Flex Report Q3 2024

About the Flex Q3 Report

A question we’ve been asked consistently over the last 18 months — what happens to flexible work policy in the United States if the economy starts to turn south?

This summer we’ve started to see signs of potential weakening in the US economy. The unemployment rate has ticked up from 3.8% in March 2024 to 4.3% in July 2024. Construction spending fell 0.3% in June, surprising forecasters who had expected a 0.2% increase. Economic activity in manufacturing contracted for the fourth straight month in July.

Against that economic backdrop, markets are predicting the Fed will drop rates for the first time in this economic cycle in September. The bigger debate has become whether the Fed will drop rates by 0.25% or 0.50%, vs. whether the Fed will drop rates at all.

Staunch believers in return to office have long argued that when the economy starts to soften, companies will have additional leverage to bring employees back to the office. They’ve predicted a recession could lead employers to require Full Time In Office again for corporate employees.

On the other hand, leading economists like Nick Bloom have argued that a deteriorating economy might lead to higher levels of remote work. He points out that reduced office expense and lower recruiting costs might become more attractive to employers in a downturn.

In this report, we dig into the latest flexible work policy data across US firms to see if the trend toward more flexibility in the US has continued, or whether cracks are emerging with economic uncertainty. We explore what flexible work looks like across industries, company sizes, geographies, and firm ages to better understand recent developments and predict where flexible work may head in the future.

Read on for our latest quarterly report!