❤️ What does RTO (really) mean?

Hello and Happy Thursday!

It seems like every time I open LinkedIn, someone has a hot take about how and where to work. Return to office, hybrid, remote, work from home, work from anywhere, the list just keeps growing.

As with most conversations on social media, terms like "RTO," "hybrid," and more get thrown around with limited context, and little consensus or clarity.

But what does RTO really mean for a functioning organization in 2024? Is everyone back in the office 5-days a week? Is a fully-remote team adopting a hybrid model? Does it signal a shift from more location flexibility to less?

Does anyone agree on the definition?!

I’ve been eager to get my own clarity here and figured I can’t be the only one. So today, we’ve compiled a list of definitions for different location strategies. We’re going to clear some things up, and explore each strategy’s commonly cited pros and cons.

If you’re questioning your location strategy, trying to participate in the conversation, or have simply felt as befuddled by LinkedIn jargon as I have, this is the issue for you! 

Your workplace strategy Mariam Webster,

Jill

The definitions you need

Imagine you're a job seeker who’s applied a for remote role. Then, in the third round of interviews, you learn you'll actually be required in office twice a week.

Or maybe you're a CPO who gets at least one employee email a month that casually mentions, "oh yeah, I moved across the country a few months ago!"

Both will tell you the same thing: shared language is always a powerful tool, and it’s vital for nailing a location strategy.

If you want high marks on talent, engagement, and employee branding, you need clear expectations for current and future employees. That’s tough to do in an age where nobody seems to agree on the lexicon, so we’ve done our best to lay things out for you. Let’s jump in!

RTO

What does it mean? RTO (short for “return to office”) is a broad-brush term describing a company’s return to office-based work after a period of remote work. We’ve seen it a bunch in the last few years; many who went remote at the onset of the pandemic have returned to working from offices. Most of the time, “RTO” denotes a full return to the expected 5-day-a-week in person presence that many offices operated on pre-pandemic.

It's worth knowing: High profile, mandated cases of RTO have shaped its common definition, giving RTO its reputation as a punitive policy (this CNBC article lays out a few cases of the “...or else” that often accompanies RTO announcements). While less common, “RTO” can also describe an office re-opening, or a more gradual shift to in-person presence.

RTO advocates make the following arguments:

• Physical proximity maximizes connection and collaboration

• Office work allows for more efficient, productive work

• Office perks - from slick spaces to impressive food programs - drive engagement

RTO critics make the following arguments:

• With flexible work shown to drive increased revenue, RTO only serves as means for companies to exert control over employees

• Punitive measures for teammates who don’t comply with RTO mandates harm morale

• RTO policies are often difficult (if not impossible) to enforce

In-Person Organizations

What does it mean? When most of us think of office work, this is what we think of. Whether at a headquarters office with multiple satellites, a series of hub offices, or via contracts with co-working spaces, in-person organizations require employees to work from the same shared space(s) on a regular basis. 

It's worth knowing: In-person organizations may approve the occasional remote work exception or “work from home Friday,” but hiring is typically location-constrained to talent who can regularly make the daily commute.

In-person advocates make the following arguments:

• It’s effective for the same reasons cited above for RTO

• Offices create economic opportunities that serve as a boon to local communities

• Those who thrive off of in-person interaction get more out of work

In-person critics make the following arguments:

• Restricting talent pools to those within reliable transportation distance furthers unequal access to career development

• It limits location flexibility and overall flexibility

• Commutes waste time one could spend working or enjoying personal time

Hybrid Organizations

What does it mean? Most often, “hybrid” refers to some expected office presence (say, 2 days per week, or 1 week per month) while offering teammates flexibility to work remotely outside of that requirement. 

It's worth knowing: The distinction between “hybrid” and “remote-first” can get murky. Hybrid work differentiates itself in that it does uphold the expectation of in-person attendance, though typically more flexible than those outlined in RTO mandates.

Hybrid advocates make the following arguments:

• It blends in-office structure and connection with remote flexibility and choice

• It's highly customizable; companies, teams, and employees can create hybrid strategies to best serve their unique goals and cultures

• Socializing is good for employee's overall mental health

Hybrid critics make the following arguments:

• Hybrid offers the illusion of flexibility, but still limits employment/employees to a specific location

• Employees are heads down working from separate computers all day anyway, which negates them coming in. 

• The in-person proponent may not provide adequate structure to justify its necessity in any meaningful or measurable way

Remote-First Organizations

What does it mean? Remote-first organizations support remote work as their default; they don’t require in-person or office presence. They may or may not offer the choice to work from an office space, either for teammates in certain locations, or via perks that reimburse for co-working. Working together physically may be supported, but it’s not expected.

