The Real Cost of Working from Home: What’s the Damage to Companies and Employees? (And, seriously, what’s up with Amazon and Tabcorp?)

In 2020, the idea of working from home was akin to finding out that Tim Tams were going to be half-price forever. It seemed like the ultimate win. No commute, pyjamas all day, and the fantasy of fitting in some gym time between MS Teams calls. Fast forward to today, and it’s clear that the honeymoon period may have ended—not unlike when you realise you’ve been snacking on those Tim Tams every day and they’ve taken their toll, and, well, the gym membership... shall we say... lapsed!?.

Some companies, such as Amazon and Tabcorp, have thrown their hands in the air, waved the white flag, and said, “Enough! It’s time to get back to the office.” But before we all start packing our desk plants and pretending we missed the microwave queue, take a closer look at the real costs—both for the company and the employees—when it comes to working from home.

The Employee’s Side of the Coin: Gains and Losses

For many workers, the shift to remote work was like finding the Holy Grail of work-life balance. Who knew it could be so easy to blend a full-time job with being your home’s handyman and chef? Suddenly, you could “attend” your 9am management meeting, pop a load of laundry in at 9:30, have the cricket on the tv in the background as you get through your team catch up calls, and still have time to walk the dog before lunch. But as idyllic as it sounds, working from home comes with its own price tag.

Mental Health and Burnout: You’d think working from home would be less stressful, right? Cue the laughter. In reality, the line between “work” and “home” blurs faster than a toddler with finger paint. Without clear boundaries, the workday stretches into the evening, and before you know it, you’ve answered emails from your boss at 10 pm (despite your new ‘right to disconnect’), all while Netflix plays in the background. Burnout becomes a real risk when you can't mentally clock out.

Loneliness: Another unexpected cost is the isolation. Even the introverts who once rejoiced at the absence of small talk by the water cooler began to miss it. Sure, your cat is great company, but their lack of input on that new project pitch is underwhelming. The camaraderie, the spontaneous collaboration, and even the occasional gossip—all those in-office intangibles go missing. And let’s face it, a MS Teams happy hour isn’t quite the same.

Cost of Living: Let’s not forget that working from home transfers some expenses from the employer to the employee. Your home office setup? You’re footing that bill. The electricity for all those Zoom calls? Yep, that’s yours too. And don’t even get me started on heating during an Adelaide winter.

The Company’s Perspective: Benefits and Hidden Expenses

From a company’s viewpoint, letting employees work from home seems like a financial jackpot at first. After all, less office space means lower rent, fewer stocked fridges, and fewer complaints about the office temperature. But is it really that simple?

Productivity and Accountability: There’s a debate about whether employees are more or less productive when working from home. Many argue that without the distractions of an office (read: endless meetings and co-workers “popping by”), they get more done in less time. However, others say that with no boss physically present, distractions like laundry or “just one more episode” creep in. For companies, measuring productivity can be like chasing your tail. There’s also the lack of visibility: out of sight, out of mind. Do remote workers lose out on career progression because they’re not as “seen”?

Team Cohesion and Innovation: You can’t discount the loss of the magic that happens when people physically come together to brainstorm. Sure, you can throw up a few ideas on a shared whiteboard in MS Teams, but will it ever replace those spontaneous “ah-ha” moments that happen over coffee? Probably not. Many organisations believe that creativity flourishes when teams are physically together, and that’s not something you can replicate over Zoom.

Security Concerns: Let’s not forget the potential security risks. With employees scattered across different locations, there’s always the chance that sensitive company information could be compromised, especially when your 'office' becomes the local coffeeshop where there are alternatives to Tim Tams!

So, Why Are Amazon and Tabcorp Calling Everyone Back to the Office?

Amazon and Tabcorp, among others, have recently declared that it’s time to return to the traditional office setting. This begs the question: What’s the rush? Have they grown tired of MS Teams filters and dogs barking during important meetings?

One theory is that companies like Amazon and Tabcorp are looking at the big picture—company culture, innovation, and productivity in a fast-paced, competitive market. They may believe that getting everyone under one roof again will spark the kind of energy and collaboration that’s been lost during the pandemic years. And let’s be honest, if you’re Tabcorp, managing gambling operations from your living room probably doesn’t scream "high stakes."

There’s also the argument that hybrid models are more difficult to manage than initially thought. Keeping remote and in-office workers on the same page can create its own inefficiencies. Maybe they’re just looking to simplify things again.

What’s the Verdict?

While there’s no one-size-fits-all solution, it’s clear that both working from home and returning to the office come with their own costs. Employees need to consider their mental health, social interactions, and home office bills, while companies need to think about productivity, innovation, and security.

As for Amazon and Tabcorp, their decision to bring employees back is a reflection of the challenge in balancing the freedom of remote work with the cohesive benefits of in-person collaboration. Whether this is the right move for every organisation remains to be seen, but one thing’s for sure—those Tim Tams won’t last forever.