In the battle between employees and CEOs pushing for a return to the office, employees have won as CEOs finally accept that hybrid work is the new reality.

In the aftermath of the pandemic, many CEOs have pushed for a return to the office, insisting on returning to the pre-pandemic norm. Such efforts have received major pushback, with quality of life and relocation being among the top issues preventing some employees from returning.

According to the 2024 US CEO Outlook Pulse Survey by KPMG, CEOs are finally coming to terms with the new reality.

“The mental well-being of the workforce and preventing burnout remain priorities,” says Paul Knopp, KPMG US Chair and CEO. “In the ongoing future of work debate, the pendulum is swinging back to hybrid work as CEO expectations for a full return to office decline.”

KPMG’s study goes on to show a major shift in hybrid work adoption in 2024 versus 2023.

• 46% of employees are working a hybrid schedule, up from 34% in 2023.
• Only 34% have returned to the office five days a week, down from 62% in 2023.

The survey cites efforts to proactively manage a tight labor market as one of the motivations for the shift.

CEOs are proactively managing a tight labor market and focusing on initiatives to promote mental well-being and prevent burnout as acceptance of hybrid work models grows.

The survey is one of the most conclusive examples yet that hybrid work is the new normal, demonstrating the long-term impacts of the pandemic.