Business
Back-to-office orders have become common. Enforcement not so much
Since Cynthia Clemons’ employer announced last month that she was required to be in the office two days each week, the switch from remote work hasn’t been smooth.
The self-described extrovert, who works as an organizer for the nonprofit Abundant Housing LA, said she so far hasn’t “gotten into a rhythm of being productive at a desk again.”
“I feel like I’m back in grade school and being forced to sit down and do my homework,” she said. “Maybe it’s a matter of getting used to it.”
More than four years after the COVID-19 pandemic scrambled work culture by closing offices and forcing people to work from home, friction between bosses and their employees over the terms of their return shows no signs of abating.
About 80% of organizations have put in place return-to-office policies, but in a sign that many managers are reluctant to clamp down on the flexibility employees have become accustomed to, only 17% of those organizations actively enforce their policies, according to recent research by real estate brokerage CBRE.
“Some organizations out there have ‘mandated’ something, but if most of your organization is not following that mandate, then there is not too much you can do to enforce it,” said Julie Whelan, head of research into workplace trends for CBRE.
So, for many employers, setting rules for how often workers must come to the office has turned into a tricky search for a Goldilocks formula that will keep both bosses and workers reasonably happy — or at least not in open conflict. Managers may yearn for the days when daily attendance was a given, but their employees have moved on to a new normal and appear to be in no mood to go back.
The tension “is due to the fact that we have changed since we all went to our separate corners and then came back” from pandemic-imposed office exile, said Elizabeth Brink, a workplace expert at architecture firm Gensler. “It’s fair to say that we have different needs now.”
A disconnect persists between employer expectations for office attendance and employee behavior, CBRE found. Sixty percent of leaders surveyed said they want their employees in the office three or more days a week, while only 51% reported that employees work in the office at that frequency.
Conversely, 37% of employees show up one or two days a week, yet only 17% of employers are satisfied with that attendance.
CBRE surveyed 225 corporate real estate executives who oversee portfolios of office buildings to analyze trends among occupants seeking to implement hybrid work models.
As employers struggle to get their employees back in person, they also are also calculating whether to shed office space to cut down on rent, typically the largest cost of operating a business after payroll. Some employers are eliminating personal desks in favor of unassigned work stations that can be occupied as needed, allowing businesses to shrink their office footprints.
Such downsizing has contributed to widespread office vacancies in some urban centers including downtown Los Angeles, where overall vacancy is more than 30%, according to CBRE.
In efforts to raise attendance, companies are experimenting with carrots and sticks, trying to make the office a more appealing place to visit while testing methods to enforce in-office policies.
At Los Angeles financial services firm Wedbush Securities, most employees are expected to be in the office one-third of the days of the month while working remotely the rest of the time. The reduction in required time on-site has allowed the firm to cut its office footprint dramatically from more than 100,000 square feet in downtown L.A. to 20,000 square feet in an ongoing move to new quarters in Pasadena.
President Gary Wedbush is depending on supervisors “to keep their teams honest” about how often they show up at work, he said, but some compliance measures may be coming.
“There definitely needs to be some type of enforcement function,” he said, though the firm hasn’t settled on one yet. Among the options are tracking security badge swipes or checking where company laptops are plugged in during the day.
Attendance will also be “an important factor” in performance evaluations, Wedbush said. “We need to have colleagues be together to collaborate, because we definitely think that’s going to support and continue to improve our client experience. We feel very strongly about that.”
Employees at the DTLA Alliance business improvement district in downtown Los Angeles do not have to follow a formal or enforced attendance policy, Executive Vice President Nick Griffin said, but “the expectation is you should default to working in the office unless there is a good reason otherwise.”
“I personally prefer being in the office, to be close to my team and to be able to chat through things at the drop of a hat,” he said. “That’s very valuable to me.”
Flexibility is helpful to employees, though, he said. Some of Griffin’s staff work from home now and then, and he highlighted an employee with a small child who lives far from the office who is allowed to work remotely most of the time while being “among the most productive members of our team.”
“One of the things that we have found is that good employees are good employees, whether they’re in the office or remote, and mediocre employers are mediocre, whether they’re chained to their desk or not.”
The DTLA Alliance’s accommodation of the employee with a young child and a long commute reflects the challenge bosses have in meeting the desires of employees in different stages of their lives and careers as companies move past one-size-fits-all attendance policies.
Younger people may value the freedom to get their work done around going to the gym or meeting with friends, while an older employee might be juggling commuting to the office with child care or elder care, Whelan said.
“First of all, regardless of generation, from baby boomers down to Gen Z, flexibility is important,” Whelan said. “Nobody wants to be told anymore that there’s one place they need to be from eight to six, five days a week.”
An employee works in a common space at the Los Angeles offices of ChowNow, an online food-ordering platform.
(Dania Maxwell / Los Angeles Times)
Bosses, meanwhile, see value in having people of all experience levels in the office to build a corporate culture and shared sense of mission.
