK has fallen by 18% from the start of 2024, according to labour market data from WilsonHCG. Meanwhile, hybrid jobs have increased 6.9%, suggesting more employers are driving efforts to get people back into the workplace.

Wilson HCG points out there are pros and cons to this approach. Getting the workforce together can be good for learning, engagement and motivation. But for some workers – especially those who have only ever experienced remote working or have caring responsibilities – the return to the office can be daunting.

There could also be implications for talent acquisition once the labour market picks up, Wilson HCG warns, unless organisations have a clear strategy in place, especially around incentives such as wellness schemes.

Global occupancy across businesses

Meanwhile, analysis of office space occupancy rates by real estate and investment management firm JLL suggests a new normal for post-pandemic working. Its Global Occupancy Planning Benchmarking Report 2024 shares how organisations around the world are responding to shifts in working practices, how they are using their workplaces differently and trends that may help organisations plan their own workplace needs. 

But the report also shows that fully remote working globally is no longer front of mind. It says that hybrid working is now the most common work style globally, and 87% of organisations report having a hybrid programme and 49% are planning to expand this in the next three years.

The response from the profession

ICAEW’s report The Evolution of Mid-tier Accountancy Firms 2024 gives us insights into the direction of travel in mid-tier accountancy practice thinking. 

When asked to identify the top three challenges facing their firm, 70% of respondents listed a talent-related issue as their highest concern and a further 18% listed it as one of their top two. Recruitment and retention were cited respectively by 67% and 60% of firms surveyed as their main talent concern.

When asked about macro trends driving change in the profession, 52% of respondents cited talent shortages, an issue that resonates across firms of all sizes. 

On hybrid working specifically, 12% of mid-tier accountancy firms surveyed said they believe it is a key macro trend that is having an impact on the profession. “Survey respondents indicated that client-facing staff are currently working on average two days in the office (or at client sites) each week,” the report states. “Looking to the next three years, respondents predicted this would change to staff spending the majority of their time in the office and at client sites.”

Among mid-tier respondents to the ICAEW survey, the proportion of firms offering fully remote work is set to be nominal (2%), while at the other extreme 12% of those surveyed indicated that they anticipate a return to staff working fully on-site. 

When asked what word best described their firm’s culture, the most popular choice was ‘collaborative’ (45% of respondents.) The disconnect resulting from remote and hybrid working could be driving a shift back to working in the office.

Clarity around hybrid working is key, says Vicki Broadhurst, Head of Inclusion, Culture and Wellbeing at PwC: “We have provided clarity on the hybrid working model by outlining that at least 40-60% of time should be spent working alongside colleagues in an office or on a client site.

“We believe that this strikes a chord with feedback we have received and recognises the importance of in-person collaboration, learning and socialisation.”

KPMG, meanwhile, says there isn’t a one-size fits all approach. A spokesperson says that its people are trusted to be where its clients need them to be, with its client-facing colleagues working together in person as often as needed. Flexible working at KPMG has been in place since before the pandemic, but attendance at the firm’s offices has continued to increase year on year. 

Recruiters continue to see the appeal of flexibility

“Flexible working continues to spark debate across the world of work, as employers navigate the most effective working patterns that will both improve productivity and simultaneously attract, retain and satisfy staff,” says Lorraine Twist, Director at specialist accountancy and finance recruiter Hays. 

“According to our research, more than half (53%) of accountancy and finance professionals are currently working in a hybrid way, splitting their time between the office and working remotely, more so than professionals overall across different sectors (41%) who are working under a hybrid model,” she says.

The Hays research demonstrates the harsh reality of a disconnect between remote working ambition and reality. “As it stands, only 16% of finance professionals are working fully remotely, slightly less than professionals overall (19%),” Twist says. 

But the appeal of flexible working shows no signs of slowing down. “More than half (52%) of finance professionals would not consider applying for a job in the future that didn’t offer hybrid working, compared with less than half (48%) who would be prepared to forgo flexibility,” Twist adds. 

Chris Willsher, Regional Director at Reed Accountancy, says that Reed is seeing fewer accountancy employers recruiting with hybrid working, with many more firms now wanting people in the office.

However, he says it’s still important to remember that embracing remote work and flexible schedules can broaden your talent pool, allowing access to skilled professionals from across the country. “For this to work effectively, employers need to invest in technology, offering the tools and support necessary for employees to succeed in a remote or hybrid work environment.”