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AT&T Ends Hybrid Work Model, Requiring Employees to Return to Office Full-Time

AT&T Ends Hybrid Work Model, Requiring Employees to Return to Office Full-Time
John Stankey pictured in 2016 (John Lamparski / Getty Images for Advertising Week New York)
  • PublishedDecember 19, 2024

AT&T, one of the largest telecommunications companies in the US, has announced a shift in its work policy, requiring employees to return to the office five days a week starting January 2025, Fortune reports.

The decision marks a departure from the company’s previous hybrid model, which allowed employees to work remotely for part of the week.

This move aligns AT&T with other major corporations, including Amazon, which recently made a similar decision to bring employees back to in-person work full-time. The return-to-office (RTO) push reflects a broader trend among large employers aiming to foster collaboration, enhance innovation, and establish a stronger workplace culture.

Previously, AT&T employees were only required to be in the office three days a week. However, in a company-wide update, AT&T stated that all employees, regardless of role or rank, would be expected to work in-person five days a week starting next year.

The shift follows a similar policy change implemented last year for the company’s management staff. At the time, AT&T required approximately 18,000 managers to work on-site at one of the company’s nine core office hubs. These core hubs are located in Dallas (where the company is headquartered), Atlanta, Los Angeles, Seattle, Washington, St. Louis, San Ramon, California, and two sites in New Jersey (Middletown and Bedminster).

The reasoning behind the policy change was outlined in AT&T’s 2024 proxy statement, which stated that the shift was intended to “drive collaboration, innovation, and better position us for long-term success.”

AT&T CEO John Stankey has been vocal about the importance of in-person work. In an interview with Bloomberg Radio last year, Stankey said 85% of management employees already lived near one of AT&T’s nine core office hubs. For those in the remaining 15%, he acknowledged that difficult choices might lie ahead.

“Others may decide, given the station of life they are in, that they want to move in a different direction,” Stankey said.

He underscored that employees who want to be part of a “great culture and environment” would need to adapt to the company’s new working model.

The latest announcement extends that stance to the rest of AT&T’s workforce, signaling that employees will now have to reconsider their living arrangements or commute options if they are not located near one of the company’s main offices.

With AT&T consolidating its office footprint from locations across 50 states to just nine hubs, some employees may question the availability of desk space and office resources. AT&T has acknowledged these concerns, noting that it is “enhancing our facilities and workspaces, adapting our benefits programs, and incorporating best practices to ensure our employees are best equipped to serve our customers.”

While AT&T maintains that the majority of its workforce already worked on location full-time throughout the pandemic, it remains to be seen how well the facilities can accommodate a sudden influx of staff. Other companies, like Google, have faced similar issues. Google’s recent decision to reduce its office space and introduce “desk-sharing” arrangements led to complaints from employees, who were asked to alternate days in the office and share personal desk space with a “desk buddy.”

It is unclear whether AT&T plans to introduce any desk-sharing initiatives, but the company has stated it is focused on improving facilities to handle the shift.

AT&T’s decision mirrors a growing trend in corporate America, as several major companies roll back remote and hybrid work models. Amazon CEO Andy Jassy recently made waves by requiring Amazon employees to return to the office full-time, sparking backlash among employees.

A survey conducted on the job review site Blind revealed that 73% of Amazon employees said they were considering quitting due to the RTO policy. Additionally, over 90% of respondents said they were “dissatisfied” with Amazon’s return-to-office requirements.

Like AT&T, Amazon justified its decision by citing the benefits of in-person work for collaboration and innovation. Other firms, including Google, Disney, and Meta, have also moved to increase office attendance requirements, though most have settled on hybrid models rather than full-time in-office mandates.

AT&T’s decision could face pushback from employees, particularly those who moved to locations far from its core hubs during the pandemic. As was the case with Amazon, employees who built their routines around remote or hybrid work may feel forced to either relocate or leave the company.

CEO John Stankey’s comments suggest that employees have little room for negotiation. His earlier remarks emphasized that employees will need to make “appropriate decisions” based on their personal and professional goals. This position may alienate certain employees, especially those with long commutes or family obligations.

Additionally, as seen in Amazon’s case, such moves could affect employee satisfaction and lead to increased turnover. Whether AT&T experiences similar pushback remains to be seen, but the company’s firm stance on the issue indicates it is unlikely to reverse course.

AT&T’s new policy reflects a growing shift among major corporations to prioritize in-office work over remote or hybrid arrangements. For some companies, the shift is framed as a strategy to boost productivity, strengthen company culture, and foster collaboration.

However, experts caution that companies may also be seeking to address “productivity paranoia” — a term used to describe management’s fear that employees are less productive when working remotely.

The shift may also be linked to real estate investments. Companies that downsized their office space during the pandemic are now seeking to justify their leases as remote work loses its appeal among corporate leadership.

For employees, this shift means that flexible work arrangements may become increasingly rare, especially at larger companies. Workers who moved away from corporate hubs during the pandemic in search of more affordable living may now face difficult decisions about whether to relocate, change jobs, or accept a longer commute.

Written By
Joe Yans