“The crux of this challenge is keeping people at younger stages engaged and feeling like they’re part of something bigger, and that they’re getting that knowledge-sharing and mentorship they need to really further their career,” Whelan said. “The younger generation needs the older generation to be there to pass down that knowledge.”
Being in the office can boost employees’ mental health, Brink said, especially if it has a variety of work spaces that allow staff to both collaborate and work privately.
“One of the reasons people do want to come in to the office is to connect with one another,” she said, “because it’s been really challenging for many people to be so isolated.”
Free food and drinks, comfortable furniture, and communal work tables can be draws, Brink said. Some newer offices have library-type spaces designated as quiet zones, where cellphones and conversations are not allowed.
“That can be really helpful for people who need that intense focus,” she said.
Offices will remain “a very core piece of organizational culture” in the years ahead, Whelan said, but how often employees will be required to be there is far from settled.
“I do believe that it will take a generational change in management before this story is really fully told,” she said. Future generations of leadership may decide to vary in-office requirements depending on the goals of their organizations at particular points in time.
“It will become less of a conversation of how many days of the week and more of a conversation about, are the things that I’m supposed to be accomplishing with my team together being accomplished?”
Business
Nike to Cut 1,400 Jobs as Part of Its Turnaround Plan
Nike is cutting about 1,400 jobs in its operations division, mostly from its technology department, the company said Thursday.
In a note to employees, Venkatesh Alagirisamy, the chief operating officer of Nike, said that management was nearly done reorganizing the business for its turnaround plan, and that the goal was to operate with “more speed, simplicity and precision.”
“This is not a new direction,” Mr. Alagirisamy told employees. “It is the next phase of the work already underway.”
Nike, the world’s largest sportswear company, is trying to recover after missteps led to a prolonged sales slump, in which the brand leaned into lifestyle products and away from performance shoes and apparel. Elliott Hill, the chief executive, has worked to realign the company around sports and speed up product development to create more breakthrough innovations.
In March, Nike told investors that it expected sales to fall this year, with growth in North America offset by poor performance in Asia, where the brand is struggling to rejuvenate sales in China. Executives said at the time that more volatility brought on by the war in the Middle East and rising oil prices might continue to affect its business.
The reorganization has involved cuts across many parts of the organization, including at its headquarters in Beaverton, Ore. Nike slashed some corporate staff last year and eliminated nearly 800 jobs at distribution centers in January.
“You never want to have to go through any sort of layoffs, but to re-center the company, we’re doing some of that,” Mr. Hill said in an interview earlier this year.
Mr. Alagirisamy told employees that Nike was reshaping its technology team and centering employees at its headquarters and a tech center in Bengaluru, India. The layoffs will affect workers across North America, Europe and Asia.
The cuts will also affect staffing in Nike’s factories for Air, the company’s proprietary cushioning system. Employees who work on the supply chain for raw materials will also experience changes as staff is integrated into footwear and apparel teams.
Nike’s Converse brand, which has struggled for years to revive sales, will move some of its engineering resources closer to the factories they support, the company said.
Mr. Alagirisamy said the moves were necessary to optimize Nike’s supply chain, deploy technology faster and bolster relationships with suppliers.
Business
Senate committee kills bill mandating insurance coverage for wildfire safe homes
A bill that would have required insurers to offer coverage to homeowners who take steps to reduce wildfire risk on their property died in the Legislature.
The Senate Insurance Committee on Monday voted down the measure, SB 1076, one of the most ambitious bills spurred by the devastating January 2025 wildfires.
The vote came despite fire victims and others rallying at the state Capitol in support of the measure, authored by state Sen. Sasha Renée Pérez (D-Pasadena), whose district includes the Eaton fire zone.
The Insurance Coverage for Fire-Safe Homes Act originally would have required insurers to offer and renew coverage for any home that meets wildfire-safety standards adopted by the insurance commissioner starting Jan. 1, 2028.
It also threatened insurers with a five-year ban from the sale of home or auto insurance if they did not comply, though it allowed for exceptions.
However, faced with strong opposition from the insurance industry, Pérez had agreed to amend the bill so it would have established community-wide pilot projects across the state to better understand the most effective way to limit property and insurance losses from wildfires.
Insurers would have had to offer four years of coverage to homeowners in successful pilot projects.
Denni Ritter, a vice president of the American Property Casualty Insurance Assn., told the committee that her trade group opposed the bill.
“While we appreciate the intent behind those conversations, those concepts do not remove our opposition, because they retain the same core flaw — substituting underwriting judgment and solvency safeguards with a statutory mandate to accept risk,” she said.
In voting against the bill Sen. Laura Richardson, (D-San Pedro), said: “Last I heard, in the United States, we don’t require any company to do anything. That’s the difference between capitalism and communism, frankly.”
