Pinterest Exec: Companies that force workers back to the office are missing the big picture

The Washington Post recently announced that all employees will soon be required to work from an office five days per week—and became the latest in a long line of employers to force workers to return to the office (RTO).

Indeed, several companies have recently clamped down on remote work, insisting that employees return to the office five days a week, and CEOs across industries have been vocal critics of remote work.

JPMorgan’s Jamie Dimon claims that remote work stifles spontaneous idea generation and makes team management challenging. In Amazon’s return to office announcement, Andy Jassy argued that in-person work facilitates more seamless learning and teaching. And former Google CEO Eric Schmidt went further, suggesting that remote work has hindered the company’s AI development.

Yet, at Pinterest, our data debunks these misconceptions. Our internal analysis shows that in 2023, Pinterest’s flexible work policy boosted productivity, fostered more collaboration, and enhanced well-being. And our approach has also been key in attracting a diverse pool of top talent. So while some leaders insist that remote work is stifling innovation, collaboration, and productivity, hard evidence shows the opposite.

Business benefits of flexibility

Since launching PinFlex—our model that balances flexible remote work with in-person collaboration—employees who visit the office less frequently report that they spend more time on focused work and often collaborate more across departments than those who regularly work from a Pinterest office. It’s worth noting that this trend is especially evident among remote employees located more than 70 miles from an office.

Flexibility is clearly linked to increased productivity, which directly leads to improved business performance and external research supports this. A Stanford study found remote work can boost productivity by 13%, and Global Workplace Analytics reports that more than two-thirds of employers saw increased productivity with remote workers. Data from Scoop found that companies with remote work policies outperform those without by an average of 16%.

Flexibility has also been a powerful tool to attract and retain top talent. In the week immediately following a tech giant’s return-to-work announcement, we saw a 90% surge in applications. According to McKinsey & Company, flexibility is one of the top three motivators for people looking for a job. In an industry that is always competing for top talent, it’s never been more clear that flexible work, and employee choice, is a clear advantage for us at Pinterest.

Our model has also proven to be financially sustainable, efficient, and scalable. Since we introduced PinFlex, we’ve more than halved our real estate costs, thereby allowing us to invest in world-class offices that inspire creativity, collaboration, and community for employees and that enable us to host regular off-sites, client engagements, and other events.

The human benefits of flexibility

PinFlex has been especially instrumental in advancing our Inclusion and Diversity efforts as it’s enabled us to tap into a broader, more diverse talent pool. Since 2020, our Black, Indigenous, Latiné, Native Hawaiian, and Pacific Islander (BILNP) employee population has grown 6%, and as of May 2024, 68% of our BILNP employees are based outside the Bay Area—the metropolitan area that once served as the primary source for Pinterest talent. In addition, 79% of our BILNP hires in the last year have come from outside this region.

Being able to work flexibly has had a profound impact on our employees’ well-being. Our employee survey data suggests that when employees feel valued and well-being is prioritized, retention improves—our voluntary attrition rate has dropped to one-third of what it was two years ago. Flexibility consistently ranks as one of the top reasons for engagement and satisfaction. And a recent Gallup survey found that 76% of full-time hybrid workers in the U.S. most often cite improved work-life balance as a top advantage of hybrid work, with 85% of remote workers saying the same.

As the return-to-office debate continues, I applaud the business leaders who boldly advocate for new ways of working. At Pinterest, we’re lucky to have our CEO Bill Ready champion our flexible work program. He sets the tone—and a strong example—to our entire employee base about the value that it brings to our workplace culture and, ultimately, business growth.

My advice to my fellow chief people officers, CHROs, and C-suite executives across industries? Follow the data—it doesn’t lie. It’s time for business leaders to stop relying on badge swipes as the primary measure of employee productivity and start focusing on outcomes. And listen to your people. They are one of your most important stakeholders, so if you want them to help you achieve business success, try to meet them where they are.