Navigating the Return to the Office

Ben Watts | CEO | wattsnext

As we enter a new financial year and phase of work post-pandemic, the challenging dynamics of ‘people management and hybrid working’ remains our wattsnext clients largest management challenge. I have watched as business owners and senior executives (unfairly in my opinion) have been dictated to by their employees who seemingly decide when and where they expect to work. With unemployment at record lows, talent in demand, wages rising and on the eve of the right to disconnect era; the employer vs employee dynamic in many small businesses is grossly unbalanced.

Is this the turning point? We are seeing light at the end of what has seemed a very long tunnel!

My hope is highlighted by a recent Fair Work Commission (FWC) decision ruling that the flexibility request of a FedEx employee being denied by the company was reasonable. As the CEO at wattsnext and a business owner I'm eager to observe these initial flexibility cases and assess their implications for businesses and employees alike. 

Changes in Flexible Work Arrangements (FWAs) and Fair Work Commission (FWC) Powers

For those who are not aware, Flexible Work Arrangements (FWAs) are an agreement between an employer and an eligible employee that the employee's working arrangements (i.e. hours or location of work) may be adapted to suit their particular needs. Disagreements can be arbitrated by the Fair Work Commission. Recent shifts in workplace regulations, particularly concerning FWAs and FWC jurisdiction, are reshaping how organisations manage employee requests and operational needs. The FWC's authority to issue orders compelling employers to follow specific directives highlights the need for accurate compliance and strategic HR management.

Predicting a Surge in FWA Requests Amid Return to Office

As businesses continue to grapple with returning to office spaces, we have seen and predict a significant increase in FWA requests from employees seeking to maintain flexible work arrangements. This surge reflects diverse employee preferences and concerns regarding health, caregiving responsibilities, and productivity preferences. Business owners and senior executives must be equipped to handle these requests thoughtfully, balancing operational requirements with employees Work From Home (WFH) requests.

The Evolution of Hybrid Work: Balancing Office and Remote Work

While hybrid work models proved successful during the pandemic and are now part of the new normal, there is a visible attitude by business owners and senior executives favouring increased office presence. Employers value the collaborative benefits, passive learning and social interactions fostered by in-person work environments. This shift necessitates a subtle approach where organisations strike a balance between flexibility and the benefits of face-to-face interactions.

The Limitations of Virtual Communication Tools

Despite the efficiency of tools like MS Teams, Zoom, and virtual events, they cannot and will not fully replace the richness of in-person interactions. Physical co-presence facilitates spontaneous discussions/coaching, team cohesion, and small interpersonal dynamics/body language that are pivotal for organisational culture and creativity. The basic HR needs of timely feedback and performance assessment can be missed or unbalanced in hybrid working environments. 

Managing Remote Teams: Challenges and Strategies

Managing remote teams presents unique challenges beyond monitoring work hours and productivity. The inability to perceive non-verbal cues, emotions, and team dynamics firsthand creates managerial blind spots. Effective leadership in remote settings requires enhanced communication strategies, proactive team engagement, and fostering a culture of trust and accountability. These management and supervisory skills are difficult to develop, and hybrid teams further complicate this.  

The Ruling: A Shift in Employer’s Power to have in Person Workers

The recent decision by the Fair Work Commission (FWC), ordering an employee to return to the office one day per week despite his flexible work dispute, is seen as a positive development for employers in Australia. Deputy President Nicholas Lake's ruling reinforces the principle that employees must follow lawful and reasonable directions until their flexible working arrangement (FWA) requests are approved. It also highlights the FWC's role in ensuring fair and balanced outcomes in workplace flexibility disputes, promoting clarity and agreement to lawful directives that benefit both employers and employees.

For a considerable period now, employers have faced challenges regarding employees opting to work from home, often without much choice of the employer. In my opinion this case sets a promising precedent. A glimmer of light and maybe a slight shift in the Employer vs Employee dynamic back to the employer for the first time since COVID.

We should empower business owners to support their people managers. I believe cultivating a hybrid, but positive in-person work environment is good for employees and a critical part of management development.

Ben Watts | wattsnext | https://wattsnextgroup.com/
Ben is a veteran in the HR space- a forward-thinking leader specialising in functional business structures and people performance techniques. With twenty years’ experience managing large ASX listed corporates across multiple industries, Ben adds depth and expertise to our clients' strategy solutions, genuinely providing a commercial result for their investment.