The remarks against the measure prompted committee Chair Sen. Steve Padilla, (D-Chula Vista), to chastise committee members in opposition.
“I’m a little perturbed, and I’m a little disappointed, because you have someone who is trying to work with industry, who is trying to get facts and data,” he said.
Monday’s vote was the fourth time a bill that would have required insurers to offer coverage to so-called “fire hardened” homes failed in the Legislature since 2020, according to an analysis by insurance committee staff.
Fire hardening includes measures such as cutting back brush, installing fire resistant roofs and closing eaves to resist fire embers.
Pérez’s legislation was thought to have a better chance of passage because it followed the most catastrophic wildfires in U.S. history, which damaged or destroyed more than 18,000 structures and killed 31 people.
The bill was co-sponsored by the Los Angeles advocacy group Consumer Watchdog and Every Fire Survivor’s Network, a community group founded in Altadena after the fires formerly called the Eaton Fire Survivors Network.
But it also had broad support from groups such as the California Apartment Association, the California Nurses Association and California Environmental Voters.
Leading up to the fires, many insurers, citing heightened fire risk, had dropped policyholders in fire-prone neighorhoods. That forced them onto the California FAIR Plan, the state’s insurer of last resort, which offers limited but costly policies.
A Times analysis found that that in the Palisades and Eaton fire zones, the FAIR Plan’s rolls from 2020 to 2024 nearly doubled from 14,272 to 28,440. Mandating coverage has been seen as a way of reducing FAIR Plan enrollment.
“I’m disappointed this bill died in committee. Fire survivors deserved better,” Pérez said in a statement .
Also failing Monday in the committee was SB 982, a bill authored by Sen. Scott Wiener, (D-San Francisco). It would have authorized California’s attorney general to sue fossil fuel companies to recover losses from climate-induced disasters. It was opposed by the oil and gas industry.
Passing the committee were two other Pérez bills. SB 877 requires insurers to provide more transparency in the claims process. SB 878 imposes a penalty on insurers who don’t make claims payments on time.
Another bill, SB 1301, authored by insurance commissioner candidate Sen. Ben Allen, (D-Pacific Palisades), also passed. It protects policyholders from unexplained and abrupt policy non-renewals.
Business
How We Cover the White House Correspondents’ Dinner
Times Insider explains who we are and what we do, and delivers behind-the-scenes insights into how our journalism comes together.
Politicians in Washington and the reporters who cover them have an often adversarial relationship.
But on the last Saturday in April, they gather for an irreverent celebration of press freedom and the First Amendment at the Washington Hilton Hotel: The White House Correspondents’ Association dinner.
Hosted by the association, an organization that helps ensure access for media outlets covering the presidency, the dinner attracts Hollywood stars; politicians from both parties; and representatives of more than 100 networks, newspapers, magazines and wire services.
While The Times will have two reporters in the ballroom covering the event, the company no longer buys seats at the party, said Richard W. Stevenson, the Washington bureau chief. The decision goes back almost two decades; the last dinner The Times attended as an organization was in 2007.
“We made a judgment back then that the event had become too celebrity-focused and was undercutting our need to demonstrate to readers that we always seek to maintain a proper distance from the people we cover, many of whom attend as guests,” he said.
It’s a decision, he added, that “we have stuck by through both Republican and Democratic administrations, although we support the work of the White House Correspondents’ Association.”
Susan Wessling, The Times’s Standards editor, said the policy is a product of the organization’s desire to maintain editorial independence.
“We don’t want to leave readers with any questions about our independence and credibility by seeming to be overly friendly with people whose words and actions we need to report on,” she said.
The celebrity mentalist Oz Pearlman is headlining the evening, in lieu of the usual comedy set by the likes of Stephen Colbert and Hasan Minhaj, but all eyes will be on President Trump, who will make his first appearance at the dinner as president.
Mr. Trump has boycotted the event since 2011, when he was the butt of punchlines delivered by President Barack Obama and the talk show host Seth Meyers mocking his hair, his reality TV show and his preoccupation with the “birther” movement.
Last month, though, Mr. Trump, who has a contentious relationship with the media, announced his intention to attend this year’s dinner, where he will speak to a room full of the same reporters he often derides as “enemies of the people.”
Times reporters will be there to document the highs, the lows and the reactions in the room. A reporter for the Styles desk has also been assigned to cover the robust roster of after-parties around Washington.
Some off-duty reporters from The Times will also be present at this late-night circuit, though everyone remains cognizant of their roles, said Patrick Healy, The Times’s assistant managing editor for Standards and Trust.
“If they’re reporting, there’s a notebook or recorder out as usual,” he said. “If they’re not, they’re pros who know they’re always identifiable as Times journalists.”
For most of The Times’s reporters and editors, though, the evening will be experienced from home.
“The rest of us will be able to follow the coverage,” Mr. Stevenson said, “without having to don our tuxes or gowns.”
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