Next on the chopping block, we have work-from-home policies. Intel just announced a 4-day office policy, effectively signaling that it was getting closer to abolishing work-from-home opportunities entirely. The Intel RTO mandate was announced by CEO Lip-Bu Tan in a letter to employees. Tech giants are gradually reigning in the liberties that were allowed to workers following the pandemic, and while a lot was said about the hybrid model being the future of work, employers no longer agree.
The Intel in-office policy announcement came following reports that the company was gearing up to lay off 20% of its workforce. Many wonder if Intel’s sudden decision to switch to a 4-day office policy is a way to encourage reluctant workers to leave voluntarily. Soft layoffs are not a welcome tactic, but they are a tactic all the same. Intel has denied having any set headcount reduction targets as of now but maintained the possibility of cuts in Q2.
At the end of the day, as Intel’s workplace culture shifts, workers worry that this might be when they have to say goodbye to their desks at home.
AFTER LAYOFF REPORTS, INTEL’S 4-DAY OFFICE POLICY FOLLOWS CLOSE IN STEP
Intel previously had an ambiguous “approximately” three-day rule that required employees to come into the workplace, but CEO Lip-Bu Tan stated that worker compliance had been “uneven” at best. Instead of following up with a policy that more clearly mandated when employees were required to come in, Intel’s new RTO mandate has firmly set the bar at 4 days.
The return to office mandate will have to be followed by September 1, 2025, so employees have some time to make the necessary changes. “I wanted to tell you well in advance so that you have time to make any adjustments to your daily routines. We are going to work hard in the meantime to ensure sites are ready to operate at full capacity,” the CEO said.
He also explained this shift in Intel’s workplace culture and policy was necessary to inspire more discussions and debates that were productive. CEO Tan believes that working in person will speed up the process of decision-making and nurture the bond that exists between colleagues. Workers will also benefit in other ways after their schedules start to include fewer meetings and the removal of unnecessary administrative processes.
INTEL LAYOFF NEWS—ANY UPDATES ON THE 21,000 JOBS EXPECTED TO BE CUT?
Following Intel’s Q1 earnings call, the Intel 4-day office policy was announced, but that’s not all that’s changing at the company. Referring to the company culture, the CEO said, “We are seen as too slow, too complex, and too set in our ways—and we need to change.” He referred back to his goal of reviving Intel’s reputation by becoming an engineering-focused company and aiding its engineers by removing the cumbersome processes that slow them down.
The CEO also spoke of flattening the organization down from its multi-layered approach, explaining that he believed “the best leaders get the most done with the fewest people.” This will be Intel’s strategy going forward, as employees will be eliminated to facilitate this flattening. As a result, there will be job cuts beginning in Q2. There may not be centralized, sweeping layoffs, but leaders will be put in charge of handling the reduction without losing essential talent.
WHAT DOES INTEL’S RTO POLICY INDICATE?
Intel’s 4-day office policy is expected to help workers meet each other more frequently to foster a sense of unity and community. Decision-making will be streamlined and occur at a more rapid pace, and with the flatter workplace in mind, things should start moving forward more quickly. Even outside of Intel, employers remain convinced that working from an office makes workers more productive, and that very well could be true—we might see a rise in worker productivity.
On the other hand, the Intel 4-day office policy change could be a lightly veiled ultimatum for workers to either adjust or quit. Employees who were on the verge of leaving their jobs might commit to the move and find another organization willing to accommodate their preference for working from home. This would rid the task of having to identify and fire employees, and would also cut down on severance pay.
There is no way to guarantee that the layoffs and RTO mandate are linked, however, when brought together, it’s easy to see how one could have led to the other.
SHOULD INTEL’S RTO POLICY BE DUPLICATED AT YOUR BUSINESS?
HR teams are in a tough position right now—do they voice employee interests and try to convince employers to see reason with a hybrid model? Or do they enforce these policies and then bear the aftereffects of dealing with offices packed to the ceiling with unhappy employees?
Unfortunately, there is no one-size-fits-all solution here. Employers have the legal right to mandate RTO policies and can fire employees who do not cooperate. Seeing as even government institutions are being forced to come to the office to work, there is no sympathy to be found for workers who want to protect their right to work from their homes. Businesses like Google and Amazon have already forced workers back to their desks and it won’t be long before others also back the trend.
SOME ORGANIZATIONS RESIST THE TEMPTATION OF RTO MANDATES
Spotify is an example of a company that has had a “work from anywhere” policy since 2021 and it does not plan on changing it. The company believes in treating employees like adults and giving them the room to get the job done. Globally, other businesses have also stuck to their work-from-home policy for now, and don’t have any plans of changing.
For small business owners who don’t want to run up the costs of keeping an office space open five days a week, remote workers can be a blessing. For large organizations that have their facilities open all day regardless of how many come in, it may make sense to just invite them to the office regularly to ensure they are under the direct supervision of their managers.
There are many pros and cons to be considered, and HR teams will have to estimate the impact of the decision specific to their organization. These HR leaders also need to prepare for the possibility that many employees will quit. Amazon workers had threatened to leave in a similar fashion upon hearing about the company’s RTO policy, but we do not have any numbers on how many actually went through with it.
FINAL THOUGHTS ON THE INTEL 4-DAY OFFICE POLICY
Intel’s 4-day office policy does not mean that all businesses should rush to adopt it as well. Different policies come with their own consequences, and while Intel may be in a position to weather them, your business may not. A careful evaluation is necessary before any changes are made and contingency plans should be created in advance to help with any eventuality.
As we learn more about Intel employees’ response to the new policy, we should be able to gauge how many are willing to submit to these new regulations. Most employees are expected to cooperate with changes because the job market has little else to offer them. Such commitment cannot be sustained, so Intel will have to simultaneously look into employee performance and engagement as well.
Microsoft has taken on some strict changes in how they identify and treat low performers, and we expect to see more such policies and RTO mandates roll out at other organizations in the coming months.
Source – https://www.thehrdigest.com/intels-4-day-office-policy-draws-the-era-of-rto-to-its-end/