Omnicom has told its staff they must be in the office at least three days a week, reversing a work from home trend which started during the depths of the pandemic.
CEO John Wren: “It’s time for them to come back because we’re a creative service company, and we work better when we’re together.”
This has still allowed the holding group to cut back on office space, with cost savings.
Omnicom has since 2018 shrunk its office footprint by 35%. At the same time employee headcount has increased by 4,000.
The company believes that physical offices play a critical role in maintaining culture, inspiring creativity and innovation and promoting professional development.
However, the approach also recognises that flexibility creates benefits for the health and well-being of staff.
Omnicom has been experimenting with different approaches to make it easier for a return to the office.
In the New York metro area, Omnicom is opening three satellite offices in Long Island, Connecticut and New Jersey. This will help reduce commuting time for many employees.
During a briefing on Omnicom’s March quarter results, Ben Swinburne at investment bank Morgan Stanley asked if the three day a week minimum rule created any concerns about competing for talent?
“What’s … the reaction internally to that message?” Swinburne said.
Wren replied that the leadership of Omnicom groups believe that it’s necessary.
“Where we benefit is the great resignation is over,” he told the analysts.
“You see it in the layoffs that the tech industry is doing … so we believe that we will be just fine.
“We needed to put out the minimum of three days a week principally for the United States.
“Once you get outside the United States, people have been back in the office like in Asia a minimum of five days a week and most of Europe, at least four.
“Our managers also know that at first, when people come back, we’re going to invest a little money, making an event to come back just to reintroduce people to – having to come back.”
Wren said there will be individual cases where people won’t to come back, and those may seek other alternatives.
“But in the scheme of things, it’s not going to be significant,” said Wren.
Have something to say on this? Share your views in the comments section below. Or if you have a news story or tip-off, drop us a line at adnews@yaffa.com.au
Sign up to the AdNews newsletter, like us on Facebook or follow us on Twitter for breaking stories and campaigns throughout the day.