The Future of Return-to-Work Policies in 2025: Predictions from Business Leaders
Recent research indicates that employees utilizing both in-person and digital wellness options are twice as engaged as those using only one method. Despite this, 2024 has seen a surge in return-to-office (RTO) mandates, with major companies like Amazon and Starbucks requiring employees to be in the office five days a week. As the RTO debate intensifies into 2025, some companies are prepared for employees to quit if they refuse to return, while others predict that hybrid and remote work will continue to rise. Business leaders share their insights on the future of return-to-work policies in 2025.
#### The Decline of Return-to-Work Policies in 2025
Earlier this year, several business leaders predicted that hybrid work models would prevail in the RTO debate. More recently, a broader group of leaders have made similar predictions about the demise of return-to-work policies by 2025.
Doug Dennerline, CEO of Betterworks, firmly believes that hybrid work is here to stay and foresees the end of RTO policies in the coming year. “The mandatory return-to-office policies enforced by some companies will disappear in 2025,” Dennerline stated via email. He is a strong advocate for a Remote-First approach or, at minimum, a hybrid model, and sees the inevitable shift towards flexibility.
“These rigid mandates are causing talented individuals to leave jobs they enjoy, often forcing managers to bend policies to offer the flexibility their teams need, but the company doesn’t officially support,” Dennerline explained. “Hybrid work is here to stay. I recently read about companies experimenting with four-day work weeks and seeing significant productivity increases over the traditional five-day model. Employees in these companies are now resisting a return to the full five-day schedule—proof that flexibility isn’t just a perk; it’s becoming an expectation.”
Andrea Lagan, COO at Betterworks, agrees that 2025 will prioritize the employee experience, requiring flexible workplaces and personalized development opportunities. “In 2025, employee expectations will continue to evolve, with flexibility, well-being, and career growth becoming even more interconnected priorities,” Lagan believes. “Employees will demand not just remote or hybrid work options, but the tools and structures to work seamlessly and productively across any environment. Flexibility will mean more than location; it will encompass how and when work is done, emphasizing autonomy and trust.”
Felix Kim, CEO of Redrob, also believes that in-office work is becoming obsolete and predicts that many companies will lose talent due to their strict policies. “Companies are forcing people to return to the office, but the tide has shifted,” Kim asserts. “There will be a significant battle in 2025, and I think remote work will emerge as the winner. Hybrid full-time is the way to go.”
Kim believes AI will be a major driver, enabling companies to reach 1,000 candidates automatically. “This capability has never been possible until now and will drive competition. Remote opportunities will be the driving force for talent, and companies requiring in-person work will see a lot of good talent leave,” he says.
Alex Zekoff, CEO of Thoughtful AI, also predicts that smart companies will adopt a hybrid model instead of enforcing return-to-work policies in 2025. “The best companies will move back to hybrid work structures,” he predicts. “The best talent doesn’t like to feel controlled. To build team chemistry and camaraderie, companies will focus on more meetups and super commuting events.”
Tom Keuten, Senior Vice President and Global Microsoft Alliance Lead at Rightpoint, expects hybrid work to evolve with AI, rethinking digital and in-person engagements. He proposes that as return-to-office policies in 2025 take shape and hybrid work models become the norm, AI will redefine how employees engage both digitally and in-person:
“Tools like Microsoft Copilot are revolutionizing team collaboration by shifting from individual AI assistants to AI that supports group tasks. At the same time, in-person experiences will need to offer more meaningful engagement—gathering employees with a purpose rather than out of routine,” he states. “Companies must balance advanced AI tools that support digital collaboration with intentional, purposeful in-person experiences that foster deeper personal and professional connections.”
Jesse Murray, Senior Vice President of Employee Experience at Rightpoint, agrees that companies will need to customize AI tools to enhance employee experiences. “Recent AI-driven expansion of collaboration tool options and capabilities is creating user confusion, lost productivity, and lower engagement,” Murray says. “To address this trend of limitless options, companies will have to understand employees and personalize technologies accordingly, rather than employ something generic that will not stick. This includes integrating platforms with existing tools and systems.”
Deborah Hanus, CEO of Sparrow, expects that a push for return-to-work policies in 2025 will lead to productivity declines and increased leave requests. "The push for a return to the office will have unintended consequences. We expect to see a rise in disability and caregiving leave requests as employees seek ways to maintain remote or hybrid work arrangements—in addition to an increase in resignations as people find ways to maintain their routines with employers who support the reality of their needs to work remotely. Organizations clinging to rigid in-office policies risk alienating their workforce and losing productivity in the process."
#### Final Thoughts on Return-to-Work Policies in 2025
In an increasingly competitive labor market, many leaders insist that it’s time for employers to value the needs of their employees and end return-to-work policies in 2025. Hanus has a message for business leaders: “If your company is among the 70% pushing for RTO, don’t be surprised by a mountain of paid leave requests—or resignations,” she argues. “Remote work lets any employee with a disability, mental health concern, or a dependent achieve a realistic work-life balance.”