It's worth knowing: An organization being remote doesn’t mean it operates on a “work from anywhere” model. Remote work typically affords more location flexibility than in-person work, however organizations are still location-bound to the countries and states in which they legally and appropriately manage payroll, benefits, and employee taxes. Companies will typically clarify this with language like “globally remote,” “remote in the US and Canada” or “remote in the following states:...”

Remote-first advocates make the following arguments:

• This model often affords employers a wider talent net, including those who prefer remote work for personal, disability, neurodiversity, or caretaking reasons

• Remote-first companies can limit (or forego entirely) costs associated with an office presence

Remote-first critics make the following arguments:

• The connection, collaboration, and productivity afforded by in-person work can’t be replicated remotely

• "Culture" can only be created in-person (Cough. This isn't true. Cough. - Jill "can't let this one slide" Felska)

• People are much more creative when they're in the office together

100% Remote Organizations

What does it mean? 100% remote, or fully remote, companies intentionally operate with zero expectation of regular in-person work. These organizations hold no office space; while individual employees may choose to occasionally work from shared locations, this is typically not managed by the company.

It's worth knowing: To attract a wider talent pool, 100% remote companies tend to value higher geo-flexibility, taking continuous steps to operate in more and more locations. And while a 100% remote company may not expect ongoing in-person work, they may hold the occasional in-person retreat or event.

100% remote advocates make the following arguments:

• It typically entails the highest degree of location flexibility

• Remote companies are more likely to value operational flexibility, optimizing for asynchronous work, nonlinear workdays, and non-traditional work schedules

100% remote critics make the following arguments:

• Logistics around hardware distribution, onboarding and offboarding, scheduling, and more, are very complex

• Remote connection and productivity will never match what’s possible in-person

Some additional phrases you'll want to know:

Remember when "quiet quitting" swept 2022? It seems there’s always a new buzzword to describe employees taking valid concern with policies, practices, or environments. Here are a few that have cropped up in the last couple years.

• RTO Shadow Policies: This describes when specific individuals are allowed to work remotely “under-the-radar,” despite a wider return to office. Shadow policies denote unofficial approval that's hidden from higher-ups at a manager’s discretion. Even if well intentioned, shadow policies are rife for unfairness, relying entirely on bias, personal relationships, and individual preferences.

• Coffee Badging: Named for the act of swiping an office badge to create an attendance record, “coffee badging” is when an employee shows up just long enough to claim they’ve satisfied their expected attendance (and perhaps grab a cup of coffee), before continuing to work remotely. Companies struggling to enforce RTO policies cite this as behavior for which they have limited solutions, or as indication of a noncompliant workforce.

• Quiet Quitting: You know we had to include it! This is the term for employees putting in the “bare minimum” to avoid performance discipline in their roles. Some argue quiet quitting as inappropriate behavior. Others herald it as a work-life win, signaling a shift in attitude toward refusal to work beyond one’s responsibilities without an increase in compensation.

• Resenteeism: The most recently trending term on our list, “resenteeism” describes employees refusing to leave a job in which they’re unhappy or dissatisfied, citing limited alternative prospects, rising cost of living, and economic insecurity. It describes a situation where the need for job security outweighs the desire for job satisfaction.

In closing...

While I'm personally an advocate for remote-first work, it's important to remember there is no "right" or "wrong" way to approach how you structure your workforce. What is important is that you get crystal clear on exactly what's expected at your organization and can speak to why. Employees get to choose if you're the right place for them, but they can only do so if you're clear about your choices - and the language you're using to represent them.

THINGS I'M LOVING RIGHT NOW

In our last newsletter, I asked readers to share their biggest wins from Q1. Y'all, I was so proud and absolutely tickled by the responses I received. Here are just a few that lit me up:

Heather Weidekamp: “My Q1 achievement was receiving my "Top HR Operations Voice" badge on LinkedIn!” So incredibly well deserved! Also, Heather is currently on the hunt for her next role and whoever scoops her up will be SO LUCKY. Maybe it's you...?

Cassidy Edwards: “My big accomplishment in Q1 was moving back home to Texas! 🤠” As someone who recently moved back to my home state of Minnesota after 19 years away, I totally know just how big this feels!

Carol Gibson Miller (a.k.a. my mom): “I learned how to put together - and truly understanding - my budget for work!” Nothing makes me happier than watching my mom thrive in areas that felt frustrating at first! Just one proud daughter over here... 😊

Lois Weinblatt: “One of my biggest wins from Q1 was launching Cohorts and having three running that I absolutely LOVE!” Lois is my bestie. And I've been a champion of her work for years and years. That said, I never truly understood the full power of her work until I joined one of those three cohorts. Ridiculously life-changing stuff. And I'm not the only one who feels that way. The next cohort doesn't kickoff until fall, but you can drop your email here to get notified when it does. Trust me. You won't regret it.