How Hybrid Working from Home Works Out

52 Pages Posted: 27 Jul 2022 Last revised: 9 Apr 2023

See all articles by Nicholas Bloom

Nicholas Bloom

Stanford University - Department of Economics; National Bureau of Economic Research (NBER)

Ruobing Han

Stanford University

James Liang

Peking University

Date Written: July 2022

Abstract

Hybrid working from home (hybrid), whereby employees work a mix of days at home and at work each week, has become common for graduate employees. This paper evaluates a randomized control trial of hybrid on 1612 graduate engineers, marketing and finance employees of a large technology firm. There are four key results. First, hybrid was highly valued by employees on average, reducing attrition by 33% and improving job-satisfaction measures. Second, hybrid reduced working hours on home days and increased them on office days and the weekend, altering the structure of the working week. Third, hybrid increased messaging and video calls, even when all employees were in the office, reflecting a move towards more electronic communication. Finally, there were large differences in the valuations of hybrid between managers and non-managers. Non-managers were more likely to volunteer into the hybrid experiment, to work from home on eligible days, to predict positive impacts on productivity, and to reduce their attrition under hybrid. In contrast, managers were less likely to volunteer, less likely to work from home on eligible days, predicted a negative average impact of hybrid on productivity, and saw increased attrition rates under hybrid.

Suggested Citation

Bloom, Nicholas and han, ruobing and Liang, James, How Hybrid Working from Home Works Out (July 2022). NBER Working Paper No. w30292, Available at SSRN: https://ssrn.com/abstract=4173636

Nicholas Bloom (Contact Author)

Stanford University - Department of Economics ( email )

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650-725-7836 (Phone)

HOME PAGE: http://economics.stanford.edu/faculty/bloom

National Bureau of Economic Research (NBER) ( email )

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Cambridge, MA 02138
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Ruobing Han

Stanford University ( email )

James Liang

Peking University ( email )

No. 38 Xueyuan Road
Haidian District
Beijing, 100871
China

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