Wednesday, September 10, 2025
No menu items!
HomeBusinessHow Return To Office Helps Companies Avoid Layoffs, Severance

How Return To Office Helps Companies Avoid Layoffs, Severance

How Return To Office Helps Companies Avoid Layoffs, Severance

Organizations now require an average of 3.8 days per week in the office, compared to 2.6 days in 2023.


As more companies begin to implement strict return-to-office (RTO) mandates, some experts say it’s a clever way to intentionally lay off people without formal terminations.

As Business Insider reports, employees who voluntarily quit are ineligible to collect severance and health benefits that laid-off workers usually get.

Earlier this year, President Donald Trump signed an executive order that required all federal employees to return to the office five days a week. Trump’s former right-hand man, Elon Musk, and former Republican presidential hopeful Vivek Ramaswamy, who Trump tapped to lead the Department of Government Efficiency (DOGE), wrote in an op-ed that β€œRequiring federal employees to come to the office five days a week would result in a wave of voluntary terminations that we welcome.”

Major companies, including Amazon, AT&T, Boeing, JPMorgan Chase, and IPS, among others, have already instructed their workers to return to the office or face termination. In a study conducted by The Pew Research Center, nearly half (46%) of workers reported that they would likely leave their job if RTO mandates were implemented.

Losing Talent Rapidly Over Return To Office Mandates

Research from HR Grapevine shows that only 5% of Fortune 100 companies were fully returned to the office by 2023. That figure jumped to 54% in 2025, while the number of hybrid firms dropped from 78% to 41%. Organizations now require an average of 3.8 days per week in the office, compared to 2.6 days in 2023.

However, as experts point out, there is some backlash to RTO mandates. Companies with such requirements experience 13% higher turnover rates compared to those with flexible schedules, CNBC reports. The individuals opting to leave are typically top performers who are open to taking risks and leveraging their skills in the job market.

Whether or not workers choose to leave their companies over RTO mandates, there are signs that layoffs could be imminent in a cooling U.S. labor market this year. Some economists warn that a recession is on the horizon. If that’s the case, there could be a shift in RTO mandates as people try to hold onto their jobs.

RELATED CONTENT: Social Determinants And Social Norms When Breastfeeding Isn’t Enough For Black Women

RELATED ARTICLES

Most Popular

Recent Comments