US federal government is pushing to end remote work

The federal workforce is set to face a massive overhaul. Under President Donald J. Trump’s administration, the Department of Government Efficiency (DOGE)—led by Elon Musk and Vivek Ramaswamy—will be tasked with streamlining government operations. It’s a big challenge, but the goal is clear: reduce inefficiencies, bring accountability, and cut down a bloated system.

One way to address this? By requiring federal employees to return to the office. It’s simple psychology. When given a choice between adapting to the new rules or leaving voluntarily, many will choose to walk away. That means fewer layoffs, faster outcomes, and leaner operations, exactly the kind of efficiency required to tackle bureaucracy at scale.

Critics love to point to telework as a panacea for productivity. They cite studies from the US Bureau of Labor Statistics claiming remote work increased productivity across 61 sectors while cutting non-labor costs like office rent. The Government Accountability Office (GAO) even found that telework improved morale and helped employers retain top talent. That’s all valid, but these gains come with a trade-off. Oversight becomes weaker, collaboration less organic, and innovation harder to sustain over the long haul.

Pros and cons of telework

Pros and cons of telework

Can these benefits hold up when stretched to massive federal operations? Many have their doubts. What’s efficient for a tech startup isn’t necessarily scalable to an organization as complex as the federal government.

The plan isn’t perfect, but tough choices rarely are. The focus isn’t only on productivity, it’s also on realigning the structure of government to meet modern demands. That’s the kind of transformation you can’t achieve by keeping everyone scattered behind a webcam.

Corporate is shifting towards in-office work mandates

Let’s talk business. CEOs are signaling loud and clear that the pendulum has swung back to in-office work. A KPMG survey of 1,300 global CEOs—400 from the US—shows this seismic shift in real time. Earlier this year, only 34% of CEOs favored an in-office model. Now, that number stands at a staggering 79%. It’s a monumental shift.

Why the change? Leaders are betting on the power of face-to-face collaboration. They see offices as hubs for mentoring, sparking innovation, and building up a stronger company culture. Remote work, for all its benefits, just doesn’t replicate the same dynamic. It’s harder to coach the next generation of talent through a screen or cultivate the energy that comes from spontaneous hallway conversations.

To get employees back, many CEOs are dangling carrots. In fact, 86% of executives surveyed said they would sweeten the pot with better assignments, promotions, or pay increases for those who show up in person. Of course, there’s a stick, too. Some leaders simply don’t trust employees to stay disciplined at home. They picture workers binge-watching TV in their pajamas during office hours and feel more confident managing people they can see.

There’s another layer here too, that of sunk costs. Companies have invested heavily in office spaces, equipment, and leases. Empty offices feel like wasted money, and they’re also a visible reminder of past decisions that need justifying. While CEOs are pushing for collaboration, there’s no denying a financial motivation driving these mandates.

Overlooked value of remote work for deep tasks

Here’s something CEOs need to think about. While collaboration is important, it’s not the whole story. The kind of deep, focused work that drives real results often thrives in quiet, distraction-free environments. Offices, for all their benefits, aren’t always built for that.

Cal Newport’s Deep Work makes a compelling case for this. Tasks requiring high levels of concentration (e.g., strategic planning, coding, writing, or any creative endeavor) are better suited to remote work setups.

These are the types of efforts that generate the most monetary value for organizations, and they’re easily drowned out by the constant buzz of office life. The problem is that most leaders equate visible activity with productivity. An employee typing furiously at their desk in the office seems more productive than someone working quietly at home, even if the latter delivers more impactful results. It’s a bias that could cost companies if they don’t strike the right balance.

Remote work mandates will have ripple effects

When government policies shift, the ripples are felt across the private sector. A federal crackdown on remote work could flood the job market with talent, especially among employees unwilling to give up flexible work arrangements. For private employers, this could be both a challenge and an opportunity.

More job seekers could mean downward pressure on salaries, especially in sectors already grappling with economic uncertainty. At the same time, companies willing to accommodate remote work could attract some of the most experienced professionals from government roles.

Not all agencies have embraced telework equally. For instance, 66% of total hours worked at the Veterans Benefits Administration were remote, compared to just 11% at the Farm Service Agency, according to GAO data. The disparity here shows just how unevenly telework policies are applied, and a sweeping mandate could bring dramatic changes to workforce dynamics.

The temporary nature of the remote work decline

Let’s look at the long game. While 2025 might be a rough year for remote workers, it’s far from the end of the story. Change is coming, and it’s not just in the attitudes of future leaders but in the tools that make remote work more seamless and effective.

Artificial intelligence and augmented reality are evolving fast. These technologies have the potential to make remote collaboration feel just as connected as working side by side in an office. Over the next decade, as new generations enter the workforce, demand for flexibility will only grow stronger.

For companies willing to bet on remote work now, the upside is huge. They’ll get the first pick of top talent who refuse to compromise on flexibility.

The current backlash isn’t permanent. It’s a moment in time. Smart leaders know that the future doesn’t require choosing between remote and office work, but rather blending both to create something even better.

Final thoughts

As the tug-of-war between remote and in-office work intensifies, how will your organization adapt to attract and retain the best talent while staying ahead of innovation. Are you prepared to rethink your approach, to build leadership in a future where flexibility and efficiency define success?

Tim Boesen

December 10, 2024

5 Min