In South Africa, as in many other countries, major social changes during the 2020 pandemic lockdowns had a huge impact on the world of work. The biggest was the shift to technologies that enabled new ways of working from home (WFH) or adopting a hybrid model that combined in-office and remote work.

While some companies still offer WFH or hybrid options, many others are adopting stricter return-to-office (RTO) policies. How will this trend affect South African employers, employees, and the local economy?

Company positions on remote, hybrid, and office work

Corporate America led the reversal of the WFH trend in earnest in 2024. Many flagship companies like Amazon, Dell, and Walmart – once champions of remote work as the future of employment – have now changed course. Despite this, employees remain reluctant to give up the flexibility and freedom that hybrid or remote work has offered over the past 5 years.

LinkedIn reports that while only 20% of its job postings in 2025 are for remote or hybrid roles, those positions attract 60% of applications. A recent US human resources survey found that nearly half of employees who work remotely at least some of the time say they'd be unlikely to stay at their job if required to return to the office full-time.

Globally, a major driver for RTO policies is the perception that productivity improves if staff work in-office. However, large-scale research by McKinsey found that this assumption doesn't automatically hold true. They examined employee perceptions across 3 models – mostly in-office, mostly remote, and hybrid – and their relationship to productivity.

The results showed no clear winner in terms of productivity or employee experience. In-person, remote, and hybrid workers reported similar levels of intent to quit, burnout, effort, and satisfaction. This pattern holds true generally, regardless of gender, though there are slight differences across generations and depending on caregiving status.

Impact of RTO on South African employers and employees

Increasingly, South African businesses are also ending WFH arrangements and adopting RTO policies. However, if you're affected by this shift, it's not a simple policy change that you have no say in. According to local labour law experts, Labour Court judgments confirm that RTO instructions must be reasonable and follow a process of consultation.

A recent case illustrates the risks of shifting to an RTO policy without proper engagement. In May 2025, the Labour Court heard a dispute involving a WFH agreement made during the pandemic for health reasons. When the pandemic waned, the employer ordered the employee back to the office. The employee refused and was dismissed after a disciplinary inquiry.

The employee challenged the fairness of the dismissal, and the case went to the CCMA, and then to the Labour Court. The Court agreed with the CCMA, noting that the RTO order lacked a substantiated or pressing reason for ending the remote work agreement. While the order itself was lawful, it was deemed unreasonable.

The case highlights the need for a careful balance between employees' interests and employers' operational requirements, calling for ongoing engagement, negotiation, and consent. As an employee, you have the right to know the reasons for any proposed change in working arrangements.

Balancing the pros and cons of RTO

RTO can offer benefits in planning and communication – and often improves productivity in projects requiring agile teamwork. What should employees and employers focus on to make RTO a success?

Collaboration

RTO brings teams together for work that is less effective virtually – including certain kinds of collaboration, connectivity, culture building, and skill building. If leaders make RTO mandatory, they should maximise activities that benefit most from in-person interaction.

Productive spaces

As an employer, do you need to redesign the office environment to meet changed workforce needs? Enough space and workstations, strong wi-fi, and smart room technology all help improve productivity.

Managing people

Many employees have had their work-life routines disrupted by RTO policies. Quality time with team members should focus on mentorship, skills development, and connectivity.

Individual productivity

If you're an employee back in the office, maximise your time and the environment – use the resources available and proximity with colleagues to develop your learning mindset and improve your own productivity.

Offset some of the extra costs of returning to the office by earning Greenbacks on your card and fuel spending, to make travelling, shopping, and after-school care more affordable. If you need help reorganising your finances, contact one of our financial advisers to explore the best way to manage your income and expenses.