Managing the age of hybrid work

In 1920 a German sociologist, Max Weber, described the “extraordinarily far-reaching” consequences of the separation of work and home wrought by the industrial revolution. A century later we are seeing another profound transition, not back to cottage industries, but to a technology-enabled hybrid model somewhere between the home and office. As this change plays out—often unevenly across geography, class, gender and age—companies must actively manage it to benefit both workers and their own bottom lines.

Two years after the covid-19 pandemic upended working life across the world, we know that it has created permanent changes for at least one social group. An Economist Impact survey of 1,200 knowledge workers in 12 countries found that more than half work at least one day per week remotely, while the majority enjoy flexible hours. Fully remote pandemic working patterns may be receding as economies return to something closer to normal, but the hybrid model, involving at least some time and location flexibility, is now the norm among knowledge workers, not an exception.

This change brings a new set of challenges.

First, hybrid work is a privilege primarily enjoyed by those in jobs that do not require face-to-face contact at fixed times. This tends to be linked with pay and socioeconomic standing, meaning that companies—and governments—need to find methods of sharing flexibility, or commensurate benefits, with those in frontline jobs.

For those who can work hybrid, there are challenges too. Reduced face time creates the potential for disconnect between employees and managers, posing a threat to workplace relations. Indeed, in 13 different areas, from adapting performance evaluation to training, more than 70% of respondents said there is at least some improvement needed in their company’s response to hybrid work.

Despite these challenges, there are benefits for firms and workers. Most knowledge workers report improved financial, mental, social and physical wellbeing as a result of hybrid work. Employees are at least as productive under the hybrid model as under the old model. Dive deeper, however, and there are substantial divergences among different groups of respondents.

Take age. Gen Z and Millennial cohorts are more likely than their Gen X and Baby Boomer colleagues to see boosted productivity and improved time management from hybrid work, possibly because of greater familiarity with remote working technologies. On the other hand, hybrid work exposes younger workers’ lack of standing within companies. Gen Z and Millennials are more concerned than older cohorts that their professional advancement will be hindered by lack of visibility.

Geography is equally complex. For instance, in Brazil, a country with high inequality and comparably low internet penetration, there is a strong suspicion that hybrid work disproportionately benefits socially dominant groups, including men and high earners. Consider the fact that basic internet access remains the largest obstacle to successful home work and it is clear why. Those in advantaged positions can set themselves up better to succeed in a world of hybrid work by paying for secure internet or converting spare rooms into offices.

Companies cannot turn back the clock to a time before the pandemic. We have embarked on a generational change in work that can unlock huge amounts of flexibility for workers, and with it improve their ability to contribute to companies. But to ride this wave, managers must address the unequal impacts of this new world. They should provide individualised support that takes into account social context, including age, class, seniority and location, or risk hybrid work exacerbating existing inequalities.

Read more about the future of hybrid work.