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A Back-to-Office Boost? Kind Of
Back-to-work mandates are becoming more commonplace, especially with COVID (more or less) receding in the rear-view mirror. But do these mandates mean workers are returning to their companies’ offices? According to June 2023 metrics released by Placer.ai, the answer is yes.
By analyzing foot traffic from 800 office buildings nationwide, the Placer.ai analysts first indicated that foot traffic to offices during the first half of 2023 was down 39.7% compared to the same period in 2019. But by June 2023, that decrease had narrowed to 35.0%. Additionally, “foot traffic to office buildings reached the highest level since before the pandemic,” according to Placer.ai analysts.
The experts did suggest that the stats varied across geographic regions. For instance, “tech-heavy San Francisco continues to lag significantly behind other cities, while New York, Washington, D.C., and Miami vie for the top recovery spots,” the analysts wrote. On the other hand, “all analyzed cities saw a greater recovery in June 2023 than they did, on average, during the first half of the year as a whole.”
But employers supporting the back-to-work movement shouldn’t be jumping for joy just yet. Placer.ai metrics indicate that at-work “dwell time” has dropped significantly since 2019. This means workers coming into the office don’t spend as many days there.
“Considering the efforts to bring employees back more regularly, the data could indicate the sustained power of hybrid work,” Placer.ai Senior Vice President of Marketing Ethan Chernofsky told Connect CRE. “Even with a more focused push to drive the office presence, and whether that reduced excuses to avoid the trip, the wider pattern of hybrid work is still holding strong.”
The Placer.ai commentary asks whether June office numbers suggest a shift in the new hybrid normal. “Could it continue to shift?” Chernofsky said. “Yes. At this stage, is it still clear that hybrid work has a fundamental and lasting impact on office behavior? Definitely.”
- ◦Lease
- ◦People
- ◦Economy
